Cool Products - At Mobile Bottling

Transcript

WINE BUSINESS MONTHLY April 2017 • $5.95 The Industry’s Leading Publication for Wineries and Growers Glass on the Bottling Line How to Ensure a Seamless Run Cool Products at the Unified Wine & Grape Symposium PLUS: Winemakers Discuss New Oak Alternative Options New Technology for Recapturing Lost Aromas Monterey County Winemakers on Their Best & Worst Business Decisions www.winebusiness.com THE DIVINE SPARK VINO SANTO With its extreme glass weight of 1,200 g and its powerful silhouette, the purified design of the Bordelaise VINO SANTO lends it a modern and refined touch. Its sleek lines, cylindrical base, racy heel diameter, and an imposing finish mounted on short neck are the most notably distinctive features of VINO SANTO. SAVERGLASS INC. Napa (CA): (707) 259-2930 East Coast (NJ): (201) 825-7100 Pacific North West (OR): (707) 337-1479 Mid West (KY): (859) 308-7130 www.saverglass.com HAUTE COUTURE GLASS Portocork is proud to unveil ICON CERTIFIED cork utilizing NDtech. NDtech is an individualized quality control screening technology for natural cork stoppers that delivers the world’s first natural cork stopper with a non-detectable TCA guarantee.* *releasable TCA content below the 0.5 ng/L quantification limit; analysis performed in accordance to ISO 20752 Portocork Inc. 560 Technology Way, Napa, California 94558 Phone: 707.258.3930 Fax: 707.258.3935 [email protected] www.portocork.com month in review WINE BUSINESS MONTHLY April 2017 • Volume XXIV No. 4 EDITOR Cyril Penn Innovation and Sustainability APRIL 2017 WINE BUSINESS MONTHLY April 2017 • $5.95 The Industry’s Leading Publication for Wineries and Growers www.winebusiness.com MANAGING EDITOR Rachel Nichols ASSISTANT EDITOR Erin Kirschenmann STAFF WRITER Bill Pregler WINE BUSINESS MONTHLY Cool Products at Unified • Glass on the Bottling Line phone adoption in this month’s issue cites a recent survey where more than half the respondents said it’s “absolutely critical or very important” for companies they purchase from to be innovative. Our focus is on the ancient art of growing grapes and fermenting them but there is so much innovation happening in the wine business. We’re seeing innovation from dirt to the bottling line and beyond. Sometimes innovation has unintended consequences or benefits. One of my favorite articles in this issue is about technology being deployed on fermentation tanks in California’s Central Valley to capture CO2 and prevent it from escaping into the atmosphere. The technology is in use as a result of regulatory directives to cut emissions but there’s a cool twist: the aromatic volatiles and ethanol vapors produced from fermentation that would otherwise be lost along with that carbon dioxide can be reused in winemaking to significantly enhance wine quality. This month’s issue also includes a focus on innovations we came across during the Unified Wine & Grape Symposium—a type of new receiving-hopper for the crush pad; a periscope for barrels allowing one to inspect inside barrel heads; an optical sorter design the cellar crew will appreciate because it’s easy to clean, to name just three. Oak alternatives are an innovation we write about frequently. There’s a trend toward customization of toasting with precise time and temperature. This issue AN ARTICLE ABOUT MOBILE SENIOR TECHNICAL EDITOR Curtis Phillips COPY EDITOR Paula Whiteside Glass on the Bottling Line How to Ensure a Seamless Run Cool Products CONTRIBUTORS Mark Greenspan John Hinman Michael S. Lasky Jake Lorenzo Ted Rieger Jeremy Siegel Rebecca Stamey-White Eric Stern Liza B. Zimmerman at the Unified Wine & Grape Symposium PLUS: Winemakers Discuss New Oak Alternative Options DESIGN & PRODUCTION Scott Summers New Technology for Recapturing Lost Aromas Monterey County Winemakers on Their Best & Worst Business Decisions PRESIDENT & PUBLISHER Eric Jorgensen ASSOCIATE PUBLISHER Tamara Leon includes a look at some of the latest options suppliers are offering and that winemakers are experimenting with through trials. Trials are key to the pursuit of innovation and quality. This month’s featured trial involved three different yeast treatments with Grenache Blanc. Innovation is often about doing things more efficiently or more sustainably and this issue includes a column about motivations for sustainability and why we should all be buying into the concept. Cyril Penn - Editor ADVERTISING Business Development Manager Bob Iannetta Account Support Representative Mary Anne Stockus Classifieds Jacki Kardum ADMINISTRATION Vice President – Data Management Lynne Skinner Circulation Liesl Stevenson Operations Analyst/Customer Support Katie Kohfeld Office Manager/Customer Support Jacki Kardum Office Assistant Olivia Haywood CHAIRMAN Hugh Tietjen PUBLISHING CONSULTANT Ken Koppel For editorial or advertising inquiries, call 707-940-3920 or email [email protected] For subscriptions, call 800-895-9463. Copyright 2017 Wine Communications Group, Inc. Short passages can be quoted without permission but only if the information is attributed to Wine Business Monthly. Wine Business Monthly is distributed through an audited circulation. Those interested in subscribing for $39/year, or $58 for 2 years, call 800-895-9463 or subscribe online at www.winebusiness.com. You may also fill out the card in this magazine and send it in. 4 April 2017 WBM contents April 2017 • Volume XXIV No. 4 • The Industry’s Leading Publication for Wineries and Growers • www.winebusiness.com winemaking sales & marketing Cool Products Industry Roundtable: at the Unified Wine & Grape Symposium. . . . . 21 Curtis Phillips Mobile Bottlers Recount Bottling Day Best Practices . . . . . 64 What wineries need to know before bottling begins Michael S. Lasky Critic Challenges the Way the World Writes and Thinks About Wine . . . . . . . . . . . . . 30 Eric Asimov addresses the Unified Wine & Grape Symposium Eric Stern Winemaker Trials: Discovering the Diverse Sensory and Analytical Effects That Different Yeasts Create On Grenache Blanc . . . . . . . . . . . . . . . . 32 When the winemaker at Paso Robles’ Halter Ranch wanted to move beyond his go-to yeast in Grenache Blanc production, he experimented successfully with two others to add to his winemaking palette. Distributors Ready to Enter the Cannabis Market. . . . . . 76 Michael S. Lasky Oak and Oak Alternatives: Marijuana sales may resemble that of wine’s wholesale market Suppliers, Winemakers Discuss Options, Uses . . . . . . 36 Liza B. Zimmerman Retail Sales Analysis Off-Premise Wine Sales Up Slightly in January 2017 . . 80 As more is understood about oak composition and extraction of oak sensory compounds in wine, suppliers are tailoring oak products for more specific uses. Ted Rieger technology & business EcoPAS Technology Captures Fermentation Volatile Aromas to Enhance Wine Quality . . . . 50 Mobile Usage Reaches Tipping Point . . . . . . . . 82 Technology can also capture ethanol, CO2 Erin Kirschenmann Mobile media time is now significantly higher than on desktop Ted Rieger ABC Enforcement Trends and Predictions . . . . 86 grape growing What wineries should know about beverage law, rules and investigations John Hinman, Rebecca Stamey-White and Jeremy Siegel, Hinman & Carmichael Pondering Sustainability . . . . . . . . 56 Motivations for sustainability discussed at the recent Unified Wine & Grape Symposium Mark Greenspan Winemaker Best & Worst Business Decisions: Monterey County . . . . . . . . . . . . . . . . . . . . . . 90 David Furer departments month in review . