The Ranch Winery's Weblog

Hard Year for Grapes

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It has been a hard year for grapes. Not the quality but the quantity..Totals on tons are way down, the economic market is questionable and people are worried. They say that alcohol does not get hit as hard in a down economy… but I think that is untrue. When you are a custom crush facility you see all shapes and sizes of clients. You have the large negotiants that buy bulk wine in large amounts, bottle and send to the market. Turn and Burn products. Then you have the mid size client that makes between 9,000 -12,000 cases a year and is working with price points of $12.00 to $27.00 per bottle. In my opinion they get hit the hardest. People that buy wine are always looking outside these price points for some reason. To raise the price of a bottle of wine is like raising the Titanic from the bottom of the ocean. last but not least you have the boutique clients that make under 8,000 cases. Wine buyers will be paying $35 and up for a bottle of wine. Wine producers like this have a specific clientele; People that love and enjoy wine and they also have plenty of expendable cash to pay for it. 

The lack of grapes will affect everyone type of producer across the road. Each group will be unable to grow. Without growing you can not hit sales goals… The circle continues.

Lets hope that next harvest is a little bit heavier….

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Written by theranchwinery

February 18, 2009 at 5:14 am

Posted in Grapes

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