Wednesday, June 11, 2008

Southern hemisphere wine gaining in global market

Southern hemisphere wine producers received a boost last week after a leading industry body announced an increase in the region's production and continued growth in the share of world wine exports.

The International Organisation for Vine and Wine (OIV) forecasts a growth in production to 51.4 million hectoliters (mhl), up 5 percent on 2007. They expect a rise in the southern hemisphere's share of world wine exports to almost 25 percent.

"In general we have seen an overall increase in production and there have been big developments in exports in all the southern countries," said Federico Castellucci, Director-General of the OIV.

Southern hemisphere producers are focusing on their key export markets -- Britain, the United States and Germany -- where they are steadily eroding the market share of traditional European producers like France and Spain.

Specialists say the growing success of New World wines is down to aggressive marketing, which targets a few popular brands. In 2005 Australia overtook France as Britain's leading supplier of wine, increasing its market share to 23 percent.

Chilean producers in New York said they would be aiming their wines at the U.S. palate and pocket, as wine consumption there is still rising unlike mainland Europe.

Despite strengthening their overseas presence, southern hemisphere producers have struggled to crack the French market. With the highest consumption per head and narrowly the largest consumption overall, France remains an elusive target.

An exporter of South African wines to France said the French market was difficult for New World wines to crack, but that there has been growing interest among young people.
In 2006, sales of foreign wines in French supermarkets were just two percent of the total volume sold, according to the latest statistics from French agricultural body Viniflhor.

Sylvain Albert, owner of Parisian restaurant and shop Le Tastemonde (http://www.letastemonde.com), only sells foreign wines and has seen business grow steadily over the eight years since he began.

"France tends to import poor quality wines from abroad so they have a bad image here. If you choose good quality ones then there is no problem," Albert said.

Jessica Mead

She has the same taste in wine estates as Pitt and Jolie

Who knew I would ever have anything in common with Brad Pitt and Angelina Jolie?

It turns out we're like this when it comes to wine, because we're all fans of Chateau Miraval. That's the extraordinarily beautiful and secluded wine estate in Provence that they have just rented for three years.

I spent a couple of nights there nine years ago while tasting my way through the region and can report that the world's most famous couple will have more than decent wines to sip. Miraval now produces three fish-friendly dry whites, two savory reds, a delicious dry rose and a luscious sweet wine, L'Or de Miraval.

Tile roofs, sky-blue shutters, warm creamy stone, fountains, olive trees on a steep hillside, 75 acres of vineyards -- Miraval is everyone's secret dream of a home in the South of France. From my room in the 14th century part of the chateau, the view stretched over a wide green lawn to rows of vines.

I sampled the estate's wines in a light-filled room off the country kitchen and later dined with neighboring producers in the long medieval hall with an immense fireplace.

I also took a peek at the recording studio on the property (Sting once used it; the Stones left after one night -- not enough local action). The estate even has a tiny private chapel.

Tom Bove, whose family owns the property, told me last week that Pitt and Jolie "dropped out of the sky."

"They're personally very nice," he said in the telephone interview. "Brad is from the Midwest, as I am."

Bove, 65, is an Indiana-born businessman (Rochem Group) who fell in love with Miraval in 1992 when he and his first wife, Jane, were looking for a vacation home. He persuaded his family to purchase the 1,000-acre estate. His wife took charge of the vineyards, and they set about vastly improving the wines' quality. Tragically, she died in a 1998 plane crash.

The Pitt-Jolie household, including four kids plus expected twins (who may or may not already have arrived when you read this), won't have to worry about toxic chemical sprays on the grapes since the vineyards are certified organic.

When Brad and Angelina first visited, they tried the savory, salmon-colored 2007 Chateau Miraval Cotes de Provence Rose ($16) with lunch.

"It's the first vintage to be labeled " 'Pink Floyd,' " Bove says. (The band recorded part of their iconic album "The Wall" at Studio Miraval.)

Naturally, the Brangelina buzz has already spurred wine sales.

"We've been inundated with calls from retailers," says Andrew Hirko, chief financial officer at the chateau's East Coast importer, Monarchia Matt International. "We're sold out of the rosé, and the red and white are nearly gone."

Elin McCoy

Wine: Old World flavors taking on a California flair in foothills

Calaveras County continues to make a name for itself as the "Iberian connection" with its success in developing Spanish and Portuguese grape varieties.

Over the past five to six years, winemakers have quietly made a stylistic statement through winemaking efforts focusing on varietals including tempranillo, grenache, verdelho and, more recently, albarino. But it actually stretches beyond that, as more and more foothill winemakers have success with Italian and southern France grape types as well.

Consultant and winemaker Chuck Hovey, former winemaker at Stevenot Winery, has been a pioneer in promoting Mediterranean and Iberian grape types in the region. Hovey is involved in several new projects that include making wine from grape types new to the area including a foothill vermentino, a grape type common to the Italian island of Sardinia.

But several foothill winemakers raise caution on our connection to the styles of the Old World and duplicating their efforts.

"We should not compare our Italian and Spanish varietals to the wines of Europe," said Gary Zucca of Zucca Mountain Winery. His winery makes highly regarded sangiovese, barbera and syrah, workhorses in the Mediterranean wine regions.

"We have warmer weather, better irrigation and make wines that are riper," said Zucca.

At a recent Calaveras tasting event, he went on to observe that Americans treat wines as aperitifs or cocktail wines while the Europeans think more about how the wines work with food. This was echoed later at the tasting by winemaker Rod Ruthel of French Hill Winery, who was pouring his award-winning barbera. The wine showed ripe full fruit flavors without losing the classic acidity associated with Italian barbera.