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 news In Case You Missed It . . . . . . . . . . . . . . . . . . . . . . 10 what’s cool: AaquaTools High-Temperature/ High-Pressure HotCart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .14 Bill Pregler people . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 94 Cover Photo & Design: Scott Summers with thanks to: A•T Mobile Bottling Line advertiser index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96 jake lorenzo Rain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97 winemaker of the month . . . . . . . . . . . . . . . . 98 J. Chris Stanton, winemaker, Bianchi Winery and Tasting Room, Paso Robles, CA Wine Business Monthly (ISSN 1075-7058) is published monthly by Wine Communications Group, Inc., 35 Maple St., Sonoma, CA 95476. Subscription rates are $39 for domestic; US$49 for Canadian and US$89 for foreign subscribers. Periodicals Postage Paid at Sonoma, CA, and at additional mailing offices. POSTMASTER: Send address changes to: Wine Business Monthly, PO Box 1649, Boulder, CO 80306-1649. WBM who’s talking in this issue April 2017 Tom Stutz, winemaking consultant, Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses, page 36 “Trials are a risk-free method to evaluate oak products, as long as you approach them in a thoughtful way.” Amanda Reiman, manager, Marijuana Law and Policy at the Drug Policy Alliance, Distributors Ready to Enter the Cannabis Market, page 76 “We are hoping that cannabis will be regulated similarly to wine. It just makes sense.” John Davis, owner and operator, AT Mobile Bottling Line, Mobile Bottlers Recount Bottling Day Best Practices, page 64 “Our contract actually says clients need to send samples of the label and bottle before bottling. But in most cases it arrives just in time—which is too late.” Anita Oberholster, enology specialist, UC Davis Extension, Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses, page 36 “We found we could mimic the aromas from alternatives in a shorter time period as compared with barrel aging. This may be a good option for wines you need to turn around more quickly.” Clark Smith, co-founder, Vinovation, EcoPAS Technology Captures Fermentation Volatile Aromas to Enhance Wine Quality, page 50 “The time when the fermentation is most vigorous, commonly in the midfermentation time range, seems to be when you can get the highest amount of the rich and desired aromas.” 8 April 2017 WBM Want to save time and guarantee results? Our new range of yeast and fermentation products is the solution! Easy 2 use’, our new and innovative range of yeast strains and yeast derivatives has been created to facilitate and enhance your fermentation process. These new biotechnology solutions will save you time thanks to the direct addition without having to sacrifice end result quality. Less time and same quality. Fermentis, the obvious choice for beverage fermentation. Exclusively distributed by: Contact ATP Group at (707) 836-6840, [email protected] or www.atpgroup.com news For daily news you can search or browse by region, visit winebusiness.com/news In Case You Missed It Canadian Wine and Grape Industry Contributes $9 Billion in Economic Impact to Economy In a report recently commissioned by the Canadian Vintners Association, the Winery & Grower Alliance of Ontario, the British Columbia Wine Institute and the Winery Association of Nova Scotia, it was discovered that the Canadian wine industry contributed more than $9 billion to the country’s economy in 2015. That figure is up 33 percent from $6.8 billion in 2011. Wine consumption in Canada continues to grow and Canadian wines presently represent only 30 percent of total wine sales across the country. The report also revealed that the Ontario wine and grape industry generates $4.4 billion in economic impact, British Columbia $2.8 billion, Quebec $1.1 billion and $218 million in Nova Scotia. Wine-related tourism welcomes more than 3.7 million visitors each year, generating more than $1.5 billion annually in tourism revenue and employment. The wine industry generates $1.7 billion in federal and provincial tax revenue and liquor board mark up. Majority of California Declared Drought-free Just one year ago, 95 percent of the state was in some type of drought, some more severe than others. New figures from the U.S. Drought Monitor show that the recent winter rain and snow storms have eliminated drought conditions in more than 90 percent of the state. Frank Gehrke, the chief snow surveyor for the state of California, reported to various news agencies that the snowpack was up 185 percent than normal—close to levels last seen in 1983. Now storage and management of all the precipitation is the main concern. Numerous reservoirs are at full capacity and severe flooding is occurring in several areas of the state. March 7, 2017 March 1, 2016 ABC Fines Two Large Beer & Wine Wholesalers and Numerous Retailers for Unfair Business Practices The Department of Alcoholic Beverage Control (ABC) has reached a $400,000 settlement with Anheuser-Busch, LLC wholesalers and a $10,000 settlement with Straub Distributing Company LTD for their engagement in unfair marketing practices aimed at retail licensees. Additionally, approximately 34 retail licensees also received disciplinary sanctions levied against their ABC licenses for their related activities. The settlements came after a year-long investigation begun in 2015 by ABC’s Trade Enforcement Unit that found the wholesalers covered the cost of, or partially financed, refrigeration units, television sets and draught systems at retailers in the Southern California area, in violation of the law. When wholesalers provide prohibited things of value to retailers, it results in unfair marketplace advantages over other wholesalers. Investigators inspected more than 100 retail customers of Anheuser-Busch, LLC’s distributorships in Sylmar, Pomona, Carson (Beach Cities) and Riverside. They also found that Straub Distributing Company LTD, which distributes Anheuser-Busch products in Orange County, engaged in the activity as well. Delicato Family Vineyards and V2 Wine Group Announce Strategic Alliance Under the terms of the agreement, Delicato Family Vineyards is making a significant equity investment in V2 Wine Group as part of the company’s ongoing premiumization and growth strategy. V2 will operate as a distinct sales and marketing platform with its own unique portfolio and channel strategy. Dan Leese, president, and Katy Leese, general manager, will continue to lead V2 in their current capacity. “The objective of the partnership is to increase the presence of the powerful brands in the V2 collection and to better serve our customers with a broader portfolio,” added Dan Leese. Scott Ericson, senior vice president and national sales manager, will continue to lead the sales organization representing the V2 portfolio. Constellation Brands Launches Wines Closed with Helix Concept Callie Collection, Constellation Brands’ collection California Bud Break Starts in Fresno The first grapes to start budbreak were Pinot Grigio grapes out of Fresno County. Reports on timing are varied, with some growers stating that budbreak occurred a little later than last year, while others say it’s on par with the 2016 harvest. All are concerned about the unusually cold temperatures and frost damage. 