MW Theory Paper 5 - Contemporary Issues

socially responsibility (2014) (2004) (1999)*

*CONSUMER* -Priorities for the industry are reducing the levels of underage sales, promoting alcohol education, informing consumers about alcohol levels through unit labelling and sensible drinking messages. -WSTA (promotes wine and spirits while also promoting responsibility) and Driankaware Trust (units ap, seasonal articles, signs of over consumption) -12/2015 Academics at the University of California took samples from nearly 100,000 bottles of wine across the world and discovered that the alcohol content in nearly 60 per cent was an average of 0.42 per cent higher than stated on the label. Winemakers are aware, get label to match intended style and expectation. Overall the study showed that Chilean and Spanish reds had the biggest margin of error between what percentage is stated on the bottle and what the wine actually contains. Chilean and American white wine were also among the worst offenders. *Health* -Regular controlled and mild consumption can be positively correlated with health -Binge drinking is very dangerous ...EX...Tesco dedicating whole section social responsibility / low alcohol wines at tasting events ...EX...UK alcohol accounts for 22,000 deaths per year. tobacco-caused illnesses cost the National Health Service £1.7 billion last year and so did alcohol-caused illnesses (2005) ...EX...WIM (wine in moderation) This programme promotes moderation and responsibility in wine drinking as a cultural and social norm, safeguarding the central place of wine in the gastronomic and cultural heritage of our societies while preventing and reducing alcohol misuse and abuse and related harm, in EU ...EX...The number of people in the UK admitted to hospital for alcohol poisoning has doubled in the last six years according Drinks Business -UK doing large change (Jan 2016) of recommended guidelines proposing 14 drinks per week per person and abstaining 2 days a week. Critics calling it out of line with US and EU both having around 20-35 a week for males. -Consumers are increasingly health conscious, which has led to a rise in "healthy" cocktails made with vegetables and super foods, and non-alcoholic cocktails for those in need of a night off. Source: Wine Intelligence -The number of deaths linked to alcohol consumption in the UK has nearly doubled in the last 20 years, The Office for National Statistics -chemicals known as phenols - most commonly found in red and sparkling wine - can help to protect brain cells from damage. Has been shown to prevent dementia. ...EX...Scotlands BOGOF ban law has consumption down 1 million liters nation wide *Safety* -Jan 2015 Scotland lowered driving above to 50mg/100ml -Britain and Wales at 80mg/ml one of the highest in Europe -Much of EU has zero tolerance of 20mg/100ml -Scotland implemented ban on multi-buy deals in 2011, wine hit hardest dropping 4.6% in 2012 -Spain proposes Breathalyzers for peds (1/14) -Ireland to set minimum alch price to curb over consumption Reuters 2015, proposing far more restrictions to bring drinking from 11 liters to 9 liters per person by 2020 -Scotland denies MUP (minimum unit pricing) 12/15 because it breaches EU trade laws *Social* -the Jackson family donated $500,000 to the Sonoma County Justice Center for victims of domestic violence in 2010. Jackson family pledged $3 million to the UC Davis, for the construction of the Jess S. Jackson Sustainable Winery Building. -Pink washing concerns: A company or organization that claims to care about breast cancer by promoting a pink ribbon product, but at the same time produces, manufactures and/or sells products that are linked to the disease. "Does this purchase put you or someone you love at risk for exposure to toxins linked to breastcancer? What is the company doing to ensure that its products are not contributing to the breastcancer epidemic?" *WORKER* ...EX...Black Economic Empowerment (BEE)A South African program for providing equity, training, and opportunity to Black South Africans who were disadvantaged during Apartheid. This program gives workers ownership and influence in the wineries they have often lived and worked on for generations. -WIETA, — is an organization dedicated to improving social and employment conditions in the wine industry of South Africa ...EX...LIVE certified in OR: Worker health and safety standards and good neighbor policies are an important function of our rigorous vineyard and winery standards. ...EX...Wines of Chile Sustainability seal guarantees improved worker conditions as well as 'green' *ENVIRONMENTAL* ...EX...50:50 strategy of social responsibility developed by the late Julio Gallo. For example, for every acre of land they plant with vineyards, they apparently set aside an acre for conservation. ...EX...Dan Jago highlighted the importance of innovation, social responsibility and environmental issues such as carbon ratings and packaging waste in the future business environment back in 2007 ...EX...Cape Ardor SA do more with less; by pushing partners towards paperless systems, using recycled packing materials, controlling waste and purchasing carbon offsets for importing and distribution activities. Encourage fair trade business practices, reach out to under privileged communities and support local fund raising efforts with products. ...EX...Sustainable Wine South Africa (SWSA) is the alliance between the Wine and Spirit Board (WSB), the Integrated Production of Wine (IPW) scheme, the Biodiversity & Wine Initiative (BWI) and Wines of South Africa (WOSA). Together these organisations are driving the South African wine industry's commitment to sustainable, eco-friendly production. -growing problem of waste in the UK has led to the emergence of single serve products and disposable packaging. New company 10-Vins sells single serves of wine in test tubes for customers keen to have a glass of wine without opening (and wasting) a whole bottle. *Conclusion* -Must actively cultivate social responsibility to avoid backlash and strict nanny-state laws. -Social responsibility is good business, should display best practices and intentions towards working with government *Outline* 4) Can the wine industry ever be socially responsible? It already is Strengths Thomas Jefferson felt wine drinking country was civilized and wanted wine to win over booze in US, industry that allows upward mobility, at it's heart natural and moving toward sustainability Sustainable Wine South Africa (SWSA) Weaknesses -The number of deaths linked to alcohol consumption in the UK has nearly doubled in the last 20 years, The Office for National Statistics, Water us in CA ag 90% of all water and Central Valley out of water the town of East Porterville (Central Valley) ran out of water when its wells went dry, san joaquine valley elevation sank 45 feet in elevation from water mining, Brasil excess drinking high domestic violence fatalities Opportunities Protect minors, EU Wine in Moderation campaign, LIVE certified in OR: Worker health and safety standards and good neighbor policies are an important, Wines of Chile Sustainability seal guarantees improved worker conditions as well as 'green', Black Economic Empowerment (BEE)A South African program for providing equity, training, and opportunity to Black South Africans who were disadvantaged during Apartheid. This program gives workers ownership and influence in the wineries they have often lived and worked on for generations. Threats Fraud, 'fake' wines, more science lost cultural appeal, pink washing, increased regulation always leads to a lashing out prohibition in the US

Spain

GALICIA: -60 indigenous grapes -little loyalty between grower and producer=innovation -vineyards usually 1 generation old -cheap to work land -Rias Baixas 4 sub regions caused by funnel shaped inlet -fragmented production over many vineyards -aged albarino up and coming -falling domestic sales with surplus= cheap grapes -focus on export RIOJA: -Record sales in 2014, thanks to UK (white, though less, saw largest growth) SHRRY -Looking to revitalize, possibly through promoting vineyard distinctions- DO president Domecq

Regaining market: France (2010) (2006) (2005) (2001) *

*Situation* -Long held high quality belief is being challenged -Decanter, 2/2015, Burgundy and Bordeaux fall while Champagne grew in 2014. Burgundy and Bordeaux fell 13% and 9.5% in volume respectively. Structural deficit, and lack of value sited. China Austerity and issue. -Burgundy: rising land costs (short harvest and death duty) ...EX...France inheritors are the most highly taxed in Europe, with a 45% inheritance tax (droit de succession) starting at €100,000, compared to 40% starting at €375,000 in the UK. The real issue is that high taxes have been increasingly linked, over the past few years, with rising land prices. Sitting on land that is shooting upwards in value sounds like a positive thing for owners, but is hugely sensitive because of the impact it has on inheritance tax, and therefore the ability for families to pass vineyards down to the next generation. *Complication* -weak brand identity -small budgets of indy producers even more of a challenge -UK is a matured market, newer markets do not have the same taste or knowledge that the UK does. -Some see AOC system as limiting to new world and emerging consumers -Some French growers reported to The Guardian they felt it was equivalent to the devastation of Phylloxera. -Mixed origin and standardization of new world wines vs tradition of Old World. -Trend to drink less and better quality may be the answer. *Resolution* -higher production costs can be justified if quality and value result -stronger and clearer AOC needed -innovation, not defensivness will be key to success -competitive bargaining of band of small producers can give success in supermarket sector -thorough understanding of foreign markets before entry are needed -invest to ensure future capital will flow into company when needed -regional bodies valuable (CdR) -Fall of 2013 INAO considering new level of AOC, AOCE that would denote excellence -Champagne had record high 2015 and is poised for further growth (demand from export markets with favorable climate of currency exchange) driven by prestige cuvée (drink less volume for higher dollar) and rosé ...EX Domaine Hudelot-Noellat and Méo-Camuzet has negotiant business along with house wines- buying grapes much cheaper. Says this is a growing trend focusing on classic style and quality.

Drought

*California* -US David spent 2 years with 18 wineries to establish if cleaning water would harm vines if used for irrigation. Found that is special parameters met it was fine. Salinity is the issue and people are already switching from sodium-based to potassium-based cleaners (Oct/2015). -With more and more wine grape growers in the San Joaquin Valley pulling out vineyards in pursuit of more profitable uses of their land, some observers see the region's wine industry beginning to decline. Peterangelo Vallis, executive director of the San Joaquin Valley Winegrowers Association says still a future for wine there as US is large and thirsty market. San Joaquin Valley produced nearly 60 percent of all wine grapes. used to produce the so-called value wines, those selling for about $7 or less a bottle. -With the arrival of El Nino Sacramento through San Joaquin Delta getting rain. Sen Feinstein pushing for more water pumped south but Salmon and smelt of verge of extinction if more pumped away. Feinstein claims too much fresh water is running out to sea. Legal rules by gov. biologists state how much water can be pumped when. Water pumps suck in and kill fish. Chinook Salmon need water to push them out to sea, diverting it kills them by sucking them inland. -Jerry Brown Governor, promoting 15.7 Billion $ project to put 2 story high pipes underground for 35 miles taking Sacramento-San Joaquin River Delta water south to San Joaquin Valley. Enviro fears too much water will be taken. Would take water from areas less necessary for fish. WHole project will only bring water enough for 200,000 households, out of California's 39 million residents. Tunnels opponents say the government and water agencies should put more money in water conservation and recycling projects instead. Tunnels would be more resistant to earthquakes than current system. - sunk more than 45 feet since 1935 - something the U.S. government calls the "largest human alteration of the earth's surface. California is entering its fifth year of drought, with the past two years being the warmest on record. -the town of East Porterville (Central Valley) ran out of water when its wells went dry. Residents are urged to drill new wells - at a cost of $30,000 each. Portable showers have been installed at a local church and bottled drinking water is delivered. ...EX...$50 million worth of irrigation piping for Southern Napa delivers recycled water for irrigation that is then treated and released into local rivers. Storage ponds utilized too. Soscol water recycling center/ *Washington* ...EX...Mike Schwisow, director of government relations for WAWGG says, "We don't lack for sites, we lack for stable water to bring those sites into production." - In WA attempt to grow acreage struggle is for water availability and prime sites to overlap. -Many basins are closed to to reallocated water rights *Australia* Aussie water use up 18% since 2012 to 2015, Vineyards in South Australia accounted for 46% *South Africa* -VinPro, a cooperative of 3,500 growers and wineries across the country, warned that groundwater levels had dropped as a result of the significantly lower rainfall over the spring and summer, and this was affecting vineyards. Irrigation dams are currently only around 40% to 60% full, 2015 NOV -Heatwave OCT 2015 may have small harvest expected in Spring 2016 if flowering and fruit set affected. Budbreak was uneven

France

*Cahors* -Argentina produces around 10 times as much Malbec as Cahors does. -4,300 ha of the appellation's 21,700 ha planted - €11,000 a hectare -Cahors has poor transport links, no white aoc -Paul Hobbs consulting in Mendoza now also producing Paul-Bertrand wine in Argentina -Vieux Télégraphe winemaker producing in Mendoza and Cahors -The fact that there is no present-day Bordeaux investment in Cahors is peculiar, given the stylistic kinship between the two wines.

Move to Freshness

*History* -Robert Parker did much to demand modernization, sanitation, and competent shipping and storing of wine but pendulum went to extreme sterile character, now swinging back to a better 'traditional place'. -Post Judgement of Paris freshness and fruit was sacrificed for a style that favored power and immediate impact which had made the wine win. -Mike Steinberger recently wrote on wine-searcher.com, the pursuit of finesse is hardly a recent or revolutionary development in California aka Au Bon Climant -Rich, jammy, oaky wines can be easy to taste (and so they often get good reviews) but they can be difficult to drink, especially with food, as their strong flavor can dominate the palate. - In his book "The New California Wine," Jon Bonné highlights modern 'fresh' CA wineries producing wines with a fine, fresh, mineral structure. *Producers* ...EX...Vine Starr Zinfandel, by Chris Brockway of Broc Cellars, is a magical wine, as far removed from the big confected style of Zinfandel as you can get. Mr. Brockway I asked him how he'd achieved such a refined style. He put it down to picking his grapes early to avoid overripeness and minimal intervention in the cellar, leaving the grapes to speak for themselves. ...EX...Eben Sadie, South Africa, Swartland vineyard, is picking much earlier, new wood has been reduced dramatically from 60 to 10%. 2001 was my lowest yield but it was probably too low', he admits. 'Now I'm looking for higher yields for better balance. Punch down every 2-3 days instead of every day 10 years ago. "South African wines are now definitely fresher, which is good because our wines were too ripe. Mind you, I would have protested if you'd told me that in 2004!" ...EX...Wine Australia is touring the country showcasing the new crop of Australian wine. ...EX... JayRo on Aussie new wine: By no means all of the new wave is a paid-up member of the natural-wine movement but there are certain macro trends: more whole-bunch fermentation, lower alcohol, less new oak, more natural acidity, prolonged lees contact, unusual grape varieties. "all over Australia, these producers are producing reds, often labelled Syrah rather than Shiraz, that are quite unlike the concentrated, sweet, obviously oaked and sometimes syrupy Australian Shiraz of yesteryear" -Argentina already not overly oaked (expenseof importing all bbls) and high in acid though acid integration described as 'clunky' has been an issue that Jay Ro has identified (potentially a catalyst for a swing back?) ...EX...Palate Press 'Let's Call it Freshness' article points out that it is a cloaked way of identifying aicdity -desire to be food friendly major contributor to style as US market moves from cocktail wines up.

viticultural legislation (2014) (2000)