"That's the trick" said Ruthel. "Most consumers don't realize how important the acidity is to complementing food flavors."

I find that the new emerging foothill wines are built more for the California palate with their forward fruit and softer acidity. In any case, the region is one to watch over the coming years.

You have a chance to become better acquainted with the region's Mediterranean connection on the weekend of June 20-22 when Calaveras County wineries participate in their 12th annual Passport Weekend.

Wine tasters are issued "passports" that are stamped at each of the wineries visited, and are all entered in drawings for special prizes. Each passport holder will have access to special wine tastings, gourmet foods and special wine discounts.

For more information and reservations, contact the association at 866-806-9463 (wine).

With 21 wineries and only three traffic lights, this foothill wine region is filled with new discoveries. Here are a few to look for on your search.

French Hill 2005 Barbera

Lots of spice and baked blackberry pie aromas are followed by more berry; a nice tartness in the finish makes this red a perfect Italian food companion. At more than 15 percent alcohol, the French Hill 2005 Barbera is not a lightweight. About $35.

Hatcher 2006 Mourvedre

Pleasant drinkable red that works as a perfect match with Mediterranean food, especially grilled lamb with rosemary. Crushed berry aromas give way to red currants and raspberry flavors. About $20.

Zucca Mountain 2005 Syrah

From the secluded Canterbury Vineyard's Block 2; the Zucca Mountain 2005 Syrah exhibits lots of ripe fruit flavors with blackberry jam aromas and a long finish. A great depth of richness that is unlike the Rhone reds from France. About $30.

Solomon Wine Co. Garsa

A nice thread of spice and elegance shows up in this 2004 tempranillo that is more fruit forward than its Spanish counterpart. Plum and spice aromas carry over to the easy-drinking flavors. About $20.

TOM BENDER

Anti-chemical legislation threatens productivity says Bordeaux proprietor

Sauternes chateau boss Philippe Baly has launched an attack on official regulations that ban the use of potentially toxic products from vineyards.

Speaking to decanter.com, Baly, who runs first growth Sauternes property Chateau Coutet with his brother Dominique, said that continued legislation against the use of chemical and toxic products was threatening productivity in the vineyard because there were no alternatives to banned pesticides and herbicides.

'If we decide to remove chemical and toxic products, there is nothing to replace them, so there's more loss [in the vineyard],' he said. 'Maybe genetic modification is the answer.'

Baly added that the only current alternative was prayer.

'I'm lucky – I've got a chapel,' he said.

Since the French government department for farms, fisheries and rural affairs drew up its Sustainable Agricultural Contract (CAD) in 2002, many products and vineyard treatments have been phased out.

Pesticides and herbicides such as triazines and sodium arsenite were already being phased out by 2001.

Baly said the legislation was 'anti-economics' and that it made French winemakers 'marathon runners with weights tied to their feet'. He added that this was especially true in the sweet wine regions of Bordeaux.

'People tell you to make a better product but then they complain about the prices,' he said. 'We have a very low production volume, high costs and a tight market.'

Oliver Styles

Tuesday, June 10, 2008

Italy to check Brunello wine production standards

ROME (AP) — Italy has set up a panel of experts to check if Brunello di Montalcino meets production standards, following an investigation into whether some of the wine might have been cut with other grape varieties, the Agriculture Ministry said Monday.

Minister Luca Zaia said the step was taken to protect consumers worldwide and safeguard the reputation of one of Italy's best-known wines, which is supposed to be made from only sangiovese grapes.

Three wine experts will be on the committee, a statement from the minister said.

Zaia told The Associated Press in an e-mailed statement that by setting up the panel he hopes to "relaunch the most prestigious Made in Italy brand."

Investigators in Tuscany in April ordered the confiscation of 600,000 bottles from a prominent vintner. They allege the acreage dedicated to the production could not have yielded as many bottles as were produced without the wine being "cut" with another variety of grape, such as cabernet sauvignon.

U.S. officials, who have set a June 23 deadline to block shipments of the wine, were expected to travel to Montalcino on Tuesday to meet winemakers from the Brunello di Montalcino consortium, the association said.

Italy is particularly sensitive to the U.S. market. Italian farm lobby Coldiretti estimated that 30 percent of all bottles of wine consumed in the United States in the first three months of this year were Italian.

More than 7 million bottles of Brunello are produced on average every year, 60 percent of which are sold abroad, the Brunello association said. Twenty-five percent of annual production goes to the United States, Coldiretti said.

Coldiretti said Brunello di Montalcino brings in more than $185 million annually. There are 247 producers of it.

Monday, June 9, 2008

SUPER-PREMIUM WINES AND BELOW WILL "CARRY THE DAY."

Similar to spirits, Americans are still buying wine but just cutting back on how much they spend. Decanter reports that dollar sales growth is expected to slow, but many segments of the wine business remain strong.

Bill Leigon, president of Hahn Family Wines, told the publication that sales are weak, but the weakness is hidden as consumers trade down in price. He said Costco retail sales were up 32% and Wal-Mart sales were up as well.

Leigon told Decanter that the under $15 retail sales will "carry the day."

The luxury segment ($15-20) showed the biggest increase in dollar sales, followed by super luxury ($20 and up) and super-premium ($8-11).

Of all wine categories, the fastest-growing is the cask, or 'premium box' segment, with sales up 33.9% over the past year. Perceived value and eco-friendly packaging are reportedly driving the category.

As we've said before, the weak dollar continues to hurt imports. According to the article, the big three importers (Italy, Australia and France) are declining, while Chilean, Spanish, New Zealand, Argentinean and South African imports have seen increased sales.

Wine & Spirits Daily

Sunday, June 8, 2008