10 April 2017 WBM of wines from California’s Central Coast, is the first new wine brand to launch nationally in the U.S. with the innovative Helix closure. Helix was developed by Amorim and O-I —the twist-to-open concept combines an ergonomically designed cork stopper supplied by Portocork America and a glass bottle with an internal thread in the neck, creating a high performing, user-friendly and re-sealable wine packaging solution. Following a soft launch in fall 2016, Callie Collection launched nationally in March 2017 and is available for a suggested retail price of $13.99. YOUR WINE OUR GLASS Printed Cases Stock Inventory Program Private Bottle Design Services Credit Card Payments Options In-house Decoration Capabilities A complete solution for all your glass packaging needs. BOOTH #1100 Division of O-I [email protected] 469-443-1000 WINE BUSINESS MONTHLY would like to thank the following partners and sponsors: INNOVATION+QUALITY C O M M U N I T Y PA R T N E R S P L AT I N U M PA R T N E R GOLD SPONSORS SHOW SPONSORS L A N YA R D SPONSOR S I LV E R S P O N S O R S A S S O C I AT I O N SPONSOR WIFI SPONSOR BRONZE SPONSORS Thank you for making the third annual INNOVATION+QUALITY a success! Congratulations to INNOVATION+QUALITY Award Winners Innovative Product Categories Research Cooperatives Authentication Solutions Applied Research Cooperative Authentic Vision Laffort SICPA Winemaker’s Research Exchange Monticello Wine Trail Prooftag Innovative Products Selectiv’ Leaf Remover PolarSystem Tartaric Stabilization Plant Pellenc America, Inc. Lalvin OKAY (ICV) Scott Labs Padovan Dynamos Cross-flow Filter Alpine Scientific, Inc. Della Toffola Dualex TankNET PM-4000 Controller Fruition Sciences Acrolon Technologies NomaSense O2 P6000 Nomacorc ATPGroup And thank you to all our IQ2017 Check Stab Alpha 2016 iLife Exhibitors AaquaTools, Inc. ETS Laboratories Napa Wooden Box Co. Sierra Nevada Acrolon Technologies, Inc. Euro-Machines, Inc. Nomacorc | Vinventions Sonoma Cast Stone AgroThermal Systems eVit Nordby Construction Sonoma Stainless Agrovin USA, Inc. Falcon Crop Protection O’Connell Jetting Systems Sunworks USA Alpine Scientific Farella Braun & Martel OENODIA Tanktemp Control Amcor Flexibles Fermentis O-I Packaging Solutions Tapp Label Company Amorim Cork America FOSS Orion Wine Software The Vintners Vault Ardagh Group Fruition Sciences Thermo Fisher Scientific ATPGroup G&D Chillers P&L Specialties / Tom Beard / Revolution Equipment Sales Authentic Vision G3 Enterprises Berlin Packaging Gabriel-Glas Bottle Coatings, Inc. Ganau America Bruni Glass A Berlin Packaging Company Global Package, LLC. Bucher Vaslin North America Gusmer Enterprises, Inc. BuyWine.com Halldata Inc DBA Columbia Label Canadian Solar (USA) Inc. Imada, Inc Carlsen and Associates InnoVint CCL Label Invisible Sentinel ColloPack Solutions Key Technology Cork Supply USA La Garde Creative Oak Laffort USA Criveller California Corporation Lafitte Cork & Capsule Della Toffola Demptos Napa Cooperage Diam DSI Global Duarte Nursery Enartis USA eProvenance Ledcor Construction, Inc. M. A. Silva USA Mala Closure Systems, Inc. Mechanics Bank Metrohm USA Monvera Glass Decor Multi-Color Corporation Wine & Spirits PA Trellising Systems Inc. Paso Robles Tank - Brown Minneapolis Tank, Inc. Peak Industrial Pellenc America, Inc. PolarClad Tank Insulation Polytech Industrial, Inc. Portocork America Pro Chiller Systems, Inc. Prooftag Prospero Equipment Corp. Pulsair Systems, Inc. Pure Tin Rack & Maintenace Source Rack & Riddle Custom Wine Services Riedel USA Santa Rosa Stainless Steel Saverglass, Inc. Scott Laboratories SGP Packaging by Verallia Toneleria Nacional USA Tonnellerie Cadus Tonnellerie de Mercurey USA Tonnellerie O Tonnellerie Radoux USA, Inc. TricorBraun WinePak Tule Technologies Umpqua Bank Unionpack Verizon Vicard Generation 7 VineView-Scientific Aerial Imaging, Inc. Vivelys – Boise® Oak Chips Walsh Management WECO Western Square Wine Business Institute at Sonoma State Wines & Vines Yamaha Motor SICPA For more information, please call us at 707-940-4749 or visit www.winebusinessIQ.com what’s cool Products that are smart, make your tasks easier and provide cost or labor savings Bill Pregler Bill Pregler has worked in the winery equipment industry for many years and is a staff writer for Wine Business Monthly. AaquaTools High-Temperature/ High-Pressure HotCart Sanitation is Rule No. 1 AAQUATOOLS Twin #40 propane tanks fuel the dual heat exchangers, which produce 185° F water. The compact HotCart is totally self-contained and moves easily throughout the cellar. number of wine, beer and spirits facilities opening across North America, the Unified Wine & Grape Symposium is attracting a considerable number of new owners looking for the latest designs in production equipment. While I also tour the exhibit floors looking for “the new,” prior to the 2017 show I promised readers I would also walk the Unified floor looking for the time-tested, must-have equipment for any facility. It was natural then to visit with Robert Astle and Steve Buchan, owners THANKS TO THE GROWING 14 April 2017 WBM of AaquaTools, Inc., from Rancho Cordova, California. Included in their long list of quality cleaning equipment is their high-pressure/high-temperature washer, the self-contained and portable HotCart. Regardless of your thoughts about “new process” equipment, you will always have a need for sanitation. The AaquaTools HotCart washer has always incorporated three of my basic “E”s: Effectiveness, Ease of Use and Ease of Maintenance. what’s cool: AaquaTools High-Temperature/High-Pressure HotCart Effectiveness Buchan is considered the “design and idea” man at AaquaTools and Astle is the engineer/mechanic who assembles products to bring to market. There are two things that immediately catch your attention. First is their choice of dual tankless, on-demand heat exchangers from Noritz America Corporation, which replace smelly, diesel-powered, steel tank-reservoir designs. Instead, Noritz exchangers use commercial grade, copper-alloy only. The exchangers have been around for a long time, and the HotCart uses the Model 1991 commercial units. Working together in parallel, they provide increased efficiency by stabilizing temperature fluctuations and boosting the flow rate. The compact designs are 85 percent energy efficient and use propane as fuel, capable of producing 185° F water or 380,000 BTUs in mere seconds. Concurrently, there are two 40-pound (9-gallon) propane cylinders on board the HotCart, exactly like you would see on an RV. These exchangers come with full American National Standards Institute certification. They have a built-in, digital touch-pad for easy and precise temperature control within (+/-) 2 degrees. Included are flame sensors, along with overheat and freeze protection—the latter is for those of you who live in the snow. Direct electronic ignition means no pilot light waste. They are both encased in durable stainless steel. The next thing you see is an 8.8 horsepower on-board, high-pressure pump with a flow rate of 5.5 gallons per minute up to 2,750 psi. This is a serious amount of pressure but can easily be throttled down at either the wand handle or a dial on the pump housing. _Publicite_Vineyard-F.indd 1 16 April 2017 WBM AAQUATOOLS The temperature is controlled via a simple touchpad. 