*Jan 1st EU Planting Law Change* -New plantings cannot exceed 1% of the Member State's existing vineyard area. For France, that means around 8,000 additional hectares in 2016. Plus, Member States have the power to limit vineyard growth in certain areas, 'where properly justified', the European Commissions said. -'It's still important to ensure that vines will not be planted in unsuitable areas, and to protect the quality image of French wine.' -Under the new rules, the three levels for labelling wine will be AOC/AOP (appellation controllée), IGP (indication géographique protégée) and VSIG (vins sans indication géographique, replacing the former table wine category). Winemakers in all three levels can apply for planting authorisations. -Table wine will no longer be required to carry any region on the bottle -The changes are being brought in for a transition period that lasts until 2030, where all terms previously allowed on wine labels will still be permitted. ...EX...Geographical indications, or GIs, often serve as "trade barriers" to U.S. makers of Parmesan cheese and other geographically descriptive foods that have become generic to consumers, said Covington & Burling LLP attorney Marney Cheek on behalf of the Consortium for Common Food Names ...EX...Alava-based Artadi, one of Rioja's finest producers, run by Juan Carlos López de Lacalle, took the bold step of leaving the Rioja DOCa due to a dissatisfaction with the organisation and its lack of focus on terroir. Lacalle feels his wines have more in common with those made in Bordeaux and Burgundy than Rioja, due to their sense of place and reflection of origin. Rioja like Champagne bought grapes from many small growers and produced a house style. One of the biggest frustrations with the current system is the refusal to allow village and vineyard names on the front label ...EX... in January over 150 winemakers, merchants and wine writers signed a manifesto in defence of Spanish terroir put together by provocateur and disrupter Telmo Rodriguez, who makes wine both at his family estate Remelluri in Rioja Alavesa and from a number of small plots across Spain. The manifesto aims to combat the close-minded nature of a lot of the regulations enforced by the governing bodies in Spain's DOs and highlight the potential of the country's top terroirs in order to shift the focus towards Spain's rich winemaking heritage and away from mass-produced wine with no sense of a specific place. One of the biggest frustrations with the current system is the refusal to allow village and vineyard names on the front label *Outline* 3) To what extent do you agree with the assertion that viticultural legislation does more harm than good? Product -integrity ...EX...called wine's first branding Price -command appropriate price Not Necessarily -can limit price ...EX...Bolgheri supertuscans -Discounting can bring down whole area ...EX....£7.50 Champagne at Tesco Easter 2016 Place -emerging markets -mature markets -growing markets Not Necessarily -trade barriers -parm cheese from US ...EX...1935 SA and france crawfish for DO label protection Best Practices -New planting laws keep from expanding too far Jan 2016 change Not necessarily ...EX...Artadi about to leave DOCa of Rioja because it does not allow terroir labeling, cask dependant ...EX... Pontet-Canet against grape laws as it violate nature and creates disease

Germany

*Move to dryness* -just under 67 per cent of all German wine from the 2014 vintage being classified as trocken (dry) or halbtrocken (half-dry). -Jefford finds the new dry german whites very similar, 12,5%, clean as can be, and hard to distinguish -Young producers tend to skip the system of Prädikats and go straight to origin, label with geology terms -Generation Riesling is an organization for German wine producers who are under 35 (there are now, 10 years from its inception, over 500 members) -Wine ranges of 30 different bottlings seem to be history: most have been pared back to half-a-dozen or so wines. -lots of big, blocky typography and plain colors on modern labels ...EX...Differentiation: "Nobody can take our soil or our climate to New Zealand and all the other places," pointed out Jan Eymael of Pfeffingen (Pfalz). "What we do best is based on our soil and microclimate - and Riesling." *Pinot Noir* -Pinot Noir loves warm spots in cooler climates ...EX...Prowein started in 1994 with 321 exhibitors and about 1,500 visitors. Last year, it had grown to 6000 exhibitors from 50 countries and 52,000 visitors ...EX...German wine institute says Ger 3rd largest producer of Pinot Noir in world ...EX...In UK Sales of German Pinot Noir have grown by 169% over the last twelve months, according to Neilsen figures, as the variety has become more widely available in large and independent retailers. However, the standout variety is German Pinot Blanc, which has increased in sales by 1,160% in just one year. Meanwhile, German Pinot Gris is up by 18%. - German exports dropped 9.2% by volume in 2014 (for a total of 1.2m hl) due to short 2013 vintage; could not fully meet demand in export markets - Exports skew markedly to white wine (86%) over red wine (14%); top export market is USA. (USA! USA!) - The market share of supermarkets in domestic wine sales has increased from 10 to 14% since 2012. This is at the expense of winery direct sales. - Wine consumption in Germany is stagnant since 2000, however overall alcohol consumption (largely beer) is decreasing. The average household spends more on wine than any other alcoholic beverage, accounting for 31% of annual alcohol spending. - Domestic wines account for 45% by volume of wine consumed. This skews towards white wine: Germans drink 48.5% domestic white wine and 38.9% red wine versus 33.0% white wine and 57.6% red wine for imports.

Tourism

*New World* -Industrial Parks: Startup costs are much less, government regulations on tours and tastings fewer, locals walk over, and good signage ...EX Urban Winery: Spelletich Family Wine Co., which hosted 50 visitors in March at its Napa Valley Commons business park -D'Arenberg McLaren Vale 'cellar door scene' $11 AUS for rubix cube tourism center. -...EX...SVD report for 2016: smaller wineries will continue to rely on tourism and direct-to-consumer sales, from the tasting room or through mail order. ...EX...Napa County visitors spent a record $1.27 billion in the county in 2015, an increase of 8.9 percent over the year before. That's the highest percentage gain among all nine Bay Area counties. *Oporto* -Always vital as an inexpensive tourist destination *Bordeaux* -Bordeaux trying to change image of appointment only cliosed doors, no tasting room. ...EX...This year, premier grand cru classé Château La Gaffelière in Saint-Émilion this year began €20.00 ($21.30) per-person wine tours. Not just on Sundays, but also on bank holidays - in English, French and Spanish. ...EX...Lalande-de-Pomerol, Paul Goldschmidt of Château Siaurac launched a wine tourism program in September, including Sunday brunches at his 12-hectare garden, with a Jardin Remarquable rating from the French ministry of culture. Guests can stay overnight and enjoy gourmet dinners. ...EX...Bordeaux deputy mayor Stéphan Delaux tells Meiningers: "We have become a tourism capital; that was not the case ten years ago." ...EX...Wine tourism pioneers such as Philippe de Rothschild of Mouton Rothschild, the Cazes family at Château Lynch-Bages and, later on, the Cathiards at Château Smith Haut Lafitte. "Early on the Cathiards set up a restaurant, lodgings and spa for tourists for the Graves region," she says. "They blazed a trail." ...EX...new cellars at Château Margaux, designed by British architect Sir Norman Foster, and some €60m spent by the tycoon owners of Château Montrose to transform the cellar space into a massive model of environmental sustainability. ...EX...Château Paveil de Luze in Margaux has opened its ornate gates to the public and made itself available to rent on Airbnb.

ethical wine issues (2008) (2000)

*workers safety* ...EX...Ridge Vineyards in CA fined $42,300 for housing workers in unsafe conditions (fire hazards, infestations, unsanitary) *Health* *Addiction* *Sustainability* ...EX... Recaredo does not freeze their disgorgement as it requires no glycol chilling.

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The effect of wine scandals (1999)

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is wine art or science? (2011)

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national trends in consumption (1999)

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wine and societal issues (2010)

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wine knowledge effects on trade (2011)

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the most significant developments in wine in the last century (2000)

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NZ

- 2015 average harvest -2014 extra large harvest -Marlborough Sauvignon Blanc is going through a "mid-life crisis", US wine writer Matt Kramer has said. Shifting from emphasis on luck to talent

France: Champagne (2008)

- Hopes to join UNESCO World Heritage List July 2015, did -Deep discounting has been troublesome seeing bottles below cost of production erodes brand champ -2015 proposed resting period: 19 out of 20 chefs de caves vote in favour of introducing a minimum cellaring period for Champagnes after disgorgement, although no specific time period was agreed. ...EX Bruno Paillard, print disgorgement dates on labels on the basis that a Champagne's taste profile can alter significantly in the months after that point. Bollinger has its recently disgorged 'RD' label and Krug has begun printing ID codes on bottles to allow consumers to find disgorgement dates -Roederer to make still red on 2015 vintage, PN called Coteaux Champenois ...EX..Vincent Perrin, director of regional trade body Comité Champagne, said the provisional Champagne sales total for 2015 was 312m bottles, an increase of almost 2% from the 307m bottles sold in 2014. Sales rose by 5% in value to 4.75bn euros. Export sales drove growth, even if French sales crept up by 0.2% in volume during the year. -The bottled reserve stocks currently stand at 9,700 kg per hectare of vineyard and the aim is to reduce these stocks to 8,000 kg per hectare by 2019. The 8m bottle difference between the sales and production volume allows the Champenois to slightly reduce their bottled stocks and thus ease financial demands. Production will not increase in immediate years as they try to get down stocks. -Clos Lanson is a vintage Blanc de Blancs that has been fermented in old oak barrels and aged for eight years on its lees. Single Vinyard ...EX...2015, in particular the strong performance by Champagne in the UK market, as well as the region's new turnover record worldwide, which hit a new high of €4.74 billion last year. ...EX... Veuve Clicquot 2008 release marked by 1st new cellar master, first in a long time to show old wood and tank, and 1st to have disgorgement date ...EX...Lanson released a single vineyard Champ 8 years lees 1 rest in cellar 3g/l ...EX....Moët with its Ice Impérial for serving over ice, or Veuve Clicquot with Rich, which has been made for mixology. Piper Heidsick prmoting rosé Sauvage in cocktail Sacré Sauvage-made as reg champ

Eastern Europe

- Romain is showing well for price vs quality (international grapes) -Hungary and Slovenia growing -Tokaji getting 300 mill E investment from EU to improve vineyards and equipment, and image -5,000 jobs from Takaji wine -Bulgaria suffers image problem

South Korea

- avg consumption 1 bottle per year -supermarkets -small shops closing -cheap supermarket wine giving reputation of low-end -room for small niche importers -dist channels full with wines of affiliate companies

Sauternes Train

- between Bordeaux and Toulouse, and Bordeaux and Dax which could see 5,000 hectares of land bulldozed -far from vineyards -Trees keep river cool when it reaches Sauternes then condensation. Plans would mean trees ripped out -2024/2027 complete date -Lines would cut the Ciron river in three places and in 30 of its tributaries, warming water. -Andrew Jeffords doubts it will cause problems and wants a fast route to Bordeaux

bordeaux's current predicament (2004) (2001)

- hard to get quality cab franc and semillion clones (Olivier and Giruaud are both working together on project to fix this with Ag dept). -Cab franc vines on left bank are old and yielding less, doesn't love intense gravel or clay soils, likes mixed soil, warm weather is shutting down cab franc ...EX 2014 Campaign 4/2015 "The last five vintages, the collector, the end-user, the person the chateaux ultimately wants to buy the wine, they are out of pocket. They would be better off having not bought en primeur," said Justin Gibbs, the co-founder of Liv-Ex (South China News) -Farr's sales. Five years ago the British-based firm sold en primeur worth £57.2 million (HK$656 million). Last year, Farr shifted just £1.4 million. -Hitting negotiants hard: In 2013, operating margins at Bordeaux negociants fell from 6.1 % to 4.4 %, while debt-equity ratio increased to 68% from 53 % on average, according to Liv-Ex. Stock on hand equated to more than 240 days of sales. -Today, Bordeaux's approval rating is at a record low. In spite of the fact that it continues to make wonderful wines, it is now perceived (often wrongly) as too expensive, out of touch and no longer relevant to a growing number of wine lovers. One well-known wine merchant told me that Bordeaux's share of his turnover has crashed from 80% in 2012 to less than 40% today. -Suaternes not a value for en Primeur ...EX 2002 Coutet at €23 a bottle when the 2014 - which he admitted was a "pretty good" price - is €25. -Castel has stayed out of exclusively fine wine game, protected from economic crisis. -Bordeaux lost more ground to Burgundy and Italy in 2015, but the overall fine wine market has shown greater stability, says a review of the past 12 months from the Liv-ex trading exchange. -Tim Atkin, 2009 and 2010 ere too expensive to begin with, now flatlining with value. ...EX...The Bordeaux market is so competitive and so transparent, thanks to the internet, that the 7-8% margins many are forced to work on amount to "little more than a commission", according to Charles Lea of Lea & Sandeman. Other regions offer better value and margin potential. -That's a very big if in my view. Too often in the past, the Bordelais have priced their wines according to what they think they are worth, rather than what the market is prepared to pay, 2007 being a good example. -Tim Atkins MW *2015* -The strength of the dollar, on the other hand, may encourage Americans to buy the 2015s - Tim Atkins MW -From the 2015 vintage, Bordeaux first growth Château Mouton Rothschild will be offering fewer wines en primeur due to a rising demand for wines in bottle in Asia. They say their cellars are too empty after en Primeur -2015 good year. Little fanfare leading up to release. Overshadowed by Prowein. -Negociants: There is a big difference between buying 500 cases of a wine, selling half of it and storing the rest for selling at a more attractive price down the line, and simply receiving a handling fee for passing on an older case coming direct from châteaux cellars. Being a simple middleman is not a sustainable business model considering the amount of wine they have to buy at prices that are already over what the market wants to pay. -Giles Cooper at BI - the new name for Bordeaux Index, says, 'Essentially anything that affects the exchange rate is going to have an effect on the success of the campaign in England. Clearly Brexit is sending some fear through the financial markets and the pound is weakening against the euro - making it that much more expensive to buy the wines'. -Brexit: 'Let's imagine Château X releases at €20. If exchange is 1.3 as it was last week that would be £185 per case for me to buy, £205 for the consumer. If the exchange rate drops to 1.25 then that becomes £192 to buy and [to maintain the same selling price] £205 for the consumer. But if after June 23 sterling stabilises, and the exchange rate goes back to 1.4 as it was last year, the cost price would be £175 and selling price £192 - or pretty much exactly what I would have been selling it on to a consumer a few weeks earlier. If other merchants buy at that later price, they can undercut everyone else in the market, make a big margin and undermine the whole En Primeur system in the process. We want to be a part of the conversation for any successful wines this year, but the threat of Brexit will make us that bit more cautious about what we buy'. -négociant Jean-Baptiste Bourotte (among many others that I spoke with), it does. 'The UK has a huge impact on the rhythm of the campaign. How the London trade responds, even if they don't buy vast amounts, sets the tone for certain key wines in markets around the world'. Brexit caution could prove problem. -look out for whether châteaux show any signs of concern about currency fluctuations and the impending threat of Brexit. If they cheerfully release small amounts of highly priced wine and ignore the concerns of the UK market, then we know they are yet again happy to see stock levels rise in their own cellars, confident that the quality means they will find buyers at a later date. -At the very least, the wines have to be offered below the levels of the currently available 2009s and 2010s - 30% cheaper, according to Stephen Browett. If that happens, he says, then Bordeaux en primeur will be "back to normal", assuming the wines are very good. ...EX...Some US wine merchants are becoming increasingly optimistic for the Bordeaux 2015 wines ahead of the en primeur tasting week, but there is an air of caution until prices are known - and purchases may focus on lesser known estates. ...EX...Latour 2000 released spring 2016 to warm welcome and sold out. Risk that holding stock themselves mean they have to compete with wine already on the market. Their 2009 they release is 20% higher than open market now causing a cooling on the vintage (though guaranteed authentic) *Bordeaux en primeur buyers have lost money in five of the last eight campaigns* -Built up stocks are a major issue. High on 2009 and 2010 12&13 were overpriced and gathering dust. Usually there would be a rush to buy wine after a few off vintages ...EX...2015 prices seem to be up 14% on early releases, favorable with a well reviewed year. -Thank goodness interest rates are low to finance all of the sitting stock! *but* No vintage exists within an island. The Bordeaux merchants might want to buy but they are still tied by their available funds. And after four or more years of stocks piling up and in many cases depreciating in value - even at low interest rates - banks are going to be unwilling to extend credit indefinitely, no matter how good 2015 is. In France the fiscal year ends in March; so pretty much just as the en primeur week gets started. It means that plenty of Bordeaux bankers have just discovered that they lent money for wine that is now worth less than when it was paid for. And they may not be too thrilled to risk it all over again. -in 2005 92% of wines put onto the en primeur market sold down through the sales chain to a final customer (according to Bordeaux wine broker figures). In 2009 this figure was a still-respectable 85%. 2013 62% sold through to customers. -Sterling/pound is worth less with Brexit fears at en primeur, if you buy and sterling bounces back then consumers will get wine cheaper down the line.

influence of wine journalism (2011) (2005) awards and points (2015)

-"People were willing to pay a lot more just for awards," said Dan McCole, tourism and sustainability researcher at the Michigan State University AgBioResearch Center. The mere knowledge that a particular wine had won an award bumped the theoretical willing-to-pay price up by an average of $1.58 per bottle. -

climate change (2013) (2010) (2007) (2004) (2003)