17-12-15 9:59 AM Ease of Use I had a chance to visit with winemaker Andrew Bilenkij at Ledson Winery in Sonoma, California for a photo shoot and interview. For him, the HotCart is the cellar workhorse and is used constantly throughout all production cycles. In his mind, a major plus is the unit’s simplicity and that anyone can quickly learn to operate it. The cellar worker simply attaches the cold water source to the HotCart, turns the power on and selects the desired temperature on the touch pad. Cleaning begins instantly by pulling the trigger on the cleaning wand. With 185° F water and high pressure, it is easy for any novice to clean and sanitize anything in a cellar. The custom, stainless steel HotCart rolls smoothly on four 8-inch solid rubber wheels, with two locking casters. The cleaning hose is 33 feet long, coiled on a hand-cranked reel (stainless steel) and incorporates a quick disconnect fitting proprietary to Nilfisk/KEW. AaquaTools specified these fittings because the effectiveness of the HotCart is its adaptability to a wide range of cleaning needs and accessories. Part of the purchase is the cleaning “gun,” or handle, which accommodates different length wands and nozzle heads for cleaning crushpad equipment or tanks, walls, drains and picking bins. The unit can also be used as the high heat/ pressure source for your impingement barrel cleaning equipment, spray balls and after-market floor washers. The company refers to its design as “a driver of tools.” What’s Cool is the propane fueled burners are so clean and efficient that the low emission HotCart can be used in poorly ventilated work areas. “ The attention to detail and communication at Bin to Bottle has been a godsend for us. They are clean, wellequipped, large enough to handle anything, but organized enough to take care of our small lots. Most importantly, the staff all cares. “ The pump is from Nilfisk/KEW, which is another long-time industry standard with wide representation throughout the United States. What is unique is these pumps contain special seals in their construction, which allow for both high temperature and pressure to pass through the same pump simultaneously. Steve Matthiasson Premiere Viticulture & Matthiasson Wines Ease of Maintenance The HotCart is the result of mechanically oriented people who took quality, time-tested components from other industrial applications and assembled them into a terrific cleaning system for our industry. This means they started with a good understanding of what our sanitation needs are. Even better, the individual components are all “remove-and-replace,” or rebuildable with certified (national) vendors or through AaquaTools themselves. I was told a winery can purchase necessary parts (via FedEx shipping) and easily perform the maintenance on site. Astle describes the design as intentionally “serviceman-friendly.” The HotCart requires three phase power, and the voltage is 220/480 V. All wiring in the heaters is of different sizes so as to avoid any wiring mistakes. Access doors and panels are all secured with easily disconnected clips. AaquaTools maintains a service department to assist in any emergency repairs. Factory warranties are held by AaquaTools and even extended on certain components. The KEW pump and the Noritz exchangers have a standard one-year warranty. What’s Cool: Sanitation is paramount for everyone in our business and will usually be achieved with a high-temperature/high-pressure washing system. Over the long term, the HotCart will be one of the best investments you can make and, as mentioned before, is effective, easy to use and low maintenance. Tip: If you want to learn more about what and where needs sanitizing, you may want to purchase an affordable, handheld adenosine triphosphate “bug detector” from a company like Hygiena and swab your facility. WBM For more information, visit www.AaquaTools.com. WBM April 2017 17 WINE BUSINESS MONTHLY would like to thank our 2017 WiVi exhibitors & sponsors! 2017EXHIBITORS AaquaTools, Inc. ACHWorks ACIC Cork and Closures Acorn Paper Admeo, Inc AEB Biochemical Group - USA Agajanian Vineyards and Wine Company Agrothermal Systems Airgas USA, LLC Alcohol and Tobacco Tax and Trade Bureau (TTB) All American Containers Allied Grape Growers Amcor Flexibles Amorim Cork America ARS/SWASH™ Cleaning and Sanitization Equipment ATPGroup Baker Wine & Grape Analysis Barnum Equipment Sales Barrel Builders Barrel Safe Barrels Unlimited Battistella USA BCT Solutions Beach House Candles Bergin Glass Impressions, Inc. Berlin Packaging Bio-Microbics, Inc Blue Mountain Minerals Bruni Glass, A Berlin Packaging Company Bryan Bins, Inc. BSG Wine Bucher Vaslin North America California Capsules CDFA PD/GWSS Board Clark Pest Control Clayver ClearWater Tech, LLC Cloacina, LLC CM Equipment, LLC Coastal Tractor ColloPack Solutions Columbia Label Cotton Labels Creative Labels, Inc. Criveller California Corporation Custom Metalcraft, Inc. Della Toffola USA Eco Trellis Enartis USA Encore Glass Environmental Dynamics International Ermitage USA Etched Images, Inc. ETS Laboratories Euro-Machines, Inc. FedEx Services Free Flow Wines Fruition Sciences FSI Equipment G&D Chillers G3 Enterprises, Inc. Ganau Gas Generation Solutions Global Package, LLC Glopak USA Green Rubber Kennedy Ag Guillaume Grapevine Nursery Gusmer Enterprises H2O Engineering, Inc. Herrick Grapevines Heyes Filters, Inc. IGGPRA Infaco USA, Inc. Invisible Sentinel iPak Wine IVV Designs Janson Capsules Jim’s Supply Company, Inc. Knights Grapevine Nursery Labelmate USA Labeltronix Laffort USA Lafitte Cork & Capsule Landsberg Leroi Barrels & Charlois Cooperage USA M. A. Silva USA Mala Closure Systems, Inc Matheson Gas MCC Label MENNEKES Electrical Products Microworks Technologies, Inc. Midwest Grower Supply Monvera Glass Decor Nadalie USA Napa Wooden Box Co. Novavine Grapevine Nursery OENODIA O-I Packaging Solutions Olivas de Oro Olive Company Organic Ag Products PA Trellising Systems, Inc. Pack n’ Ship Direct Parker Hannifin Paso Robles Tank, Inc. Pellenc America, Inc. Peltier Glassworks, Inc. PolarClad Tank Insulation Portocork America Prospero Equipment Corp. Pygar/Felco R.F. MacDonald Co. Rabobank Rack & Maintenace Source LLC Rack & Riddle Custom Wine Services Ramondin USA REC Solar ReThink Labels Revolution Equipment Sales / P&L Specialties / Tom Beard Co. reWine Barrels Riedel USA Sanitary Stainless, Inc. Santa Rosa Stainless Steel SaverGlass Scott Laboratories Shur Farms SIP Certified/Vineyard Team SmartVineyards and NW Vineyards Consulting Spirited Packaging, Inc Spokane Industries Squire Boone Village Stockman’s Water & Energy Sunridge Nurseries Sunworks USA Tanks for Wine, Inc. Tapp Label Company TerrAvion The Vintners Vault Thermo Fisher Scientific TJ & Dawson, Inc Topco, Inc. TopNest Designs Transition Equipment Trical, Inc. TricorBraun Winepak Tule Turrentine Brokerage UHP Fabrication, LP Unitech Scientific VA Filtration USA Valley Pipe & Supply Inc. Vineyard Concepts, LLC Vineyard Industry Products Vintage 99 Label Mfg Vintegrate vintrace Vitroval USA Vivelys – Boise® Oak Chips West Coast Supplies Western Square Wilson Orchard & Vineyard Supply Wine Business Institute at Sonoma State Wine Country Dry Goods Wine Country Labor, Inc./ Protech Solutions, Inc. Wines & Vines Wineshipping Winetech WISE Academy Wonderful Nurseries World Wine Bottles & Packaging WS Packaging Group, Inc. Thank you for making WiVi 2017 a success! www.WiViCentralCoast.com 707-940-3920 2017SPONSORS C O M M U N I T Y PA R T N E R P L AT I N U M S P O N S O R GOLD SPONSOR S I LV E R S P O N S O R S BRONZE SPONSORS A DIVISION OF RIPPEDSHEETS.COM A S S O C I AT I O N PA R T N E R S L A N YA R D SPONSOR C O M M U N I T Y PA R T N E R S 20 April 2017 WBM winemaking Cool Products at the Unified Wine & Grape Symposium Curtis Phillips Curtis Phillips, an editor for Wine Business Monthly since 2000, is a graduate of UC Davis, and has been a winemaker since 1984 and an agricultural consultant since 1979. was well attended once again with the official attendance pegged to at 14,000 attendees. Although several parts of the tradeshow floor had much lighter foot traffic than the main hall, the “crowd management” seemed to do a better job than usual at directing people to the hall upstairs, the outside pavilion, and the landing upstairs from the western foyer across from the Hyatt, as well as the foyer itself. Despite the slight increase in attendance, the crowds seemed more evenly spread out than usual. Every year I comb through the booths for new products that have the potential to change the wine industry. I have listed those that caught my eye at this year’s Unified Wine & Grape Symposium below. THIS YEAR’S UNIFIED WINE & GRAPE SYMPOSIUM Armbruster Incline Hopper with Metering Screw Scott Laboratories The new Armbruster Incline Hopper with Metering Screw is a dump-and-go receiving hopper for the crushpad. Using gravity has to be the simplest way to get grapes from a bin and into a destemmer, press or fermenter. Unfortunately, most destemmers perform better when the grapes are delivered to it in a constant stream. Any surges in the amount of grape clusters going into the destemmer increase the likelihood that jacks will end up with the destemmed berries. The primary function of a receiving hopper, then, is to translate the impulse of a bin-load of grapes into a smooth stream of grape clusters. To achieve this, Armbruster has made a steeply inclined hopper with a large diameter helical screw. Unlike a conventional auger that digs or pulls clusters out of a pile of grapes, the screw in this hopper merely meters the flow of the grape clusters as they fall out of the receiving hopper. SCOTT SUMMERS What’s Cool: The hopper has a keep-itsimple design. The sloped bottom and steep incline mean that the auger is simply used to gently meter out the grape clusters at a uniform rate rather than dig them out by force. It also should deliver grape clusters to the destemmer at a more uniform rate than even a vibrating hopper. CURTIS PHILLIPS WBM April 2017 21 Cool Products at the Unified Wine & Grape Symposium CURTIS PHILLIPS Barrel Scope ARS/Swash The ARS/Swash Barrel Scope is a periscope for barrels. It allows the inspection of the inside of the barrel heads, which is more or less impossible without either removing a barrel head or using a similar tool. The Barrel Scope inspection device incorporates a 200 lumen LED light source that produces a light bright enough to be seen from over 200 meters. Powered by three AAA batteries, the light source has a continuous operating run time of nearly seven hours. What’s Cool: It allows the inspection of the inside of the heads without removing a barrel head. 22 April 2017 WBM SEATTLE, WA FAIRFIELD, CA MADERA, CA PORT ALLEGANY, PA FISHERS, IN APPELLATION: 100% made and serviced in the USA Delivering superior-quality glass bottles and service directly to your AVA www.ardaghgroup.com/wine2017 When it comes to the packaging you choose to protect and enhance your quality wine, you deserve an experienced bottle maker you can count on. As the largest producer of glass wine bottles made 100% in the USA, Ardagh Group has the resources to meet your needs in a highly-flexible manner, setting you up for success. With manufacturing facilities and sales teams serving you from the heart of the major North American wine regions, we’re proud of our long history of collaborations with local wineries. Give us a call today to learn more about our wide range of premium bottles and the exceptional service you can expect from your local glass partner. 800-428-8642 | 100% Made in the USA Cool Products at the Unified Wine & Grape Symposium SCOTT SUMMERS CMA Dream Destemmer-Sorter Prospero Equipment The CMA Dream is a new take on destemming and automatic sorting. The destemmer is a design that’s not quite like any other destemmer I’ve seen. It has a swinging cage design that knocks the grapes off the rachis. The grapes are then deposited onto a series of rollers that separate the grapes from both large and small MOG (Material Other than Grapes), as well as undeveloped grapes, raisins and broken berries. What’s Cool: I like the way the CMA Dream gets the grapes off the rachis and away from MOG. 24 April 2017 WBM ALL YOUR PACKAGING NEEDS. ONE SOURCE. Brick Packaging offers a wide variety of quality, in-stock inventory. Our strategic warehouse locations provide prompt, reliable, and cost-effective packaging solutions for our customers in the food and wine industries. Glass Bottles: Traditional and Specialty Wine Bottles // Spirits // Olive Oil // Beer Capsules: Screw Caps // Custom Options // Small orders of custom capsules // Bottle Sealing Wax Corks: TTops // Synthetics // Natural // Technical // ZORK® Closures Oak Barrels: Develop your specific style of wine with our stock and custom barrels. Oak Additives: Convection toasted additives allow repeatability from batch to batch. Contact our team to select the best oak additive for your application. Fast Delivery: Orders placed by noon ship the same day. Strategic Warehouse Locations Let Brick Packaging supply your packaging needs efficiently, effectively and on your schedule from one of our warehouse locations. Integrity in Packaging 866.770.7600 [email protected] brickpackaging.com Cool Products at the Unified Wine & Grape Symposium CURTIS PHILLIPS Armbruster GrapeSort Scott Laboratories Open Grape Crushing System Diemme Enologia The Armbruster GrapeSort is a new optical sorter design with a lot of winemaker- and cellar crew-friendly details. When I did my walk-around at the show, I noticed that the GrapeSort unit has what looks to be an easy-to-use user interface. LED lighting should give nice full-spectrum illumination for as long as a decade between bulb changes. The unit also offers automatic belt-tensioning. To my mind, one of the “killer-features” of the Armbruster GrapeSort is the attention that has been paid to operational stuff, like cleaning the beast at the end of the workday. Diemme’s Open Grape Crushing System is a standalone crusher that can be used independently of a destemmer. The unit can be placed at the end of a sorting table, after an optical sorter, directly above a press or directly over fermenters. What’s Cool: To paraphrase Eli Wallach’s Tuco from The Good, The Bad, and the Ugly, “If you’re going to crush. Crush. Don’t talk.” The Diemme Open Grape Crushing system separates crushing from destemming. What’s Cool: A lot of attention has been paid to winemaker-centric, prac- tical and operational details, like cleaning, maintenance and access. THE NEW EUROPRESS TANK PRESS ı-320 hl Decades of experience, know-how and innovation are evident in the quality construction of all of our presses, resulting in many years of reliable performance. Open and Dual Presses also available. Your advantages of a closed press system: T24 with sealed door Sealed door (option) Gentle pressing Large dejuicing area, unique channel design Juice outlet fittings can be closed for fermentation or maceration time Easy cleaning of the interior press drum and the removable drain channels FOR THE LOVE OF WINE West: 707-864-5800 East: 540-825-5700 [email protected] – www.euromachinesusa.com 26 April 2017 WBM CURTIS PHILLIPS Crush Cart Pulsair Systems The Pulsair Crush Cart is a small cart-mounted, single Pulsair system for quickly mixing fermenting musts or mixing blending tanks. For fermentations the Crush Cart is best suited for wineries using fermenters around 10,000 gallons in capacity or smaller, although it’s the tank width rather than volume that is the real limiting factor. Larger fermenters are likely to need a larger Pulsair