-'Given the inherent climate sensitivity of grapevines,' the authors conclude, 'suitable zones for their cultivation are very susceptible to small changes in climate.' -Harvest dates have advanced by two or three weeks in every wine-growing region over the past half-century; -alcohol levels for many classic red wines are between one and two per cent higher than they were in the 1960s and 1970s, signifying (in large part) more sugar for an equivalent phenolic ripeness -complexity of the data sets and the fact that large-scale climate predictions are far easier to make than small-scale, localized ones. Hard to show climate change at regional level -'Projected shifts of wine regions in response to climate change', which appeared in the journal Climatic Change in March 2013. the results predicted two sorts of change: either a kind of vineyard creep polewards, towards higher latitudes; or an increasing movement towards higher altitude vineyards within existing areas. Not every region, of course, has the latter opportunity, as the authors pointed out: higher altitude plantings are possible in Chianti or Provence, but not in Bordeaux. Languedoc and Roussillon, they suggested, would be badly hit, with a dramatic reduction in existing growing areas (down between 80 and 86 per cent by 2020 for Languedoc and even more for Roussillon, with the latter ceasing to be viable for viticulture at all by 2050 under one scenario); other European regions facing challenging or catastrophic outcomes include Penedès, Extremadura (Ribera de Guadiana), La Mancha and the Douro. The Southern Rhône and Provence were survivor regions, by contrast, because vineyards in both regions can move up in altitude as well as migrate north. Atlantic regions in general would initially be a 'refugium' for viticulture, the authors say, at least until 2050. Burgundy would have to gain altitude to survive, while Champagne and the Mosel are northerly regions which would need to move further north still. Andrew Jefford argues that terroir is more than temperature and you simply can not just move up a hillside and still make Burgundy. Believes in replacing varietals, rootstocks, irrigation laws, not plot. ...EX Symington's feel that limit on VY height of 600 meters will move up as temps rise. ...EX Trotter in Edinburgh Scottland growing grapes ...EX Atkinson, English Wine Project, in Derby UK putting in massive bottling plant as area become more popular for VY with climate change. ...EX... Rioja 2015 harvest early and very short (4 weeks as opposed to 9 weeks) with above average abv but good quality ...EX...Collette O'Leary of Bluebell vineyard in Sussex agreeing, saying: "As temperatures continue to increase there will be greater opportunities for better quality still wines, including red varieties." ...EX...Serge Férigoule of Domaine du Sang des Cailloux, one of Vacqueyras' top producers. biggest challenge? 'The climate here is getting warmer. It's now too warm for Syrah - I have to pick it on August 15th. We need to grow other varieties from further south - but the appellation regulations say we have to include Syrah. So I can see a time when I will have to leave the appellation.' ...EX...Languedoc regional pioneer Olivier Jullien has even given up with Grenache - because, he says, new climate realities means that ripeness comes with a 15% abv price tag. -Wine is drank in times of peace, climate change means major crisis ...EX...Leonardo Bellaccini of San Felice in Chianti Classico and Brunello di Montalcino explained that due to the increasingly warm summers, they are able to pick the grapes earlier and make "consistently better wine." ...EX...Etna winemakers have told JayRo, they are hoping that the limits of the DOP will be extended upwards to include some of the higher vineyards - up to 1,200 m - that are now being treasured for the greater freshness they can bring to the wines. *Australia* -Winemakers in Australia's oldest growing region fear a ruined harvest after heavy rainfall, while vineyards in the country's west are under threat from bushfires, undermining efforts to recover from a near decade-long run of lower exports. ...EX... Hunter Valley pre harvest 2016 scared of rain ruining entire crop by bringing disease - Neil McGuigan, chief executive of Australian Vintage Ltd -As much as 200 millimetres (7.9 inches) of rain fell across Australia's east coast in one week in Jan, data from the country's Bureau of Meteorology shows, twice the average January rainfall. At same time West Aussie had wildfires -Climate change mitigation is at the forefront of plans by Australia's largest growers, including Treasury Wine Estates Ltd , which is looking at cooler climate vineyards in places like the southernmost island state of Tasmania. -Other measures to deal with warmer temperatures include new irrigation methods that save water and specially developed sunscreen that is sprayed on grapes. ...EX...AWRI shows that feeding livestock grape pommace produces less methane emissions. It's estimated that around 13 million tonnes of grape pomace are created by the wine industry each year. Potential to be cheaper than grain making it truly viable. ...EX...Climate change made british sparkling possible but now University of East Anglia says eradic and warming weather may threaten also noted in study Chard and PN are more susceptible to weather than English varieties.

Organic

-1% of Champagne, Comite Champagne has own cert -Users of pesticides: 1. Brazil 2. US 3.China 4. Japan 5. France -In France vineyards are 3-4% of ag surface but 20% annual pesticide use. -link between pesticides and parkinson, reduced brain activity -late applied anti rot pesticides most likely to end up in wine ...EX. 50 different chem substances showed up in finished wine in tests by Excell -Producers will seen be required to test for Max Residue Levels (MRL). -BIO has seen 166% in sales or wine with organic grapes (503EU in 2013) (189EU in 2005) -CDFA Cali dept Food and AG organic acres up 22% to 10,127 acer in 2012 from 2009 -3 most used are sulfur dioxide, copper sulfate, and copper hydroxide -Virgile Joly of Domaine Virgile Joly and president for Millésime Bio, a group of organic producers for the Millésime Bio organic trade show, says that English consumers were less keen on organic wine than consumers in the rest of Europe because they failed to see the difference between regular and organic wines. Believes better communication with Trade and Consumers is vital. -recent IPSOS survey commissioned for Millesime Bio which found only 45% of British consumers were aware of organic wine, compared to 75% of French and 74% of Swedish consumers, with only 21% of having bought organic wine, compared to half of Swedish and 38% of Germans. This was despite 50% of UK consumers thinking organic products were healthier to consume, it said -17% of UK drinkers checked the labels to see if there were, compared to a third of French and 43% of Swedish consumers. ...EX...Montalcino 'Visitors to Montalcino are increasingly asking for products which are either organic or have a light environmental footprint, be they Brunello di Montalcino wines, or our local honey, olive oil, or freshly baked biscuits,' said Dalmazio, owner of Montalcino's biggest wine shop. ...EX...two-hour film by Martin Boudot and Elise Lucet for the series Cash Investigation highlighted wine pesticide use and sent shockwaves. Traces of 44 different pesticides were found in hair samples taken from school children (with their parents' consent) - 24 of them either banned or classed as particularly dangerous.

Languedoc

-Andrew Jeffords says Languedoc needs 'locomotive wines' to drive image of regions and grapes decade after decade to join Rhone, Loire, Bordeaux -Bébian back in the 1970s , highest ambitions for Bébian at a time when these were uncommon in Languedoc - his Syrah plant material came from Chave, his Grenaches from Rayas and his Mourvèdre from Tempier

export markets (2014)

-Andrew Jeffords says Languedoc needs 'locomotive wines' to drive image of regions and grapes decade after decade to join Rhone, Loire, Bordeaux and they need to be made in quantity to be known regularly our of France. -

Bulk wine

-2/3 of wine is in bulk to begin with -Chile surplus good for bulk deals -In 2006, only one-third of New World wine was shipped in bulk, but by 2013 it was almost half -Building brands made easier by sourcing from wherever is suitable. -Rabobank feels those who can use bulk have already switched over and growth will be slow. -CA 2014 harvest slightly down, but big 2012 and 2013 means surplus wine still on the market (cheap regions soft prices, better regions prices rise) -Australia's vintage wine is pulling back from bulk to focus branded for 2014 vintage for UK market- higher sales do not translate to higher profit due to margin and scale difference, 2014 smaller vintage ...EX...Bulk wines represent 85% of the volume of each vintage produced in Beaujolais, Decanter -Bulk wine profits may be pennies on the liter and very susceptible to currency exchange rates. -Strong dollar US producers have substantial existing inventories of bulk wines and are less interested in imports now, even if prices are attractive. The demand for wines selling for $9 and less has been declining in the U.S. market in the last two years and large harvests in the Central Valley have reduced the need for imports substantially. The strong dollar has probably kept bulk wine imports from falling even more but foreign currencies would have to plunge dramatically to make higher bulk imports attractive.

Argentina

-2000 peso collapse meant influx of foreign investment -lessened drinking in the home market, jug wine dominates -Laura Catena's book Vino Argentino and Ian Mount's The Vineyard at the End of the World, Argentine producers found themselves with no choice but to focus on export markets for growth and that meant major investments to improve quality. The U.S. market was the prime target, a different strategy than Chile, which developed more diversified export opportunities. -Right time for the right grape, good distribution partners -Kim Marcus reports in his recent Wine Spectator article, exports to the U.S. have plateaued at about 13.2 million cases overall. Recent Nielsen data for off-premises sale as reported in Wine Business Monthly paint only a slightly more optimistic picture, with a meager 0.3% growth rate over the previous 52 week and a 2.5% fall in sales revenues over the most recent four weeks. -The U.S. market has indeed shifted. "Red Blends" are now the fastest growing red wine category, rising to #2 after Cabernet Sauvignon and ahead of Merlot and Pinot Noir. I suspect that some of the Red Blend growth is coming at the expense of Malbec sales.- Wine Economist -The economic policies of the government of President Cristina Fernández de Kirchner pushed up inflation rates, which pushed up wage rates, which increased the cost of producing wine. At the same time, the exchange rate was frozen at an artificially high rate, which squeezed margins. Capital controls added to the problem by making it difficult for Argentina to import technology and winemaking supplies from abroad. -The inflation/exchange rate squeeze was particularly hard on the value wine exports that were the initial key to Argentina's success. It is nearly impossible to profit from exports of Argentinian Malbec with a retail price below about $10, so many of these wines have simply disappeared from the market (a few brave firms are absorbing short-term losses to maintain their market positions for the future). -Rising inflation and back stock wine is issue as exports decline 2/2015 -Jose Manuel Ortega exported a type of Malbec, but he recently halted production of Massimo line. Amid Argentina's escalating inflation, labor costs were soaring, and he could no longer make a profit on the lowest-priced bottles selling at retail for $9 to $12 -Argentina produces around 10 times as much Malbec as Cahors does.

China

-2012 Austerity measures slowing consumption growth (no gifts), full effect 2013 -Rabobank thinks growth will stabilize in 2015 (at home buyers less premium buyers) -May 2015 Mouton 'Year of the Ram' auction -Bottle is hard for consumers to recognize until it becomes a full brand. -Thoughts that campaign may wind down in 2017 -w/i 18 months the austerity measures have cut 8.6 mill in public spending-with austerity a lot of luxury spending taking place in Paris -Wine sales 2008-2012: up 17.8% 2012-2013: up 3.3% -low cost Aussie wines doing well -Concerns that China's economy may be slowing down (exports down 15%, imports down 12% in March 2015 ) -Ning Gaoning, the chairman of Cofco, the state-owned grain company that operates China's biggest wine producer,says its wines are "not very good" and have a long way to go -Cofco is trying to improve its wine offering by making acquisitions overseas, buying the Bordeaux vineyard Chateau Viaud in 2011 and Chile's Biscottes in 2010. -China has overtaken France as largest producer (5/2015) -Moet Hennessy to bottle their first Chinese wine for release Aug 2015 -legal dispute with a Chinese distributor over the Ka-Si-Te name, arguably one of the best known Chinese translations of Castel. --Global companies invested in the Chinese market have seen their shares devalued by US$4 trillion since June, with 24 August nicknamed Black Monday. 200 people arrested for their actions that contributed to the crash. -Jean-Baptiste Prot of Castel: trademark protection for wine in China continued to be a costly business for foreign wine companies. 'We spend hundreds of thousands of euros each year on brand protection in China" -Protected place names: Napa Valley, Champagne, and Bordeaux has been added July 2015 -Perceived health motivation still key for Chinese wine drinking. Many new drinkers are under 30 and female.- Wine Intelligence *Building a Brand for China* -Building wine brands in China requires a novel approach, but few labels are ready for the market, according to Wine Intelligence co-founder Richard Halstead. Wine's brand name is a mess in Chinese, the packaging is not right, or the pricing is wrong too. -You must register your trademark before you even launch in China, and trademark rules give priority to those who have a brand name translation, Chinese trademarks are valid for 10 years and need to be renewed for successive 10-year periods. ...EX...While some opt for a "homophonic route where the brand name in Chinese sounds similar to its Western name but is semantically unrelated", others go for the "literal route, where the brand name in Chinese is a direct translation but sounds totally different" - Chuan Zhou. Example brands who have taken the former approach include Santa Rita or Castel, while the latter route has been taken by Mondavi's Woodbridge label or Blue Nun, said Zhou. Best to go the symbolic or brand connective route, where the brand name in Chinese sounds similar to the Western name and establishes positive feelings, ideas and symbols -Important for brand names to carry positive meanings and be easy to memorize -Moët & Chandon, which has managed to develop a Chinese translation of its brand that sounds similar and means "happily drunk", and Australia's Penfolds, which has achieved the same result, with a Chinese equivalent that loosely translates as "run towards wealth". -Macau has Portugese heritage and excellent wine selection, many from Hong Kong travel there for wine. Rising chef culture ...EX....Concha y Toro's corporate CEO for Asia, Cristian Lopez: China is so different to any other market because of how hyper-fragmented it is. There is no other market that is as important and different to the UK market. In the UK, there are about five or six supermarkets that buy 70% of the wine. In China, the off-trade is very small, probably about 1%. there is not one distributor that is truly national. Also, every distributor wants an exclusive product. December 2015, research from Wine Intelligence showed that Concha y Toro was the most purchased wine brand in China. She warns sku proliferation is a mess and one brand identity is important. There will be a bit of consolidation. I believe retailers have a big opportunity. And e-commerce is amazing. Chinese consumers buy online, they are confident of online, they trust what they are being offered. I have never seen anything like it in any market.

Global supply and demand of wine? (2013) (2012) (2008) (2007) (2001) (2000)

-2013 300m L of world wine (up 16% from 2012 258m L). -Total consumption less than 270m L a year -Generic wines at an historic low -WSTA says wine sales fell by 3% off trade 2% on trade in 2014 (mostly still wine, sparkling up 17% in 2014), old world hit hardest with continued volume and value decline. -Rabobank (4/2015) says there is global balance but a tightening on fine wine and availability of generic wine. ...EX CA volume down 10% total, but valley bulk wine is in excess in 2014 -total global consumption of wine fell in 2014 (OIV) traditional markets turning down, OW production was up, NW was stable ...EX.... Prosecco to allow 3,000 ha to meet demand in 2016. this is after a record 2015 harvest, with the DOC reporting a jump of more than 50% in the volume of DOC Prosecco produced compared to 2014. Stefano Zanette, president of the Consortium. "We're estimating being able to produce 450 million bottles of wine from the harvest, which is an additional 144 million from the previous year." *Critically analyse the challenges for wine producers posed by the imbalances between supply and demand for wine in the global wine market.* General Trend towards less and better so often the story is more volume bulk, little fine. Wine lake is slowly resolving. Aussie and France. -Rabobank (4/2015) says there is global balance but a tightening on fine wine and availability of generic wine. Supply of affordable spanish and Italian wine puts pressure on French growers even seeing the dumping of wine on highway by activits in the South of France. Pressure on producers to deliver on the reputation they have built, prosecco that is price -Nicholas Paris of Gallo says demand for Moscato and limitations of area/ harvest means prices will rise subtly, yet will have a major impact over scale. Pressure for producer to make a living and stay relevant on the market. -Hail storm and frost of 2016 Burgundy could mean major low volume - need to be on market to keep relevance up Over supply in other areas makes opportunity for you to stand out -Huge supply of back vintages of Bordeaux and low performing vintages across globe in 2011-2014 meant 2011 port was very popular upon release and has brought new attention to the region even floating recent growth in older tawnys. Consistent supply can mean real brand opportunity ...EX...Apotic is so technical it can overcome much of what nature gives it. Opportunity to have supply from large area and build a larger brand than possible before.