system during fermentation. As a blend mixer, the tanks can be a good deal larger. What’s Cool: A Pulsair system can mix a stratified tank, mix a blend, mix in additives or turn over a fermentation in ridiculously short times. Tanks of wine as large as 55,000 gallons can be mixed to specification in under 10 minutes. WAV (Work Assist Vehicle) Crown Equipment Corporation The Crown Work Assist Vehicle (AKA “the Wave” or WAV) is a single-man lift or order-picker. The idea is that the WAV can more safely replace rolling work ladders for routine warehouse and maintenance tasks. Of course, this isn’t going to eliminate lost productivity and workers’ compensation claims in a relatively dangerous environment like a winery. Also, most wineries have forklifts, but using a man-lift, like the Crown WAV, can turn a two-person task into something one person can do. Also, the Crown WAV is maneuverable enough that it can be used indoors pretty much anywhere a ladder would be used. What’s Cool: Mainly I like the Crown WAV for the safety aspects, but also I really like the retractable cord reel for the onboard recharger. Any standard power socket can be used as a recharging station. WBM April 2017 27 Cool Products at the Unified Wine & Grape Symposium SCOTT SUMMERS SCOTT SUMMERS Haulotte Star 22/26 J Crane J.M. Equipment Socma Cube Valley Pipe & Supply The Haulotte Star 22/26 J is a single-man lift crane with a 22- or 26-foot mast and a 9-foot, 10-inch reach. The Haulotte Star 22/26 J has a bunch of operator-friendly features, but in particular, I noticed that it has AC power and an air line to the work platform. This may seem like a small thing, but being able to plug your tools into the work platform rather than having to jury-rig some way to get power and/or air to the work deck is a big deal and much safer than draping power cords and air lines hither and yon. A redesigned version of Socma’s vertical vibration destemmer has been released. The base design has been around for a while, but Socma has been pretty proactive about listening to winemaker suggestions about improving the overall design. I wanted to give readers a “heads up” about the redesign and suggest that it might be time to look at the Cube again as an alternative destemmer design. What’s Cool: I like the new options for adjusting the Cube and the stain- What’s Cool: I’ve spent a lot of my life driving forklifts and cherry pickers, and this is just about the nicest lift I’ve seen for working in confined areas, like barrel rooms and dry goods warehouses. 28 April 2017 WBM less steel MOG grate. Honorable Mention Nomasense B200 Nomacorc I’ve talked about the Nomasense analyzers a couple times already, so I’m going to hold them out of the main “what’s cool” list. All the same, I did want to note that enough development has continued on in these devices that they probably deserve some mention. Most noticeably, the single-use sampling electrode for the Polyscan B200 has been redesigned to make it a little easier for us ham-fisted winemakers to handle. Less obviously, when the resulting data have been visualized (graphed), the Nomasense polyphenol analyzers are proving a suitable tool for real-time winemaking decisions. For example, since the data is available in near real-time, the Polyscan B200 can be used to select press fractions, blend juice lots with similar phenolic profiles together or find the optimal fining dosage. If it has been a year or two since you’ve last looked at these, it’s probably time to take another look. What’s Cool: The new sampling electrode for the Nomasense B200 is easier for my fat fingers to fill and plug into the instrument. WBM CURTIS PHILLIPS WBM April 2017 29 winemaking Critic Challenges the Way the World Writes and Thinks About Wine Eric Asimov addresses the Unified Wine & Grape Symposium Eric Stern Winemaker emeritus Eric Stern of Landmark Vineyards retired in 2010 after 22 vintages with this Kenwood, California producer. really very useful. They unfairly deprecate wines that score less than 90 points and don’t really help people to understand or enjoy wine more. Scores, divorced from stories and information about the people and places that produced the wine, are a disservice to consumers and, to some degree, unfair to the wine. A single bottle can taste different from one month to another, from a blind tasting to a synergistic “supporting player” at an agreeable meal with friends, all according to New York Times chief wine critic, Eric Asimov. Asimov was the 2017 Unified Wine & Grape Symposium’s keynote speaker. His broad perspective on wine and food made for a well-received keynote address. While only a few hundred people could be accommodated at Asimov’s talk—out of an estimated 14, 000 attending this year’s symposium—his comments are Eric Asimov worth sharing. He also derided those wine writers who use esoteric and fanciful descriptors of a wine’s particular flavor and aroma profile. Consumers who cannot identify the same components shouldn’t be made to feel inadequate because the critic’s strawberry flavor is elusive or not evident to them. One could compare several wine critics’ descriptions of the same wine and find little similarity in their tasting notes. Even the texture or acidity, sweetness and balance of the wine can be different to different tasters. A good many of Asimov’s comments were a call for consumers to not be “afraid to make mistakes” when ordering or serving a wine. Mistakes are how we can learn about wine. This is an axiom of life and certainly can be equally applied to how we gain knowledge about wine, and even grape growing and winemaking. Asimov wants to help people feel at ease in their wine purchasing and drinking decisions. He sees consumers razed by angst. His writing aims to educate and help Americans gain greater knowledge and comfort with wine. He also made a plea for consumers to entertain an emotional response to wine, along with the rational part of the brain. By permitting consumers to WINE SCORES ARE NOT 30 April 2017 WBM indulge their own enthusiasms, they can “eliminate the need for authorities like me,” he said. A positive development, he noted in the evolution of the California wine industry, is its rethinking of where to plant what, based on suitability to site rather than simply following fashion and mimicking the classic varietals of Europe. Asimov wants to simplify wine for consumers but not demystify it. The elusive and the unknown of why a particular vineyard site, allied with a particular producer’s hand in the vineyard and cellar, can’t be completely rationalized and reproduced. Fine wine defies total analysis and codification. “There is a lot about wine we don’t know; it is complex and unpredictable… this puts us off-balance.” This led to a brief exposé about the business of wine, particularly the contrast between wines marketed at about $10 or less a bottle, versus higher priced wines of individuality and style. There is a high cost to produce wine in California and at the same time a desire from consumers for more affordable wines. Could the industry help by cultivating higher yielding vineyards with greater drought tolerance, planted in less costly regions away from the coastal influenced regions of the state and their associated higher costs? Asimov unequivocally supported such an approach—“yes, yes, yes and yes”—but recognized that it takes incredible commitment on the part of producers, and it was “not easy.” Whereas a large majority of Americans choose to eat in predictable restaurants, such as franchised chain establishments, a growing