El Nino

-2016 El Nino means dry weather where there is already drought, and increased risk of frost Australia -El Nino may bring elevated Phomopsis pressure to CA, especially Grenache. ...EX... fight Phomopsis dormant application of lime sulfur (10 gallons per acre in 100 gallons of water). If significant rainfall is anticipated after shoots emerge, a fungicide with systemic activity should be applied. -Botrytis may be seen further south, especially in San Joaquine -South Africa's wine-grape crop will probably be the smallest since 2011 after El Nino caused excess heat and dry weather, industry body VinPro said.

standardization of wines/ homogeneity (2001)

-35 most planted grape saw global vineyard rise from 59% 2000 to 66% 2010.

US

-51% of wine sold in the US in 2013 came from Gallo, the Wine Group, or Contellation -34% of wine consumed is imported -2/3 of wine and spirits are distributed by 5 companies LIZ THACH: -7,700 wineries as on Jan 2015 -Largest consumer of wine (go out to eat, pairings, millennials) -Red 51% White 46% Rose 6% in $ spent -10-15$ at home 20-30% out -2012 7 mill tourists to Napa and Sonoma -2-3% annual growth expected -Vinexpo says it is more important than China END ARTICLE -Wine imports into US up by 1% in 2014 (10-14$ up 12%, 14-20$ up 10%) -wineries grew by 7% in 2014 -Central Valley converting vines to almonds as finer wines grow in popularity, not jug -Exports record high in 2013, fell in 2014 due to strong dollar. -Domaine Serene to buy Burgundy vineyard, changing typical direction of purchase. -largest wine consumer and target import market for producers. -30% of population in 20s like wine and spending less on more -22 years of consistent and regular consumption -The U.S. holds first place in total wine consumption -millennials drinking still sweet wines and prosecco -predicted 2016 Strong US dollar will fuel imports including more interesting wine from SA, Georgia, etc. that will compete with a more crowded domestic market -Millennials in US do not drink one category so wines sales not as strong in 2015 b/c of them as they drink across categories -Restaurant wine sales in 2015 stayed suppressed as millennials start meal with cocktail/beer and have wine with dinner saving money ...EX...25% or OR wineries in financial distress ...EX...French wine brand Lamothe Parrot has added a new label to capitalise on the growing demand for sweet red blends in the US. 'Scarlett Dark'

ingredient labeling (2012)

-Allowed in US June 2013 ...EX...The Wine Institute, which represents more than a thousand California wineries, said in a statement that it supports the ruling but "experience suggests that such information is not a key factor in consumer purchase decisions about wine." *Calories* -Treasury has said it would provide calorie information across its entire portfolio of bottled wine to help consumers to make more informed choices. -Earlier this year Diageo became the first drinks producer to commit to calorie labelling, confirming it would be adding nutritional information to all of its products, which comprise largely spirits, as soon as possible.

App, Vinyard, and GC PC satus

-Alsace to make push for Pinot Noir Grand Cru status -

Georgia

-Amphora wine 'qvevri' UNESCO world heritage list -Georgian wine exports grew by 56% in the first two months of 2016 compared with the same time last year, with over half of the country's wine shipments going to Russia. The growth comes just three years after Russia lifted its ban on Georgian wine imports after diplomatic tensions between the countries began to thaw.

attracting new generation (2012) (2003)

-Andrew Jeffords says Languedoc needs 'locomotive wines' to drive image of regions and grapes decade after decade to join Rhone, Loire, Bordeaux

AGWA

-Australia Grape and Wine Authority -July 2014 -based in Adelaide -marketing, R&D, regulation -budget is $34.7AUS for 2014/2015 -formed by joining Wine Australia Corporation (WAC) and Grape and Wine research and Development Corporation (GWRDC) -Working for future generations, looking out 25-30 years to be with the best -Want to get winemakers in the market to tell their story -Working with tourism Australia

Crowd Funding

-Burgundy's Domaine Chanzy first company to use crowdfunding for IPO

Wine and health (2013) (2011)*

-CDC in US say 1 in 10 working age citizens die from alcohol -concerns over the combination of pesticides creating issues ...EX...France 2's documentary entitled 'pesticides, our children at risk' spurred 600 protestors to take to the streets of Bordeaux -1 booze free night a week may reduce risk (Copenhagen) -Until the 18th century, wine central role in medical practice, safer to drink than most water -many cancers, nerve and muscle wasting, blood disorders, raised blood pressure, strokes, skin infections, psoriasis, and infertility increases with high intake -The most beneficial effect of wine is its contribution to reduced mortality from coronary heart disease, it is the alcohol in alcoholic drinks which has been identified as the single most important ingredient in prevention of cardiovascular disease -Alcohol moderates the level of inflammatory blood chemicals called cytokines which adversely affect blood cholesterol and blood-clotting proteins -Moderate alcohol consumption improves the balance between the harmful and beneficial forms of cholesterol -Alcohol has two anticoagulant effects which make blood less likely to clot in the wrong place. It makes the platelets slightly less sticky, and it reduces the level of fibrin available to form a clot. -An added benefit for moderate drinkers is increased vascular elasticity, enabling a more rapid flow of blood through the arteries and lowering risk of cardiovascular disease -The anticoagulant effect of alcohol lasts less than 24 hours -binge leaves him or her temporarily over-anticoagulated (and at increased risk of a stroke due to bleeding) -phenolics=antioxidant, inhibits not only the oxidation reaction by which LDL-cholesterol is formed, but also inhibits reactions which make platelets more sticky and the lining of blood vessels liable to promote a blood clot -resveratrol protects cells from cancerous change -even modest alch consumption increases breast cancer risk (esp women under 60 who have healthy hearts) -digestive track cancer, strongest at mouth/espohegus lessens down to colon -moderate consumption and reduced risk of ovarian, prostate, and lung cancers -resveratrol may help to fight chronic bronchitis and emphysema by reducing the amount of chemicals in the lungs that cause the diseases -histamine and sulfites may cause respiratory issues for sensitive drinkers -phenolics and histamine cause headaches -moderate wine drinkers are less likely to develop various dementias, including Alzheimer's. Heavy drinking may cause. -the visual cells of moderate wine drinkers are 20 per cent better preserved than those of non-drinkers and drinkers of beer and spirits -moderate drinking and improvement in bone density. Those such as post-menopausal women at risk of osteoporosis may find a glass of wine a day beneficial rather than harmful. -moderate drinkers are more sensitive to insulin than non-drinkers, and an American study which found that moderate drinking is associated with a significantly lower risk of developing non-insulin-dependent diabetes. -ulcers now known to be caused by bacteria presence, moderate wine and beer drinkers less likely to be affected. -some evidence that moderate drinking reduces gallstone formation. The major component of most gallstones is cholesterol, so the benefit is probably due to wine's effect on cholesterol metabolism. -glass for glass, women, regardless of their weight or size, absorb relatively more alcohol than men because of differences in levels of stomach enzymes, their lower body water content meaning that alcohol is more concentrated in their tissues and, if they are also taking the contraceptive pill, more slowly eliminated. ...EX Sauternes: town of Preignac has a population of 2200, and its child cancer rate runs at five times the national average. A recent report by government scientists could not rule out the possibility of a link to pesticides sprayed on the vineyards of Sauternes, which surround the village's nursery and primary school. Folpel, a fungicide classed as a "probable carcinogen" by US authorities. Jean-Gilbert Bapsalle, the current mayor, promised to buy the vineyard nearest the school in order to create a buffer zone. ...EX...Mondavi had neck tags proclaiming health benefits after 60 minutes french paradox, FDA forced to remove ...EX... Italian study found it was imp to consume wine with food for beneficial effects ...EX The higher UV radiation found in Chile results in a greater concentration of polyphenols in the grape skins, which are what give the beneficial antioxidant effect. Some other New World countries including Argentina and South Africa also have higher levels of polyphenols than Old World counterparts. ...EX in SA, The Audacia winery on the Western Cape, replaces the traditional oak wood with indigenous rooibos and honeybush wood. rooibos is not only rich in antioxidants, but also significantly increases our blood's capacity to absorb the nutrient. The higher antioxidant levels also help preserve the wine naturally. This means the rooibos-and-honeybush vino is free of a preservative by-product, sufites, which is found in most wines. ...EX...US wines have high arsenic arsenic levels ranging from 10 to 76 parts per billion, with an average of 24 parts per billion. The US Environmental Protection Agency allows drinking water to contain no more than 10 parts per billion. (Oct/2015) This is after summer scare that Gallo wine bottles had arsenic leaching into them (they used arsenic recovered from filters to use as a filler in their glass bottles. New belief is that arsenic is from 'underlying geology' or water used for irrigation. Case thrown out 1 year later. The judge upheld that the wineries were following current labelling regulations by clearly warning consumers about the dangers of alcohol, and that there is no current regulatory requirement to disclose the presence of trace arsenic in wine. Defendants also argued pointed out that there has been no government ruling that the trace levels of arsenic found in wine pose a health risk. -The number of deaths linked to alcohol consumption in the UK has nearly doubled in the last 20 years, The Office for National Statistics -chemicals known as phenols - most commonly found in red and sparkling wine - can help to protect brain cells from damage. May prevent dementia

Custom Crush

-Ch Clinet opens some Merlot vines to local custom crush provide -Two Burgundy winemakers, Dominique Lafon and Pierre Merguey, have launched what is believed to be the first custom crush-style winery in the Côte d'Or. 'The Wine Studio'. Rising land prices gain interest in crushpad winemaking

Japan

-Chile success in maturing trend in Japan, more than tripling their share of the market over the past 7 yrs and overtaking France late in 2014, says Rabobank (2015) -Australian winemakers are also seeking a greater presence in Japan after the two countries implemented an economic partnership agreement earlier this year. The deal is set to eliminate Japanese import tariffs on Australian wine withing seven to 10 years. (2015)

premiumisation

-Clos Lanson is a vintage Blanc de Blancs that has been fermented in old oak barrels and aged for eight years on its lees. Single Vineyard. - Held in Washington, D.C., the US Beverage Industry Expo (USBevX) said that premiumization in packaging in branding was new normal -

Russian Wine

-Dec 2014 in reaction to sanctions may ban european wine imports, wine importers concerned over great loss, France #1 premium wine and 1/5 of all imports -Will invest in own vineyards and infrastructure, but not enough. -Russia to set minimum alch pricing in 2015 to reduce fraud and encourage local wine

natural wines positive/negative (2012) (2011) (2001) here to stay? (2015)

-Definition: RAW in London, It stipulated that wines must be certified organic or biodynamic, use natural yeasts and have no additives except for low levels of sulphites - a maximum of 70mg/l, well below EU maximum levels of 160mg/l to 400mg/l depending on the wine style. Wine makers shouls also have avoided winemaking 'gadgetry'. -While adding sulfites precludes American winemakers from obtaining the official organic certification, many American winemakers who are considered natural or biodynamic, such as Donkey & Goat, add a little sulfur before bottling. *Concept* ...EX...JayRo calls out macro trends for natural wine pop in Aussie as: more whole-bunch fermentation, lower alcohol, less new oak, more natural acidity, prolonged lees contact, unusual grape varieties. -Is it simply a pendulum swing from Parkerized wines? -The industry's ethos rests on the principle of interfering as little as possible in the winemaking process, the idea being that the laissez-faire method lets the terroir and grapes speak for themselves. -just because access to and interest in natural wine is increasing doesn't mean that it's readily understood -Because of the minimal interference during production, natural wines reflect the year's climate more than a commercial wine that might have been altered, so they can vary tremendously vintage to vintage. They could even change dramatically after sitting in a glass for a few minutes. ...EX..."Think of it like a Roquefort blue cheese," Jared Brandt from natural winery Donkey & Goat says. "A Roquefort may develop in your fridge over time," he explains, while a generic blue is more stable and has less personality. *Sulfur* ...EX...Simon Woolf for Decanter tried 2 Sauvignon Blanc 2012s made by Sepp Muster, a biodynamic grower in Austria's southern Styria region, both sourced from his Opok vineyard side by side with difference of 10mg (yes mg not ppm) of sulfur addition difference. One with less sulfur was fresh and vibrant and one was more muted and 'lemonade rather than lemon'. -'contains sulfites', legally required to grace almost all bottles of wine sold in the US since 1988, and within the EU since 2005. Only those with less than 10 parts per million (PPM) are exempted, and here's the rub - the fermentation process can produce more than that naturally, without any added SO2, meaning that even many 'no added sulfite' wines must display the offending words on the label. -sulfite intolerance reportedly affects less than 1% of the population -wine 20-200ppm dried fruit 500-3,000ppm -some believe SO2 also mutes the delicate nuances that express vintage or vineyard character ...EX...Purity is the ultimate goal for many producers on the no-SO2 path. Alaverdi Monastery, in Georgia's Kakheti region, simply strives to make its wine 'good enough for God'. In the eyes of the monks, any additive, SO2 included, would render the wine impure and thus worthless. Belgian Frank Cornelissen, who has made wine on the slopes of Sicily's Mount Etna since 2000, has the similarly straightforward goal to make 'wine with nothing added'. His imperative isn't spiritual, but built on the conviction that fine wine can be a totally additive-free product. Cornelissen believes that the knowledge of how to make wine without sulfites has simply been lost over time: 'We have to re-learn these skills, which is a slow process.' ...EX...Isabelle Legeron MW agrees: 'Growers are still learning how to make wine with no added sulfur - they only get one go at it every year! Perhaps it's better if a grower gradually reduces the SO2 each year, rather than immediately trying to make a no-sulfur wine.' -When sulfite inputs are forsworn, the risk of bacterial or microbial infection is vastly increased. Obsessive hygiene has to take their place - Cornelissen uses ionised air to clean his cellar. A more 'laissez faire' attitude is required when it comes to speed of fermentation, and the yeasts that will be involved. Conventionally, SO2 would be used to see off any wild yeasts on the bloom of the grapes, so that the winemaker can inoculate with his or her choice of laboratory yeast. -issues with low SO2 vary from funk to mousey (different than Brett) -Bottle variation high ...EX...Stellar winery in South Africa's Western Cape is a large-scale producer that very successfully introduced a no-SO2 range of wines to the UK's supermarkets in 2008. ...EX... Jules Chauvet and Jacques Néauport, widely hailed as the godfathers of the natural wine movement, started experimenting in Beaujolais in the 1980s. -The results can be stunning in their clarity and character, but for most winemakers, the unpredictability and risks of spoilage or instability are simply too great *Labeling* -The South African Wine and Spirit Board (WSB)- (regulates exports and Wine of Origin scheme). They added new categories pushed for by The Swartland Independent group 'natural wine' "skin-macerated white", "extended barrel-aged white/gris", "natural pale/non-fortified pale", "methode ancestrale", "alternative white/red" and "sun wine". Took 2 years. (Oct/2015) ...EX...According to Loire Valley-based winemaker Laurent Saillard, who previously owned a restaurant in Brooklyn, New York, the idea to make natural wine a category "comes from the people outside of the natural wine world. It doesn't come from us. And what the ---- is natural wine anyway? I could not say." Saillard feels that any kind of official label-whether organic, biodynamic, or natural-is restrictive. "I don't want to be kept in a box," he states. "One of the reasons why I'm doing wine now is to be free and do whatever I want to do." Saillard has no organic certification, although he practices biodynamics in his vineyards. He simply does not care to pursue the designation. "The other guys should put on their label, 'poison,'" adds Saillard. "Wine is the only food product where you don't have to list any ingredients. It doesn't make any sense to me. People would be shocked to see the ingredients in a bottle of wine." ...EX...Scott Frank, who makes his Bow & Arrow wines from top biodynamic vineyards in a Portland, Oregon warehouse, says, "That's like saying you're going to make a category for punk rock, and some panel is going to adjudicate whether your band qualifies as punk rock." *In the Market* ...EX...Anfora, wine bar in NYC specializing in oxidative natural wines ...EX...Nick Tilly, general manager of June, a one-year-old natural wine bar in Brooklyn's Cobble Hill calls Natural Wines spiritual ...EX...natural wine stores like New York's Wine Therapy and San Francisco's Terroir, and at natural wine bars—a trend unto itself, thanks to newcomers like June and The Four Horsemen. You'll also find an increasing number of restaurants, like Salsipuedes and New York's Wildair, which are building wine lists that exclusively feature natural producers.

relevance of ability for wine to age (2005)

-Dr Valérie Lavigne of Bd says that as grapes are picked later wine is less age-able, She is researching Premox (premature Oxidation)

Duty/ Taxes (2006)

-Drop the Duty Campaign to cut duty 2% in March 2015 (letter writing, create jobs) -MPs backing DtD in Feb 2015, taking call to chancellor -Free Market think tank Economic Affairs thinks UK liquor generate twice as much revenue from taxes than it costs government in health and safety costs. 4bn in costs (including jail and hospital), generates 10bn. Alch related Crime costs UK 1.6bn, health 1.9 bn, and welfare for those who cannot work due to alcoholism 289 mill in pounds. -The Institute for Fiscal studies says that the current structure of UK alcohol duties is "not well targeted at harmful alcohol consumption" and should be overhauled. "As heavy drinkers tend to consume stronger alcoholic drinks, reversing the long-run trend towards lower spirits duties would target the system better at them. "A litre of 7.5% abv beer is liable for duty of 138p, while a litre of 7.5% abv cider attracts duty of only 39p". Taking on the argument for minimum unit pricing, the independent think-tank said: "Changes of this nature should take precedence over imposing minimum prices, which has legal obstacles and which would likely result in windfall profits for drinks companies." -The British government is set to rake in £4 billion from British wine drinkers in duty tax this year alone - a new record amount. The Office for Budget Responsibility says the record tax collection is the result of British wine drinkers having to pay 55% of the price of an average bottle in taxes. The new record won't last long though, as by 2020 the tax collected from wine drinkers will grow by 25% reaching £5 billion, the government's fiscal watchdog is predicting. -...EX...UK consumers currently pay 55% tax on an average priced bottle of wine at approximately £2.05 per 75cl of wine, the second highest rate in the EU. For sparkling wine duty is 28% higher at £2.63 per bottle. For spirits this rate jumps further still to £7.26 per average priced 70cl bottle. Overall, the average Brit pays around £333 in alcohol tax every year, according to the WSTA. -Spring 2016 ...EX... UK budget release with duty freeze on beer and spirits, not wine. The increase wine duty in line with inflation will see drinkers pay £1.3 billion extra over the next five years says DB.

Vine Pull Schemes

-EU winemakers pushing for added subsidy for sloped regions

Tesco

-Employs 310,000 people -David Lewis CEO, Alan Stewart CFO -October 2014 misstated profits 263mGBP -9 senior executives suspended (Dec 2014) including Dan Jago head of beer, wine, and spirits, -Serious Fraud case opened -Dec 2014 announced end of kickbacks instead wanting wine at lowest price upfront for transparency (may lead to gross margin decline and puts pressure on suppliers before full wine commitment is accepted and paid). -New investigation launched Jan 2015 into suppliers (Diagio, Unilever, etc) -Feb 2015 giving former execs 2 mill pound pay out they were contract due -Dan Jago (head of wine, beer, spirits) to return 3/2015 amid rising competition amidst scandal -Spring 2015 posting biggest loss in history of company 6.4 billion -pension for 300,000 people (largest in the country) short by estimated 5 bn p. -Jan 2016 The Grocery Code Adjudicator found an "unacceptable and unreasonable" culture of obstruction and misinformation among Tesco's finance and buying teams when it came to dealing with supplier payments. Employees were encouraged to withhold payments to suppliers until after certain dates in order to avoid underperforming on targets. potential criminal charges being levied against Tesco employees - ongoing probe by the Serious Fraud Office

Mosel Bridge

-From Urzig to Rachtig over vineyards of Zeltingten and Bernkastle -Pro Mosel- Group anti bridge, never want to see it finished, claim the slope stability is unproven for construction

Industrialization of wine (2014)

-Gallo has tripled its production in Napa Valley with the purchase of The Ranch Winery, a custom grape-crush facility with a capacity of 30,000 tons. -Industrial Parks: Startup costs are much less, government regulations on tours and tastings fewer, locals walk over, and good signage ...EX Urban Winery: Spelletich Family Wine Co., which hosted 50 visitors in March at its Napa Valley Commons business park -Bayer Pharmaceuticals to voluntarily pay grape growers in Austria, France, Germany, Italy, Luxembourg and Switzerland after 2015 crop damage from fungicide Moon Privilege. Grape growers reported deformed leaves and lower yields after using the chemical, with losses in Switzerland estimated to stand at 80 million Swiss francs ($83.73 million), according to marketing group Swiss Wine.

Units & Min Unit Pricing

-US one per day women, 2 men -UK Responsibility Deal was for Industry to remove units from the market. They removed 1.9 bill units from 2011- 2013 instead of the promised 0.3 putting them 2 years ahead of promise. Low alcohol products, especially beer. *MUP* -9/2015 MUPs may be illegal opinion given by advocate general of Euro court of justice. Should only be used when shown to be only resort.

Greece

-George Skouras thinks Greece needs iconic varietals to rise further. -during economic crisis summer 2015 "Greece being on the front page is a kind of publicity," says Stellios Boutaris, managing director of Kir-Yianni winery in Naoussa. "People are looking for good Greek stories. Wine is one of them." -Since the crisis erupted in 2009 and domestic consumption plummeted, Greece's wineries have turned their attention to the export markets. Overall exports increased by 2% from the beginning of 2014 to November -the capital controls that were imposed in June 2015 have created challenges, because they make it difficult to pay suppliers for necessities such as bottles, barrels and corks. "Everything comes into Greece and nothing is produced inside," says George Zacharis, commercial director of Domaine Costa Lazaridis, which exports 50% of its production.

wine medals, scores, competitions (2003)

-IWC claims sales grow 15% at retail with their medal sticker on wine (Jan 2014) -Wine writers who tell story more compelling than scores to millennials - Mark Andrew of Roberson regarding Asimov NYT.

Moscato D'Asti

-In 2012 it was the #3 white wine consumed in US - 2011 data making it the fastest-growing style of wine stateside: up 73 percent in both volume and revenue from 2010 -

Coops Cooperatives

-In Trentino families average 1 ha of vines each -Cantina di Soave (Director General Bruno Trentini) has consolidated with many small local coops to be a super coop -growth through export key right now -Modern co-ops are undoing the image problems and communications blunders of the past to enhance their image through new brands. -A new generation of co-ops is focused on regional identity and indigenous grapes. Because they represent large groups of farmers, co-ops can also be an important producer of sustainable energy through green initiatives. -Founded in 1898, Cantina di Soave boasts 2,200 growers and 15,000 acres of vine spread across the regions of Soave and Valpolicella, closely identified with Amarone and ripasso wines. It controls 45% of all DOC Soave and 50% of DOC Valpolicella. The group has aggressively purchased all of the smaller co-ops in its vicinity and is gearing up for a major product launch in the U.S., thanks to a ramped-up distribution network. -KWV in SA *How important is a strong co-operative in a European wine region? * COOP: Commercial Organization with winemaking capacity, earliest winemaker unions 1830s in Germany, France late 19th century majority post 1930s depression. Produce range of wines. Pay membership and share winemaking, costs, and marketing. Access to subsidies, bottled by producer label. Best are creating brands and individual identities for wines Important but declining as people find more profit in self production. Often most successful where wine sells for value price and many small holders though Caves de Rauzan in Bordeaux is largest and Champagne also an outlier. Meet the needs of the Stakeholders and continue to invest to grow with their needs: Caves de Rauzan accept nearly every grape, important for sell off of marginal fruit for growers. Meet their needs by employing modern technolofy (Gulf Stream hot skin contact and blow off pyrozine) to turn out decent red wine and make fruit into something that reflects the area well. Quality and reputation: A strong coop can give a regional identity and promote local wines. Many consumers enter a category at the lowest price point and often these are coop wines. ...EX...Württemberg coop Lauffener Weingärtener offers value entry wines with strong identity to grown sparkling and dry red. Trollinger from Lauffener Katzenbeißer single vineyrad for 3Euro retail. Production plan based on the market: David Henault stopped fining Nicholas Feuillatte (5,000 growers) and uses a dosage of 10g/l which a large band of consumers prefer - in his opinion. Nicholas Feuillatte use of Pinot Munier has kept the grape thriving as it has an outlet (thier rosé is mostly Munier offering fresh juicy fruit more immediate style). Market access and secure future for those with less resources Cultural importance: They keep the small grower alive, celebrate the coming together of resources for and by a community.

Liv-ex

-James Miles, managing director of Liv-Ex -Jan 2013- June 2014 relentless decline -June 2014-Dec 2014 beginning to steady -Dec 2014 Bordeaux seems to be in recover in anticipation of en Primeur -2014 14% increase in transactions value of exchanges have fallen 16% -Hope 2014 en primer will inject positive energy with value

Canada

-Jan 2014 proposed laws to favor BC wines (allowing to sell in grocery stores etc) may violate NAFTA, GATT, and EU agreements. Goes into affect 4/1/14

En Primeur 2014

-Liv-ex James Miles warns that 2014 may kill en primeur if prices are misjudged - 2011,2012,2013 judged failures -negociants in bad shape due to waning grocers sales in economy -Vintage may be best since 2010, but still may need to drop prices -Thienpont think 2010 caused issue, 2 great in a row and did not readjeust for 2011 -Question is: Is there money to be made as an investment? - Chateau profited, buyers did not -2005 prices down, 2010, 2011, 2012 too -Top chateau give idea that all Bordeaux expensive -En primeur for the sake of the pleasure of collecting? Make more fun instead of investment for financials? -UK retailer demand price cut leading up to en Primeur, want correction -Charles Sichel, "To be honest I don't think we'll see a price decrease from anyone." -The head of Bordeaux's Union des Grands Crus has said he is 'disappointed' that three top chateaux, Haut-Bailly in Pessac Leognan, La Conseillante in Pomerol and Figeac in Saint Emilion, will only show their 2014 vintage en primeur wines at their own estates rather than at official tastings. - ch. leaving grand tasting suggest chateaux are taking a more hands-on approach to en primeur week. ...EX 2014 Campaign 4/2015 "The last five vintages, the collector, the end-user, the person the chateaux ultimately wants to buy the wine, they are out of pocket. They would be better off having not bought en primeur," said Justin Gibbs, the co-founder of Liv-Ex (South China News) -Unsold stock from 11, 12, 13 vintages is between 10 % and 150 % higher than average, says Liv-Ex, while en primeur trading as a percentage of all Liv-Ex sales dropped from 15 %, when the well-regarded 2009 vintage was released, to 1% during the 2013 vintage campaign. -Mouton released at a few pounds over 2013, smart. Called a 'true opening price'. -Lynch Bages, Angelus getting interest b/c of low euro -From the 2015 vintage, Bordeaux first growth Château Mouton Rothschild will be offering fewer wines en primeur due to a rising demand for wines in bottle in Asia. They say their cellars are too empty after en Primeur

New Zealand Sauv Blanc

-Marlborough Sauvignon is distinctive because it is elevated in both methoxypyazines [which give greenness] and thiols [which give passionfruit/tropical aromatics] -Thiols are formed by yeasts from precursors present in the grape must -High Thiols in NZ: including the high UV environment in New Zealand, as well as the prevalence of machines to harvest Sauvignon - machine-picked fruit has 10 times more thiols than hand-picked fruit, which, Jamie Goode said, may be due to damage to the Sauvignon, or the creation of aromatic chemicals during machine harvesting as a signal to other plants.

Biodynamic

-Monty Waldin said in conventional wineries he was always asked to break the law. -25% Roederer Champagne -Yields fall 20-30% in first and second year of conversion -Duroux said that Bds rainy climate should not be a deterrent. 'In Champagne, the climate is even worse. You either want to do it or not.' -2% of vineyards across France are certified biodynamic (April 2015) -Thibault Liger-Belair owns two vineyards (Nuits-Saint-Georges and Moulin-à-Vent) refused to spray vines at his vy in Beaujolais with a pesticide to prevent the spread of flavescence dorée following an outbreak 25 mi away in the Mâconnais, prompting the French Ministry of Agriculture to summon him to court. Liger-Belair argues that the pesticide will not only kill leafhoppers, but also other insects that form part of the balance of nature he has built up in his vineyard. -Burgundy, Emmanuel Giboulot, had his conviction for failing to spray his vines overturned on appeal. ...EX...two-hour film by Martin Boudot and Elise Lucet for the series Cash Investigation highlighted wine pesticide use and sent shockwaves. Traces of 44 different pesticides were found in hair samples taken from school children (with their parents' consent) - 24 of them either banned or classed as particularly dangerous.

wine staying relevant (2005)

-Paul Symington says people drink less formally now and port must stay with the times. His Tawny Port has grown in 10.8 million Euro in the last 5 years.

fortified wine trends (2009) why not more popular (2015)

-Paul Symington says people drink less formally now and port must stay with the times. His Tawny Port has grown in 10.8 million Euro in the last 5 years. -IVDP in Port can be applied to BOB brands (supermarket) stripping it of it's value (TONG #17) -Clear move in port is from price conscientious to quality conscientious -2011 vintage vivid in wine buyers mind in midst of skyrocketing Bordeaux price and followed by crap vintages (TONG #17) -New IVDP laws allow large format bottling of vintage port, Paul Symington 'we should only be aging in magnum and bigger' large format gain attention in cellar -Current issues with people drinking their vintage port too young, yet there are lots of bottles of old port around -Vintage Port academy by Taylor-Fladgate and Symingtons -Success of age statement tawny had lead to discussion of marketing like scotch, Craft thinks this is a mistake. (port already seen as high alcohol, does not need to piggyback) -Port seen as a lifestyle choice of wealth, as wealth spreads globally so does image of port -Reserve port about 12% of port, introduction to quality -Port 800,000 consumers visit annually -New consumers are savvy and can absorb wine culture, rich culture around port (hear stories and become story tellers). -More British people are planning to drink vodka and cider over Christmas than traditional favourites like Port and Sherry, a YouGov poll has revealed. Only 3% of those surveyed plan to order fortified wine at a restaurant, and a mere 8% said they would drink it at a friend's house.