number of people seek out individual artisanal eateries, or places that cater to a more adventurous audience. The same is true in the world of wine, which for Asimov is integral with food. It is clearly these more individual efforts that capture his attention, both in food and wine. Asimov would like to see ingredients labeling on a bottle of wine. He sees this trend in the natural and organic food industry and feels that the same should hold for a wine, which he refers to as another “grocery.” It doesn’t sound like a lot to ask for, and yet, given that the vast majority of wine produced in the world today is simply commodity wine that attempts to give consumers predictable and reproducible products vintage after vintage, it might not be the best practice for many producers: imagine a wine label listing after grapes, yeast and sulfites: water, tartaric acid, potassium carbonate, diammonium phosphate, yeast hulls, bentonite, egg white, gelatin, isinglass, etc. WBM Sorting, perfected. Armbruster, the leader in crushpad processing equipment, introduces the GRAPESORT Optical Sorting machine, capable of capturing up to 10,000 images per second in both RGB and NIR spectrums. The GRAPESORT can analyze and reject particles based on size, color, and shape, with greater precision than any other system, delivering maximum quality in grape processing. (707) 765-6666 • www.scottlab.com winemaking INNOVATION+QUALITY Winemaker Trials: Discovering the Diverse Sensory and Analytical Effects That Different Yeasts Create On Grenache Blanc When the winemaker at Paso Robles’ Halter Ranch wanted to move beyond his go-to yeast in Grenache Blanc production, he experimented successfully with two others to add to his winemaking palette. Michael S. Lasky believe that trials are the embodiment of a winemaker’s pursuit of quality and has featured more than 70 trials at the last three Innovation+Quality conferences. IQ, a forum for ultra-premium wineries focused on cutting-edge innovations that advance wine quality, launched in 2015. IQ 2017 was held at Charles Krug Winery in St. Helena, California on March 2, 2017, and winemakers, W I N E B U S I N E S S M O N T H LY ’ S E D I T O R S TRIAL NAME: W I N E R Y: Yeast Trial on Grenache Blanc from Paso Robles Halter Ranch Vineyard, Adelaida District, Paso Robles WINEMAKER: Kevin Sass The object of this trial was to assess the sensory and analytical effects of three different commercial yeast strains on Grenache Blanc. W I N E M A K E R S U M M A R Y: One lot of 2016 Grenache Blanc was cold settled in tank, then racked to barrels and inoculated with three different commercial yeast strains. Each lot was treated with the same nutrient additions, sulfur additions and barrel maintenance. Post-primary fermentation, the wine was left sur lie with battonage once a week for four months; malolactic fermentation was intentionally prevented. Fermentation metrics were tracked, and post-fermentation analysis was performed on each lot to assess any analytical differences in the three lots. Each lot noted below was also assessed for sensory attributes and differences. Lot 1: VIN 13 Lot 2: Lalvin Rhône 4600 Lot 3: Zymaflore VL2 HOW T H I S T R I A L WA S CON DUCT E D: Michael S. Lasky is the former editor of AppellationAmerica.com and is the author of hundreds of articles for national magazines and newspapers. who conducted new trials, poured their samples, allowing attendees/fellow winemakers to taste and compare the resulting wines. Each month, WBM features a more in-depth examination of a selected winemaker’s trial, examining what led to the creation of the experiment and the knowledge the winemaker took away from the end results. For more information on IQ and the trials poured at the event, visit www.winebusinessiq.com. CONCLUSION: FERMENTATION METRICS Fermentation speed (days to dryness and peak temperature) was relatively similar across all three yeast strains, with VIN 13 going dry in six days as opposed to the seven days for the other two strains, with average temperatures of 62° F and a peak at 71° F. INITIAL BASELINE METRICS All lots: 21.4 Brix, 3.40 pH, 0.44 g/100ml TA FINISHED WINE METRICS ANALYSIS NAME LOT 1 LOT 2 LOT 3 Zymaflore VL2 VIN 13 Lalvin Rhône 4600 Ethanol 13.26 13.3 13.41 pH 3.06 3.08 3.06 UNITS %v/v TA 0.7 0.69 0.69 g/100ml VA 0.031 0.031 0.031 g aa/100ml ML 1.02 0.72 0.64 g/L L-Lactic 0.12 0.17 0.09 g/L RS 0.1 0.12 0.1 g/100ml GF 0.05 0.08 0.05 g/100ml 0.9892 0.989 0.9888 g/ml Density SOURCE: Baker Wine & Grape Analysis *Note: although the TA changed dramatically, there was no acid addition made to any of the lots* 32 April 2017 WBM E N H A N C I N G C R A F T S I N C E etslabs.com 1 9 7 8 Winemaker Trials MALIC CONSUMPTION The most malic acid was found in the VIN 13 lot (with 1.02 g/L) and the least in the VL2 lot (0.64 g/L) SENSORY Lot 1: VIN 13: Pear and tropical fruit notes Lot 2: Rhône 4600: Less expressive with lower apparent acidity Lot 3: VL2: More citrus fruit notes with higher apparent acidity Please note these are subjective results. Winemaker’s Postmortem Why this trial? smooth move CLUSTER THRUSTER™ Evenly meters whole clusters to the sorting line, destemmer or press ■ Dump 1/2 ton bins at once ■ Even level output at up to 30 tons/hour ■ Oscillating action = no shearing = gentle ■ Part of our complete crush pad system or integrates into your existing system HIGH-PERFORMANCE CRUSHPAD EQUIPMENT www.pnlspecialties.com ■ p. 707 573 3141 1650 Almar Pkwy, Santa Rosa, CA 95403 34 April 2017 WBM ■ ■ f. 707 573 3140 Lic. in CA/OR/WA With whites, for us, there’s less variability because there is no skin contact throughout fermentation, like we have with reds, and so we felt that the subtleties of white are more distinct in the concept of yeast and new oak. We had historically switched to a yeast we called VIN 13. We had chosen VIN 13 because of its ability to ferment really cold. We had been using it for our Rosé and we liked the ability for it to finish fermentation and be cold. We came to the realization that maybe we should try some other yeast out since we do barrel ferment most of our Grenache Blanc in neutral oak. We wanted to find some other yeast not known to be as cold-hardy that still would be able to work. We knew that there were probably going to be sensory differences and maybe some conversion differences, both in acid and alcohol. We thought that it might be a good idea just to do a control experiment because we have so much Grenache Blanc here and it’s our main program. It was important to try and make sure that we were comfortable with the yeast we were using. We ended up with about six barrels each, fermenting with the three different yeasts. These were 50-gallon fills instead of 59-gallon fills. We had no intention of bottling each lot separately for sale, but instead all three lots are going into our single Grenache Blanc blend sold to consumers. What were the results of this trial? We noticed specifically that the VL2 took a little bit longer to ferment than the other two, for whatever reason. Whether that’s just yeast-specific or environment-specific, I don’t know. They were in the same environment so I can’t imagine that was the issue, but it certainly went to dryness, so we don’t necessarily look at that as a negative. The VL2 had a higher conversion rate, meaning that it produced the highest amount of alcohol, so that’s something that we take into consideration because we’re not for high alcohol. We’re trying to deliver our alcohol, not go the other way. We, from a sensory standpoint, felt that the VIN 13 and the VL2 had