Bordeaux

-Pontallier ( Château Margaux) said that the Bordelais had always struggled with too much austerity in their wines and welcomed the new generosity of the modern vintages. -Director of Cos d'Estournel: de Gironde embraces the new opportunities for riper fruit and less green tannins but not at the expense of the backbone of structure that helps differentiate Saint-Estèphe from not only other countries, but also from other regions within the Haut-Médoc of Bordeaux. -Latour has kept their notoriously powerful, backward style, and they no longer participate in the en primeur campaigns. They have said that en primeur doesn't make sense for their wine, which can only be appreciated 10 to 15 years down the line. -From the 2015 vintage, Bordeaux first growth Château Mouton Rothschild will be offering fewer wines en primeur due to a rising demand for wines in bottle in Asia. They say their cellars are too empty after en Primeur *Wine Museum* -Open 2016 -63m Euro projected, million over -Will contribute 40m Euro to economy & 250 full time jobs

Fraud wine (2014)

-Prosecco trying to protect name like champagne, Winter 2015 other 'proseccos' popping up including Australia. -auction industry, which quintupled to USD248million in 2014 from USD92million in 2000 - Kurniawan USD35million worth of blue chip wines -Rodenstock, TJ bottles -joining Bordeaux, Mosel and Piedmont, Burgundy and Champagne were globally recognized by UNESCO as celebrated viticultural heritage sites. -"for every real bottle of French wine in China, there is at least one counterfeit bottle of French wine, and the situation is only getting worse. It's enormous," said James de Roany, former president of the CNCCEF Wine & Spirits commission and a business consultant. -In China demand for imported French wine has deteriorated in 2014 as many consumers distrust the category given they are counterfeited rampantly SPRING 2015 -Downey plans to launch a subscription website in March 2015, WineFraud.com FALL 2014 -Wolf Sung struck, conman claimed to have party paid, collected then check cancelled by bank. Made check look like transfer. 50,000p -London's Pied à Terre, posed as wealthy Arabs 11,500p -Midsummer House in Cambridge, posed as football player's buyer, 28,000p -1800 bottles Cote Rotie from Garon stolen 100,000 Euro Winter 2014/2015 -French Laundry robbed over holidays (76 bottles valued at $30,000), wines recovered in North Carolina. Believed to have buyer in place. WINTER 2015 -Russia to set minimum alch pricing in 2015 to reduce fraud and encourage local wine SPRING 2015 -EX Jolie-Pitt rose wine anti-counterfeit protection in the form of an engraved hallmark set into the foot of the glass bottle, similar wine Miramas rose (knock off), release to confuse no english speakers SUMMER 2015 -Nicolas Jones, the 46-year-old former director of Worldwide Wealth Collections, has been prevented from holding an executive position in a company for 12 years after a high court hearing (Cold call, intimidate, get money, never buy wine) -The director, Scott Elliot Andrews, 26, of a fraudulent wine investment firm, Capital Bordeaux Investments (CBI), has been banned from running a company for 11 years after conning at least 10 people out of £60,000. The company falsely claimed to have been operating since 1995, despite the fact that its director would only have been six years old. The investigation into the company found that at least 10 members of the public paid a total of £59,750 to invest in bottles of fine wine that never even existed. Winter 2015-2016 -Stephanie Reeves and Michael Egan authenticated Rip off Rudy's wine cellar, found most of it real. -The Napa Valley has received a 'Certification Mark' from the US Patent and Trademark Office, took 5 years to get -England's High Court has ordered Prestige Fine Wine Ltd to be closed in the public interest after a hearing that also included allegations that the firm used false data to persuade people to invest in wine, including an elderly man with Alzheimer's. -Kurniawan lost appeal over 10 year wine fraud conviction -3.3 million GBP of DRC stolen at LCBO port -Just before NYE 2015/2016 UK warned of high end fake alcohol: Drinks containing toxins including chloroform, anti-freeze and ethyl acetate have been found in counterfeit bottles of alcohol across the country, Trading Standards has warned. -Italian police have seized over 9,000 bottles of fake Moët & Chandon Champagne from a shed in the countryside near Padua in northern Italy, worth around €350,000 Suspicions were raised when police noticed the bottles didn't have serial numbers on them. Spring 2016 -Jeff Berrill, 36, of Northampton, England, ran fraudulent wine investment firm Westminster Fine Wines from October 2011 until it was liquidated in February 2014. In total, documents suggest Berrill received £335,720 from conned clients, including those who have yet to make a claim against him, over the course of the company's existence. -Drinks baron Vijay Mallya's £53 million severance package from Diageo has been frozen, while India's financial conduct watchdog has named him as part of a money laundering investigation. He faulted on a number of bank loans.

regional signature wines (2013)

-Rioja has 140 taster control board that tastes wines from cask and organoleptic and lab tests. Must meet specs and reflect region -Andrew Jeffords says Languedoc needs 'locomotive wines' to drive image of regions and grapes decade after decade to join Rhone, Loire, Bordeaux

rose trends (2007) (2000)

-Rose is booming! -Provençal rosé imports to the U.S. have grown by double-digits every year during the past decade, hitting a new high of 6.9 million bottles in 2015, according to Wines of Provence, a winery-funded trade group. ...EX...Chapoutier purchased Château des Ferrages estate in Provence with 67 acres of vineyards. - #yeswayrose #roseallday #brose social media trend in US -US is 3rd largest producer of rose (not known to natives) behind France #1 and Italy #2 -in 2014 0.25 million liters exported from provence to US, in 2015 5 million liters exported -Rose search on Google Trends has been climbing steadily while breaking record in June 2014, strongest in coastal areas reinforcing taste maker hypothesis -20% of imported rose drank in NYC, 15% in Miami -55% female 45% male -US drinks 13% of all rose, 2nd only to France ...EX...'Sales are better than ever before,' said Greg Tuttle, senior manager, social business for Total Wine, established in 1991. 'And purchases are more diverse as well, going beyond established brands or the obvious fruity styled rosé wines.' ...EX...In September 2014, figures showed that so-called blush wines saw their volume share of wine sales had fallen over the previous 12 months; White Zinfandel was down 10.5%. But, dry rosé wines increased volume share by 5.1% in the same period, according to Vins de Provence. It added that retail sales of premium imported rosé wine (at or above $12 a bottle) grew by 52% in dollar value and by 41% in volume in 2014. By comparison, total table wine sales grew by 3.3% in value and 1% in volume in the US. The average bottle price of premium rosé in the US was $16.83 in 2014. - as sweet pink got traded in for dry rose sweet red and moscato exploded -In France, rosé wines have been a hot item for years now: rosé wine consumption has increased every year since 1990, setting a new record in 2013 when it represented 30% of total wine consumption. Over the past 23 years, rosé wine consumption has nearly tripled! -In France 9 out of every 10 wine drinkers say that they drink Rosé ...EX...Grant Reynolds, who sold over 1,200 bottles of rosé last summer at Charlie Bird in the West Village NYC alone, and who invested some serious effort into just having enough bottles of rosé chilled down at one time to accommodate all of those sales. -A taste before you buy approach is more difficult for rosé than with many other categories of wine, as such a large percentage of rosé is sold pre-arrival, with orders and allocations being determined before any wine is imported

Additives

-Some US wines, Fetzer named in lawsuit, have 500% or more diethylene gycol than what is considered the maximum acceptable safe daily intake -Tannin VR Supra, an additive that improves wine's structure

Burgundy's current situation (2001)

-St James' merchants, Justerini & Brooks, which pioneered the then revolutionary concept of selling Burgundy futures beginning with the 1990 vintage. -Burgundy 2014 En Primeur is poised to be a big success -rising demand and prices, new interest from the East - -

Fair Trade

-Sweden 50% of fair trade wines sold and consumed there

Discounting

-Sweden drinks monopoly bans BOGOs to limit consumption -Dutch duty increase has busted 1.99Euro price point -BOGOs can hurt brand loyalty (promo junkies) -Temporary sales boosts mean discounting will need to be reported more and more to sustain growth ...EX...Rob Harrison, general manager for Accolade in the UK and Ireland "We have moved away from discounting since summer 2015. Australian wine was pretty leveraged on that in UK. Consumers felt reassured by Australian brands. But what we are seeing now is that those discounts are being taken out and it means Australian wine is dropping into a much more concertinaed price range. It's going to be a real challenge to get consumers to understand our offer and understand where the trade up is coming from. Chile is a good example of that. They are doing it better. They are a little more fit for purpose in the respect." -subsequent price hike of their wines, while supermarkets' moves to consolidate and reduce their ranges, in response to the success of discount retailers such as Aldi and Lidl, has increased competition. ...EX...Sainsbury's has committed to phasing out multi-buys - including on beers, wines and spirits - across its stores from August. ...EX...Over Easter weekend The UK's biggest supermarket chain is selling Pol Aimé Brut Champagne with a 25% discount applied to its already low price of £9.95, applies when shoppers buy six bottles. Becomes less than £7.50. Tesco has exclusive rights to sell Pol Aimé meaning they will not damage their own brand by lowering prices but may damage brand champagne.

responding to consumer needs (2006)

-Tesco has non-UV lighting in its wine section.

Asia, Southeast

-The Great Correction and Austerity in China affecting -shifted to reg consumers with smartphones -give up steeper margins for cheaper wines, still pursuing bigger markups -people eager to learn but don't have high purchase power

France: St Emilion

-The INAO is facing legal challenges from four estates, Croque-Michotte, Corbin-Michotte and La Tour-du-Pin-Figeac, who were stripped of their Grand Cru status in 2012. -Châteaux Croque-Michotte, La Tour du Pin Figeac and Corbin-Michotte launched the St-Emilion classification complaint in January 2013, citing numerous inconsistencies and procedural errors in how they - and other chateaux - were treated during the run-up to the publication of the new ranking in September 2012. - complaints on: châteaux visits by members of the classification committee, the application and interpretation of soil studies and late changes to the criteria upon which the wines and estates were judged that were only made apparent to the candidates after the results were published. the châteaux listed 23 inconsistencies that the opposing legal team for the National Appellations Institute (INAO) that oversaw the classification and the Conseil des Vins de St-Emilion were asked to explain -This complaint suggested that the classification was subject to 'illegal interference' due to members of the regional INAO also being owners of châteaux that benefitted from the new classification. -Big hearing in Bd December 2015, ruling expected mid January 2016 -12/15 The Administrative Tribunal in Bordeaux overruled objections to the 2012 St Emilion classification brought by Châteaux Croque Michotte, La Tour du Pin Figeac and Corbin Michotte.

UK

-The UK wine industry, together with the UK government, has set itself the ambitious task of increasing export volumes from 250,000 to 2.5 million bottles by 2020 following a record year. -Eight out of 10 UK consumers never or rarely try new alcoholic beverages when drinking outside of their homes, new research has revealed.- Spirits Business -Wine UKs most popular drink with 30 million reg drinkers -Tattinger 1st Champagne house to make English fizz, bought premium site in 2015 Dec -An average of nearly £1 in every £10 spent in British supermarkets last year was on alcohol, but so far in January this has dropped to just 46p due to dry January. -Sussex PDO controversy Stephen Skelton MW against stating consumers want easy labels and 'English' is enough. Anthony Foster MW says PDOs offer clout and confirm elevated region with chalk belt. -Ridgeview Sparkling from Sussex is doing 30% export business. ...EX...Pommery chef de cave Theirry Gasco will help assemble Hattingley's British fizz and may eventually produce their own UK fizz. ...EX...Taittinger bought vineyards in Kent *Brexit* -A survey of its members by the country's biggest drinks trade body, the Wine and Spirit Trade Association, revealed that 90% backed continued EU membership. Only 2% of the WSTA's 300 members backed 'Brexit', while 8% were undecided.

Australia

-UK drinkers are looking for extreme styles in Ausiie wines says Accolade (1/14) -cut 400 wine supplier jobs in 2014 -Dec 2014 Bushfires in Barossa 2400 hectares burned -Chronic oversupply and falling exports -Creation of Australia Grape and Wine Authority (AGWA) -70% of current wine grape production is uneconomical -Wine Equalization Tax (WET) local and foreign wine rebates, locals working to reform this -Chile has overtaken as leading New World exporter -Continued shift to bulk - 2014 Jan Adelaide Bushfire, worst in decades. Wineries OK vineyards damaged -People drink 25% less than they did 40 years ago -Domestic consumption very strong -Off premise stronger than on premise -Better clones, natural yeast, and lower abv improving wine -2015 average harvest size -less than 12% of grape growers made profit in 2014 says WFA -WFA reports half of WA wineries are unprofitable. The proportion of loss-making wineries was at 50 per cent in Margaret River, 61 per cent in the Great Southern and the data showed almost all Swan Valley wineries, 98 per cent, were unprofitable. 8/15 -Australian 'prosecco' from Western Australia, called Carte Blanc $26, selling out just in Australia. From 6 year old Galera vines -old vine heritage is unique and important, but not marketed well -2016 El Nino means dry weather where there is already drought, and increased risk of frost -Cost of water in dry 2015 season means wine sales may not recoup water costs -Going after Chinese market for bulk wine. The Chinese-Australia Free Trade Agreement was signed in June of this year, making 85% of Australian goods shipped to China tariff-free. That will increase to 95% once the agreement is fully implemented over the course of the next four years. Austerity means more drinking at home, affordable wines. - Rob Harrison, general manager for Accolade in the UK and Ireland: Deep discounting by supermarkets, which Australia has benefitted from greatly, has compounded Australia's image as a low-priced wine producer, preventing it from achieving significant growth above £5.Such discounts are now being scaled back, presenting a further challenge to Australian producers in overcoming the subsequent price hike of their wines, while supermarkets' moves to consolidate and reduce their ranges, in response to the success of discount retailers such as Aldi and Lidl, has increased competition. Ultimately, Australian brands "will have to exist without price cuts" if they are to achieve continued growth and push into higher price segments, says Harrison. However changing consumer perceptions and giving them the confidence to trade up is a necessarily long and involved task. -"For a long time shoppers expected to pay a slight premium for Australian wines", said Jane Robertson, category development manager for Accolade Wines in the UK. "About two years ago we saw this flip. The average price of Australian wine sits below the average price of wine. People are expecting more for less. We have an attitude change to fight against to help pull that back into growth in the higher price points." customers noticing the better pricing on an ongoing basis and being loyal, versus being a promotion junkie and really buying just off promotions", adding: "All we can do is talk to [retailers] about brand ladders and premiumisation -In Jan 2016 Wine Australia's 2015 Export Report showed for the first time in over two decades, the value of Australian wine exports has grown in each of our nation's top fifteen export markets. -China became 2nd export market (after US and bumping UK) on the end of the financial year in March 2016

Chile

-Water issues at Northern sites Elqui & Lamari -robust stock of 2014 vintage and large 2015 vintage -The United Kingdom receives 23% of all Chilean wine exports, and makes up 17% of all value sales ...EX...Since 2010, Viña Casa Silva has conducted research into the different terroirs present across Chile, identifying "excellent potential" for cool-coast wines and the Carmenere variety. -Trying to move away from bulk wine reputation - fine wine marketing director of Concha Y Toro, Isabel Guilisasti wants Chile to move away from cheap value and celebrate soil variety and build quality reputation -Chilean producers "abused" oak in the past, believes Max Weinlaub, head winemaker at Concha y Toro subsidiary Vina de Maipo, where a trend for fresher, lower alcohol wines is continuing to gather pace. - Mario Pablo Silva, director of Viña Casa Silva, said that "competitive price wars and excessive mass production have threatened the potential of the Chilean wine industry" in the United Kingdom. -Exports to china went up 47% in 2015, Concha y Toro, which has increased its annual Asia sales from under 1m nine-litre cases in 2010 to 3m cases today, mainly through its Casillero del Diablo brand.

Biodiversity

-Winemakers and other local businesses have joined forces to agree a legally binding deal to protect the environment and biodiversity across the commune of Montalcino 'Comitato Promotore Montalcino Bio' ...EX...Montalcino 'Visitors to Montalcino are increasingly asking for products which are either organic or have a light environmental footprint, be they Brunello di Montalcino wines, or our local honey, olive oil, or freshly baked biscuits,' said Dalmazio, owner of Montalcino's biggest wine shop. -The BioDistretto offers a formal mechanism for Montalcino's farmers to increase quality by dealing with pests and diseases collectively, rather than as individuals.

glass alternatives (2008)

-Wotwine says 35% of wine in clear glass is damaged -Florescence Light damage smells dull and off -4% of all supermarket wine damaged in clear glass (corked is 1%) -BiBoViNo box wine only shop looking to elevate category.

Hong Kong

-abolition of tax on wine in 2008 -no need for importers license, may upstart importers -Slurp.asia private customers -L'Imperatrice.com.hk high end French wine "perfect provenance" -jebsenfinewines.com leading indie wine merchant , privately owned so long term view -Feb 2015 firm buys 650 ha in Aussie

Wine Gluts

-can off load extra wine for cheap that doesn't reflect quality -Aussie sells 'cleanskins' no description of producer, not an ongoing product ...EX. Odd Bins (not UK co.) by Mark Norrish of Shoprite sold in Checkers stores, sell for more than bulk but claim they are still a fraction, bin numbered ...EX. the Secret Cellar by Mark Norrish for Ulta Liq in 2007, has grown by 100% every year for 3 years, wine guru discovers hidden treasure

Cool Climate Wines

-cool climate as locations where the weather 'limits grape ripening and offers the threat of serious damage to the vine in winter'. -'teeter on the cusp of ripeness... where minerality has a chance to shine through and not be overshadowed by ripe fruit'. -When cool climate symposium started ideas were best hybrid varieties, we have come a long way. -People are now seeking out cool climate locations -Booming English Fizz ...EX... Schaal makes wines of mineral expression in Elgin, the Cape's coolest viticultural area, together with Hemel-en-Aarde Valley and Walker Bay, both also strongly influenced by the Atlantic Ocean or by altitude, with temperatures often a full 10 degrees cooler than Paarl.

Sainsbury

-cutting 800 employees to generate 500 pounds savings over 3 years (2015)

Growth in alternative packaging

-demand for wine packaging in the U.S. is forecast to reach $2.9 billion in 2019, with an increase of 4.4% annually, according to a recent report from The Freedonia Group (Cleveland, OH) -performance features, product differentiation capability, and appeal to younger consumers, who are less attached to wine traditions than traditionalists and wine connoisseurs -single-serving containers enable wine to compete with beer in venues such as stadiums, theaters, concert halls and theme parks. Single-serving containers for wine include plastic bottles, aseptic cartons, cans, and cups and goblets, with cups and goblets are predicted to post the fastest gains, although from a small base. ...EX...single-serve, shatterproof packaging, Sileni Nano's 100% recyclable, all-in-one wine bottle with a clip-on plastic drinking cup is the first of its kind in the marketplace

South Africa

-earliest harvest in 20 years (2015) -The South African Wine and Spirit Board (WSB)- (regulates exports and Wine of Origin scheme). They added new categories pushed for by The Swartland Independent group 'natural wine' "skin-macerated white", "extended barrel-aged white/gris", "natural pale/non-fortified pale", "methode ancestrale", "alternative white/red" and "sun wine". Took 2 years. (Oct/2015) -Tim Atkins MW and Jancis have new energy around SA wines, but price points still struggle ...EX...Douglas Green Bellingham's (DGB) CEO Tim Hutchinson concedes that "South Africa's mistakes of the past are now haunting us in many of our traditional markets - where the average selling price of our wine tends to be far lower than those from any other country." -History: After the sanctions-driven 1980s era of isolation, South African wines became the focus of international attention on the news of Nelson Mandela's release in February 1990. Many countries waited for the outcome of the first democratic elections in 1994 before committing to serious purchases. Wineries in isolation had become complacent and cut off, took time to recover. Locals were forced to buy the wine so they confused local success with accomplishment. Poor vine improvement plans meant disease. Only 9% of vines were red with far too much white planted in the mid 80s. Wines first came onto market at 3-4 pounds (hard currency). Growers were not upset at low price as KWV would often pay price of last resort for distilling. -Growth: South Africa has virtually no more wine to offer abroad: the only way it can improve on its export performance is to increase the value per litre of what it supplies.- Meininger -Hard to grow price of wine with rand depressed and grocers knowing they are getting killer value -Wildfires on the Western Cape are a common threat, with dry, hot weather and strong winds providing ideal conditions for their start and spread. A separate fire broke out in the nearby Elgin Valley Jan 2016 and has since been extinguished. Damage reports say more than 7,000 acres were burned, including a vineyard owned by Ross Gower Wines. Also Jan 2016, a weeklong fire threatened Constantia and Cape Point vineyards, scorching over 12,000 acres of land. Simonsberg mountain in South Africa's Stellenbosch district have been battling a large wildfire that erupted Jan 2016

supermarket wines (2003)

-especially effective when appellation of varietal is of brand importance. Prosecco, around 80% of Prosecco sold in the UK is own-label -Paolo Lasagni, managing director of Bosco Viticultori

Sparkling Wine

-global sparkling wine consumption has gone up by 30 per cent over the past decade.- Jeffords -France has 26% of market -In France producers want sparkling AOC to get in on bubbles. Historic regions are pushing back. In court on case by case basis. -Australian 'prosecco' from Western Australia, called Carte Blanc $26, selling out just in Australia. From 6 year old Galera vines -Prosecco producers struggle to fill demand. 2015 harvest was suppose to relieve, but bulk prices continue to climb and may double by 12/2015 (2.50 Euro /liter) -Sparkling wine is expected to drive a 1.8% increase in UK wine consumption from 2015 to 2019, tracking above the global average of 1.4%, with Prosecco dominating the market: data released today by Vinexpo in partnership with the IWSR. ...EX...Guillaume Deglise, CEO of Vinexpo, singled out sparkling wine as "probably the hottest category in the world", due to its consistent global growth since 2010. -In 2014 global sparkling wine consumption grew by 11.5% compared to the previous year, while non-Champagne sparkling wines grew even faster at a rate of 15.2%. Within this category, Italian sparkling wine saw volumes grow at a rate of 52.1%.

Austria

-moving from lots of bulk to less higher priced wines -...EX... Austrian wine created 3 tier quality level in Nov 2015:Klassik (any production 9 mo lees), Reserve (single Austrian state, bottle ferm, 18 mo lees) and Große Reserve (single muni, bottle, 30 mo lees)

varietal fashions (2010)

...EX...Richard Bampfield MW says Sauvignon Blanc has a price ceiling and limitation of excitement, oaks SB with site selection next level. -

Sulfites

...EX...Simon Woolf for Decanter tried 2 Sauvignon Blanc 2012s made by Sepp Muster, a biodynamic grower in Austria's southern Styria region, both sourced from his Opok vineyard side by side with difference of 10mg (yes mg not ppm) of sulfur addition difference. One with less sulfur was fresh and vibrant and one was more muted and 'lemonade rather than lemon'. -'contains sulfites', legally required to grace almost all bottles of wine sold in the US since 1988, and within the EU since 2005. Only those with less than 10 parts per million (PPM) are exempted, and here's the rub - the fermentation process can produce more than that naturally, without any added SO2, meaning that even many 'no added sulfite' wines must display the offending words on the label. -sulfite intolerance reportedly affects less than 1% of the population -wine 20-200ppm dried fruit 500-3,000ppm -some believe SO2 also mutes the delicate nuances that express vintage or vineyard character ...EX...Purity is the ultimate goal for many producers on the no-SO2 path. Alaverdi Monastery, in Georgia's Kakheti region, simply strives to make its wine 'good enough for God'. In the eyes of the monks, any additive, SO2 included, would render the wine impure and thus worthless. Belgian Frank Cornelissen, who has made wine on the slopes of Sicily's Mount Etna since 2000, has the similarly straightforward goal to make 'wine with nothing added'. His imperative isn't spiritual, but built on the conviction that fine wine can be a totally additive-free product. Cornelissen believes that the knowledge of how to make wine without sulfites has simply been lost over time: 'We have to re-learn these skills, which is a slow process.' ...EX...Isabelle Legeron MW agrees: 'Growers are still learning how to make wine with no added sulfur - they only get one go at it every year! Perhaps it's better if a grower gradually reduces the SO2 each year, rather than immediately trying to make a no-sulfur wine.' -When sulfite inputs are forsworn, the risk of bacterial or microbial infection is vastly increased. Obsessive hygiene has to take their place - Cornelissen uses ionised air to clean his cellar. A more 'laissez faire' attitude is required when it comes to speed of fermentation, and the yeasts that will be involved. Conventionally, SO2 would be used to see off any wild yeasts on the bloom of the grapes, so that the winemaker can inoculate with his or her choice of laboratory yeast. -issues with low SO2 vary from funk to mousey (different than Brett) -Bottle variation high ...EX...Stellar winery in South Africa's Western Cape is a large-scale producer that very successfully introduced a no-SO2 range of wines to the UK's supermarkets in 2008. ...EX... Jules Chauvet and Jacques Néauport, widely hailed as the godfathers of the natural wine movement, started experimenting in Beaujolais in the 1980s. -The results can be stunning in their clarity and character, but for most winemakers, the unpredictability and risks of spoilage or instability are simply too great

fusion wine (2001)*

-no qualms about breaking with tradition, millennials -began to pop up in 2005 with chocolate wines, rose in 2010 -colorful packaging attracts young and female drinkers (blah) -these wines are often cheap as flavor covers lower quality non site specific grapes. .....EX in SA, The Audacia winery on the Western Cape, replaces the traditional oak wood with indigenous rooibos and honeybush wood. rooibos is not only rich in antioxidants, but also significantly increases our blood's capacity to absorb the nutrient. The higher antioxidant levels also help preserve the wine naturally. This means the rooibos-and-honeybush vino is free of a preservative by-product, sufites, which is found in most wines. ...EX Barefoot citrus fusion wine, seen as less stuffy than champagne and does not intimidate consumers ...EX... Napa Valley Register reported fusion wine as a top trend for 2015 ...EX... Sangria juice boxes hit the market and wine slushies in summer of 2015. Met well with consumers raised on capri suns and chef boyardee pouches ...EX.. Gallo sweet is still big and fusion wines fit the sweet palate. ...EX At Vinexpo,2013, in Bordeaux, French wine dealer Haussmann Famille unveiled an exclusive new product: red wine with a cola flavor. ...EX...French wine brand Lamothe Parrot has added a new label to capitalise on the growing demand for sweet red blends in the US. 'Scarlett Dark' ...Echo Falls fusion sparkling wine so successful now Off-Piste making upmarket wine called Makers and CO 4 pounds per bottle 'adult flavors'

Italy

-swing in Nebbiolo back to honoring pale, tannic style. Pio Cesare's winemaker, Pio Boffa -Prosecco, 2014 ran out of stocks, 2015 desperate to close contracts at harvest, grape price are likely to rise this year from €1.20 per litre to €1.75 -Paolo Lasagni, managing director of Bosco Viticultori. Stocks for New Year 2015 questionable, shelf price expected to rise by 20% on shelf as bulk price doubles. "The main weakness of Prosecco is that the brands don't belong to the producers, but the customers," he commented, echoing the views of Silvia Franco, international sales manager of Nino Franco, which is based in Valdobbiadene - the heart of the Prosecco DOCG.

consolidation in wine industry (2005)

-tesco cutting range by 30% in 2015 means less variety in large retailer -Naked wine bought by Majestic (April 2015) they will still remain separate but use same delivery infrastructure. -Access to a route to market -Medium-sized distributors occupying the middle ground could be in dangerous spot due to fragmented nature of distribution ...EX...SVB reports for 2016: Consolidation continues, as the larger wine producers gobble up smaller brands and the wholesale network constricts with mergers and acquisitions. The top three wine companies produce about half of this nation's wines, and the top four wholesalers cover 60 percent of the market. The report doesn't quite make the connection, but that concentration in production and distribution probably favors larger retailers with national reach, such as Total Wine & More, BevMo and supermarket chains such as Safeway. "The stranglehold wholesale distribution has on the movement of wine into national accounts makes the larger wineries critical partners," the report says. "Those wholesalers prefer to deliver consistent brands across all of the retailer's nationwide sites. The smaller wine companies don't produce sufficient product volume to fill those stores, hotels and restaurants so big wineries still dominate." ...EX...Constellation buying Prisoner 'brand trumps land' they only own the brand not the land. $285 million

India

-unprecedented currency devaluation last year -Sula is leading producer -high net worth individuals who love wine -Chandon Sparkling Wine (Brut and Rose) -ingredients must be on label -labels in English or Hindi -Govt required testing is expensive and difficult (must send multi bottles in) -duty reduction stalled from 2015 to 2017 -long term increase -liqueur ban in Kerala has tripples wine sales (4/2015) -To meet demand of Port style wines Sula leases smaller wineries at harvest.

Regaining market: Italian entry level (mine)

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alcohol content (2007)

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best paying jobs in the industry (2004)

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branding as future of wine (2004)

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brands vs quality (2009)

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bureaucracy and wine (2002)

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employer incentive in production sales/marketing(2006)

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fall in consumption (mine)

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foreign investors (2007)

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fragmentation of global market (2013)

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future new categories/Trends (2006) (1999)

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future of luxury wine (2007)

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how has the global recession affected the market (2009)

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legislation and wine promotion (2009)

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old world relevancy and renaissance (2002)

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rising wages (2005)

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sweet wine popularity (2006)

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which markets drive growth (2008)

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wine industry and legislation (2008)

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wine recommendations (2007)

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woman's influence (2004)

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low alcohol trends (2008)

...EX NZ putting 8.13m into low alcohol research matched by producers to 8.8m (including constellation and villa maria) Kevin Judd of Greywacke worried it sends message that full strength wine is bad for you. Dog Point Vineyards thinks it's a fad like it was twice in the 80s. Fears that it implys NZ wine is high alch ...EX Geisenheim researching on low alch wines as global warming shows effect. -Cheaper cost biggest interest ...EX Wine Intelligence reports just under half of consumers have poor quality or taste perceptions of low alch wines ...EX ConeTech says 25% of wine from CA sees alcohol reduction because healthy plants and better practices lead to very ripe fruit. Ripe fruit is preferred to agree flavors of early harvest. -ConeTech has seen demand rise in CA, Chile, SA, Sp -Osmotic alcohol reduction to 14.5% seen in CA for tax -Dr Cristian Varela at the Australian Wine Research Institute (AWRI) led to a 1.8% ethanol reduction in both Shiraz and Chardonnay ferments, thanks to working with a combination of three separate yeast strains. -EU tax break is at 5% abv, pushing for graduated system to encourage lower alcohol wine. -Concerns over 'mild alcoholism' -Public health minister want lower alcohol wine to get duty incentive but there are claims it would discriminate against warm climate wines -Currently wines 5.5%-15% are taxed the same *What is the future for low alcohol wine?* Low Alcohol: Wines 3-8% traditionally or by adulteration Tax Breaks: UK wants tax break for 5.5-8.5 % wines, EU no break, Gov't Pressure: zero tolerance DUI EU laws ...EX...Jan 2015 Scotland lowered driving above to 50mg/100ml Health: Calories, Carbs, and cancer concerns, ...EX....NZ low alcohol project -- a massive initiative researching "lifestyle wines" for driving and calories ...EX...Skinny Vines, skinny girl line extension Price Point: Affordable viticulture techniques, low tax, large volume Styles: Sweet, Sparkling, Fusion wines, Dry styles Challenges: quality flavor, less than 8.5% not called wine by OIV, bad rep ...EX...About 1000 bottles of Bannockburn Riesling, produced by Central Otago winery Felton Road, failed to even make it to European shores after it was discovered the alcohol content was too low. The winery's 2015 Riesling had an alcohol level of 8.44 per cent, which fell below the 8.5 per cent threshold set by the European Union. Innovation: Now that it is more popular and profitable new incentives for tech

innovation in the wine industry (2014) (2003)

...EX Pernod ricard bodegas launches spanish 'winnovation lab' as a start up to create new research and ideas in winemaking ...EX Diagio Tech ventures produces innovation briefs, launched Sept 2014

do vineyard rankings do any good? (2010)

...EX... Austrian wine created 3 tier quality level in Nov 2015:Klassik (any production 9 mo lees), Reserve (single Austrian state, bottle ferm, 18 mo lees) and Große Reserve (single muni, bottle, 30 mo lees). Trying to compete with Champagne (in general has less focus, trying to surpass champ standards)

Fair trade (2012) (2009)*

...EX...Etica Wines in Minnesota Fair Trade wien and spirits retailer. http://www.fairtradeamerica.org/en-us/media-center/blog/2016/april/cape-vida-wine-interview -As global trade grows smaller wineries are unable to compete at same level. Profit made by cuts on workers pay and benefits. -large wine companies hire cheap inexperienced workers without unions in developing regions - Fairtrade certified wine producer organizations in South Africa, Argentina and Chile -Post apartheid SA Fairtrade standards, mandate that previously disadvantaged workers can own shares of at least 25% of the business entity, for the first time providing land and business ownership opportunity to workers. -Chile and Argentina susceptible to low market prices threatening family farms. Fairtrade sets safe price for them. -Fairtrade Minimum Price, which aims to cover their average costs of sustainable production, or the market price, whichever is higher. They also receive the Fairtrade Premium to invest in social and economic initiatives in their communities. -Forced labour and child labour of children under 15 years old is prohibited. Children aged 15 and above are protected from work that compromises their health or education. -Workers have freedom of association and collective agreements, including the right to establish or join an independent union, elect advisors and design their own programs. -Working conditions are equitable for all workers. Salaries must be equal to or higher than the regional average or minimum wage in effect. -Health and safety measures must be established. -Producers are small family farms organized in cooperatives (or associations) which they own and govern democratically. -Cooperatives reinvest the Fairtrade Premium into development projects according to their community's needs, including infrastructure and social services. -Only about fifty wineries are fair trade-certified, all from South Africa, Argentina, and Chile - South African wineries largely continue to operate on an apartheid-era model: wealthy white landowners employ poor black workers, who are sometimes kept poor through low wages and forced indebtedness to their employers. -In Argentina, the combination of traditional contract practices (paying for grapes in installments around the whole calendar year is a good example), new export-focused conglomerate wineries, and an unstable national economy has left many vineyard workers in poverty. -Small producers are organized into democratic cooperatives. Employers must agree to pay at least minimum wage to their workers, meet safety standards, and avoid child labor and other exploitative working practices. In addition to paying at least a minimum price, buyers pay a fixed "fair trade" premium that goes toward whatever special projects the democratic collectives decide upon: emergency funds for workers, educational programs, new wells or school buildings, and so forth. ...EX...Journal of Rural Studies interview 45 people in Argentina. Found Fair Trade wages were not living wages even when assured minimum wage. No overtime meant no living wage. Fair Trade regs based on local standards which are very low. Argentina's inflation rate sits around 40%. The fair trade price hasn't kept up. Fair trade producers are using the local market price for grapes, not the fair trade price, because the local market price is higher. -Export wineries making more money tend to adopt fair trade, not small local rural ones that are truly the poorest. -Most Fair Trade items have homogenized quality (bananas, sugar, coffee) wine has large quality range. *Does Fair Trade benefit both consumers and producers of wine?* Def: Fair Trade Certified wines Def: Benefit: Bring value via meaning or quality Def: Consumer: Dist/Wholesaler/Importer/Retail/Restaurant buyer/final consumer Fair Trade: As global trade grows smaller wineries are unable to compete at same level. Profit made by cuts on workers pay and benefits. Strengths: Brings a positive company image to Fair-Trade heavy portfolios/stores Points to leaders like Fairview makers of Goat do Roam Preserves wine culture in the face of pressure, no child labour, pays sustainable production or fair market price, fair trade premium to reinvest in socio/economic, collective unions (important in historical privilage of owners vs workers) ...EX...-In Argentina, the combination of traditional contract practices (paying for grapes in installments around the whole calendar year is a good example), new export-focused conglomerate wineries, and an unstable national economy has left many vineyard workers in poverty. Weaknesses: Authenticity questioned and hard to have visibility and robust reputation. It can only benefit the business by how much personal value and financial value it can bring. Hard to enforce in spread out areas, only as powerful as the audit ...EX...Journal of Rural Studies interview 45 people in Argentina. Found Fair Trade wages were not living wages even when assured minimum wage. No overtime meant no living wage. Fair Trade regs based on local standards which are very low. Argentina's inflation rate sits around 40%. The fair trade price hasn't kept up. Fair trade producers are using the local market price for grapes, not the fair trade price, because the local market price is higher. ...EX...Counter Culture coffee switching to 'Direct Tade' as Fair Trade model has been questioned. Opportunities: unique marketing, easy to find ideal customer, promoted by other organizations, visibility, important to wealth segment, matched to correct market ...EX...Cape Vida found a marriage between their boxed wine program and Fairhill - Fair Trade wine partnership. Messages aligned. ...EX...Etica Wines in MN in USA is fair trade wine spirits and beers only Threats: Not well known in general public, struggles with reputation validity, needs to be seen as important, personal discomfort. ...EX...Wine with Purpose went out of business in a year in Colorado

internet and commerce and wine (2000)

...EX...Italian Prime Minister and Ma of Alibaba announce deal to push Italian wines on the site plan to go from 6% to 60% of sales -Discount supermarket Aldi has launched an online wine shop in the UK, including both its in-store range and internet exclusives, as it seeks to be more competitive in the wine retail sector. One in every 13 bottles of wine purchased in the UK is already from Aldi. -Muscadet infographic to encourage consumption 2014 -1,400 wine apps in 2014 most BtoC -Wine start ups limited because: wine not interested in tech, regulation, lack of talent, insular, logistics and vintage variability means change (60% US 30% EU) but can attract new customers and generate retailer sales -40% of Brits to buy wine online xMas 2014 -25% of Brits bought wine online during the year of 2014 -Online purchases expected to double by 2019 -Online buyers tend to spend more than in store -Online sales growing at a rate 5x that of stores -Women spend and shop less online than men -Large super market chains ramping up -Elderly shop online -bespoke marketing approach -24% of online shoppers buying from Tesco -10% Saintsbury -9.5%Naked Wine (communicates well with customers, meets their needs) -Amazon -Facebook is looking to stop drunken shots with algorithm -Beer marketing spent 23 million on you tube in 2014 -UK £720m online wine market. ...EX Barclays says mobile consumers will spend 53 billion pounds over next decade. and that 42% of sales will involve a mobile device. ....EX Google will now highlight mobile sites in searches on mobile phones making a mobile site more important. ...Ex. Krug ID code brining customers transparency and main route to China ...Ex. Slurp.asia in Hong Kong grew from 100 to 10,000 customers in 4 years ...Ex. Wijnvoordeel.nl used social media discount code and special single item discount and got 80,000 new contacts ...EX. Bargain Booze has App with discounts as well as point and click purchasing in development, collect info and drive sales ...Jan 2015 Vivino App 100 million scans celebrated (imdb of wine) ...EX Majestic buys Naked Wine. It has over 300,000 customers funding over 130 winemakers, including such international names as Randall Grahm of Bonny Doon in Santa Cruz, former Penfolds chief red winemaker Daryl Groom, and Jonathan Maltus of Chateau Teyssier in St Emilion. Angel investors get discounts. -Majestic's Naked wine has 100 million pound year in 2015 ...EX Former TWE CEO Dearie joined winevine.tv an online wine digital TV station. It's goals are education from beginner to novice. ...EX...Chinese e-commerce retail giant Alibaba will sell Robert Mondavi's wines to its 376 million customers through its online store, Tmall. It will be available to its 376 million customers throughout China. ...Aldi starts UK wine online sales push as profits fall (Oct/2015), departure from no frills philosophy ...EX...Online wine sales are expected to grow by nearly 12% each year over the next four years, with it now "almost unquestionable" that e-commerce platforms will continue to gain share of retail sales. (Rabobank 10/2015) "Brand owners must invest time and marketing resources to achieve meaningful success in this channel" to avoid getting lost ...EX...Dec 2015 Amazon rolls out 1 hr wine delivery in NYC 8am-midnight ...EX...Wine app Vivino has seen £17.3 million of new investment poured into the company, with the majority coming from the CEO of luxury drinks producer Moët Hennessy. ...EX...Veuve Clicquot launched 3 film millennial series Spring 2016 'Let life surprise you'

Current Diseases

...EX...The California Department of Food and Agriculture (CDFA) has released draft regulatory language to add Grapevine red blotch-associated virus (GRBaV), the pathogen for Red Blotch Disease, to the list of viruses that are required for testing of vine material under the California Grapevine Registration and Certification Program. -Diseases esca, black dead arm and eutypa (GTDs) lowered potential wine production by 13% in France in 2014 (Sauvignon Blanc, Cabernet Franc, Chenin Blanc and Melon de Bourgogne most affected in the Loire Valley in 2014) (Bordeaux's wine bureau, CIVB, reported above average rates of infection for Cabernet Sauvignon and Cabernet Franc vines in 2014, but said Merlot was less affected. Chardonnay and Pinot Noir, too, have proved more resistant, despite particular concern about esca in parts of Burgundy.) -In France, problems with GTDs are believed to have risen after authorities banned the use of toxic sodium arsenite on vines in 2001. -flavesence doree -A French court has acquitted Thibault Liger-Belair after refusing to spray his vineyards against deadly vine disease flavescence dorée, in a second blow to the French authorities. It is the second time in around 12 months that a French biodynamic winemaker has escaped punishment for refusing to spray vines to protect against flavescence dorée - which some experts have likened it to the phylloxera pest that ravaged European vineyards in the late 19th Century. -esca,

Generational drinking

2015: Wine Market Council also says 56% of wine drinkers are women *Millennials* -1980-2000 ...EX...Crown Cellars launching 'funky' label wine to appeal to younger drinkers and eschew stuffy ideas and attract drinkers who may have been put off. -Nielsen: millennials represent around 14% of the population of Great Britain, although they account for less than 5% of total beers, wines and spirits (BWS) sales in the country, meaning that the group's total outlay on drinks is £482 million. -: Nielsen: Spend of around 3.5% of their total FMCG budget on alcoholic drinks, millennials devote a much smaller proportion of their income on BWS than older age groups, and less than half the share of the entire population, which spends 9.2% of their FMCG budget on booze -Millennials are more likely to buy white or sparkling wine - particularly Prosecco - than spirits or beer, although they have a penchant for US whiskey. -Millennials drank 42% of all wine in the US in 2015 ...EX...Napa winemaker Mark Beringer has said his Quantum and Luminus labels are aimed directly at millennials, with their "uncomplicated" branding. Quantum: It's our Meritage blend of 75% Cabernet, Merlot, Cabernet Franc, Petite Syrah and Petit Verdot, but we've just called it 'red wine' on the label. ...EX...Veuve Clicquot Let Life Surprise you 3 film series for millennials, explicitly from female point of view. ...EX...never-seen-before on-premise data from their newly formed Nielsen CGA Brand Index. Acknowledging consumer tendencies to "cross-drink" has driven an explosion of new brands, new flavors and innovative new business models, *Drinking Now* -millennials — which the report defines as those 21 to 37 years old — accounted for 16 percent of wine sales, overtaking the oldest generation, which McMillan calls "matures" (68 and older), who accounted for 11 percent. Baby boomers (50 to 67) are still the largest consumer bloc, at 41 percent, but that number is declining as they march toward retirement. Generation X (38 to 49) will probably surpass the boomers as wine consumers by 2021, but the millennials will become the most influential group by 2035, if not earlier, the report predicts. Older consumers prefer $8 wine, with their decline the central valley is likely to be uprooted and planted with other crops as newer generation drinks less and better. $15 wine will become more popular fueling imports that offer better value then US wine *Washington Post on SVB report* - *What can the wine industry do to attract the next generation of consumers?* Wine industry: Producers, importers/distributors, restaurant, retail -Millennials are now the largest consumers and spend more than any other group ever has at their age. Drink less, drink better. -iGeneration: trust advice of friends more than authority, multi points of information at once, generic email blasts turn them off, must be personal-strategic and meanigful ...EX...Harvard Business Review says iGen finds TV commercials desperate, mobile is a must ...EX...Instagram click to shop Producers: produce personal content, give transparency and authenticity, be accessible, new products (fusion wines, white and sparkling etc) ...EX...Crown Cellars launching 'funky' label wine to appeal to younger drinkers and eschew stuffy ideas and attract drinkers who may have been put off. ...EX...Veuve Clicquot Let Life Surprise you 3 film series for millennials, explicitly from female point of view. ...EX...Ales Kristancic of Movia has worked on personal brand and connection Importer/Dist: Target customers individually, personal attention, information rich sites ...EX...Volio Vino website offers in depth content on every bottle - very unique in 3 tier US system No generic sales pitches or mass emails Meet cultural and legal needs of emerging countries ...EX...CH'NG Poh Tiong says it is easy money left on the table "It's an utter fallacy to imagine that Chinese people like sweet wines, please don't try and make a wine to suit the Chinese palette because there's no such thing as a typical Chinese palette." Restaurant: ...EX...steakhouse M in the City offers diners the chance to choose their table before they dine in an airline-style online booking system. -offer more detail than ever before on wine list -create an experience Retail: ...EX...Gary Vaynerchuk grew family liquor stor from 3 to 5 million with Wine TV and online connections Mobile apps, current stock and features, personalized help. ...EX...Badie in Bordeaux makes it feel like you are at a designer clothing shop.

Portugal

ALENTEJO - hot, dry, sunny: needs altitude and maritime, inland cold short winters, clay, limestone, granite, schist -1974 viticultural project launched -land rush, near Lisbon, ease of mech -Aragones (temp), Trincadeira, Alicante Bouschet, Touriga Nacional, Cab, Viognier, Arinto retain acid -Closed stainless -relied on home market that crashed -Vinyard area up and price crashed -Climate change and regional identity if concerns PORTO -Symington's Grahms to sell port bonds (purchase year of harvest and receive once bottled 18 months later) meant to keep tradition of giving vintage port for marriage or birth. -Table red wines benefit from 1930s mass cross-subsidy from Port to table wines meant to protect from 1930s depression. -Taylor Fladgate releasing single harvest Tawny ports (64,65,66 at 50 year old increments)

long term brand success (2014) (2006)

AVAILABILITY -Gallo has tripled its production in Napa Valley with the purchase of The Ranch Winery, a custom grape-crush facility with a capacity of 30,000 tons.

fine wine investment (2013) and trends (2015)

INVESTMENT -Large format offers rarity and diversity to a collection. Bars and clubs reliable exit strategy. -APW Asset Management, UK invest in Aussie wine, next to no return, millions invested -Charles Banks, founder and managing director of a Terroir Capital (former owner Screaming Eagle), sued by the San Antonio Spurs player over claims he misled him over investments made over a 17-year period. Seeking damages of at least $1 million -Fine wine for Chineese new year better for 2015, less gifts more for personal use. -Eastern Europe more interested in fine wine investment in 2015 (not russia) (Rodney Birrell, director of The Wine Investment Fund- no cold calling, responsible valuation, only Bd wines) -As supply of vintages or types of fine wines dry up so does their liquidity -Fine wine investment 2008, jumped out in 2013 after failing and fraud, few left. -BD Fine wine Ltd gave Gundlach money but he did not purchase wines for investors, max sentence cannot work for Ltd. for 15 years until 2030, Co. sales team dramatically inflated wine prices when pitching on the phone to potential investors. -SuperTuscans characteristics lend themselves to investment: the use of international grape varieties, a strong brand, and large volumes. -Interest in Super Tuscan and Barolo wines as investment growing Spring of 2015 (as prices drop). Barolo similar to 1990s Burgundy but has murky vineyard borders. -Bordeaux lost more ground to Burgundy and Italy in 2015, but the overall fine wine market has shown greater stability, says a review of the past 12 months from the Liv-ex trading exchange.