different characteristics. We thought that the VIN 13 was more pear, tropical, fruit notes—more vibrant. The VL2 was more of a citrus base, orange rind; felt like it had more acidity, but it surprisingly didn’t show that in the analysis. The analysis was pretty much the same as far as acid levels. The Lalvin Rhône 46, for almost everybody who tried it, found it less expressive and the weaker of the three. What have you learned from the results? We’re probably going to continue moving within VIN 13 but maybe the VL2 as well, because it does add some complexity, and probably use a 75/25 percent blend, probably 75 percent VIN 13, 25 percent of VL2. It would also somewhat be relative to where we think our potential picking heats are going to be, because we like to be under 14 percent alcohol, ideally 13 to 13.5, but if we end up with a really hot year, we would probably err on the side of caution and use more VIN 13 because that has a lower conversion rate. If it’s a cooler year, like this past year, we might use a little bit more of VL2 because it does have a higher conversion rate and we do like the effect of the glycerol that’s produced during barrel fermentation with a little bit higher alcohol to maybe get us up to the 13.5 range. So we’ll look at the use of each yeast and make some decisions based upon the growing season. What would you do differently, if anything, because of this trial; and after this trial, will you change your winemaking regimen? No, I don’t think that we would change the winemaking regimen. We have great resources here to be able to keep our barrel fermentation rooms cool. Anything different about the trial? I think that we did a pretty good job. It was very controlled, and we did lees stirring on everything identically for the whole aging period. The only thing that I would like to do in an ideal world would leave it out a little bit longer in the barrel to see if there’s anything to do with oxidation that would be better in one lot versus another. But unfortunately, because of bottling conditions and timing, we aren’t able to do that. It would be interesting to bottle them separately and then see how they age. Because we like our Grenache Blanc ready for sale eight months after we bottle it, we’re working to bottle in March or April and then not release until November. Supply and demand haven’t allowed us to do that, but we certainly prefer our Grenache Blanc with a little bit of age on it. It sounds funny because you’re talking about a white, and aging is basically the year after. But, essentially, we’re trying to give it a little bit more time because the oxygen really helps develop the wine. So maybe the other trial would be bottling them on their own and seeing how they show a year later. That would probably be the next step for me. WBM No DE. No Perlite. No filter sheets. Nothing. This TMCI Padovan Dynamos System filters without filters and is only available through ATPGroup. atpgroup For more inFormation about the dynamos system, contact atPgrouP at (707) 836-6840 or online at www.atPgrouP.com WBM April 2017 35 winemaking Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses As more is understood about oak composition and extraction of oak sensory compounds in wine, suppliers are tailoring oak products for more specific uses. Ted Rieger Ted Rieger, CSW, is a wine journalist based in Sacramento, California and a writer for wine industry media since 1988. PHOTOS BY SCOTT SUMMERS winemaking are increasing. As more is understood about oak composition and extraction of oak sensory compounds in wine, suppliers are tailoring oak products for more specific uses, and providing more knowledge and services to winemakers for evaluating and using oak products. Oak composition, oak sensory characteristics and oak barrel and alternative oak products from both supplier and winemaker perspectives were discussed during a recent seminar, “All about Oak,” presented by the University of California, Davis (UCD) Department of Viticulture and Enology held February 10. UCD extension specialist in enology Dr. Anita Oberholster, who moderated the day-long meeting, observed: “There are lots of different options with commercial oak products to make different styles of wine and wine at different price tiers. Not everyone can use new French oak barrels for all their wine aging because they can’t recoup their barrel and production costs based on the final bottle price.” OAK PRODUCT OPTIONS FOR Oak Composition, Seasoning and Toasting Effects Dr. Tom Collins, professor at Washington State University, Tri-Cities, provided an overview of oak composition and the factors that influence the presence and extraction of oak aroma compounds and tannins. Collins stated: “Untoasted oak wood is relatively low in volatile compounds. Most of the volatiles associated with oak barrels and oak wood products are produced during toasting.” The main structural components of oak wood are lignin, cellulose and hemicellulose, the latter two components consisting of polymers of several types of sugars. Cellulose/hemicellulose toasting degradation provides aroma/flavor compounds, such as furfural and 5-methyl furfural. Lignin degradation provides aroma/flavor compounds, such as vanillin, guaiacol and 4-methylguaiacol. 36 April 2017 WBM Wood tannins are another important class of components found in oak. Of particular interest are ellagitannins. These are also known as hydrolyzable tannins and are readily hydrolyzed under acidic conditions to yield ellagic and gallic acids. Ellagitannins can be a source of bitterness, but can also contribute positively to wine astringency, mouthfeel, aging and stability. Ellagitannin content in oak can vary based on factors that include: forest of geographic origin, species of tree (Quercus petraea—sessile oak, Quercus robur—pedunculate oak or Quercus alba—American white oak), individual trees within a forest stand, and the position of the stave in the standing tree. Ellagitannin content is affected by seasoning. Air-seasoning generally decreases ellagitannin levels. Some ellagitannins are lost to hydrolysis during seasoning. Kiln-drying of green wood leads to greater loss of ellagitannins than air-drying. Ellagitannin content is decreased by toasting based on toasting method, time and temperature. Collins summarized the following for toasted oak: • Many of the volatile compounds associated with toasted oak aroma are the thermal degradation products of the major structural components of wood. • Lignin and ellagitannins are largely degraded during the toasting process, at least in the surface layer of the wood. • The extent of degradation decreases in the cooler parts of the oak barrel staves and the subsurface layers, which are less affected by heat. Due to the traditional barrel toasting process used by many cooperages that toasting the barrel body’s interior stave surfaces over an open fire, toasting levels on staves can vary considerably within the same barrel. Newer toasting technologies, such as convection ovens and infrared devices, can provide more uniform toasting levels across oak staves and oak products. Oak products used as alternatives to oak barrels (chips, blocks, staves used as barrel or tank inserts, etc.) offer potential advantages with a more even and consistent toast level across all sides and surfaces and into the interior wood layers. For at least a decade our full-time team of scientists have pioneered and fine-tuned a unique process they call “Barrel Profiling.” Through a comprehensive and exhaustive series of trials and tastings, this method allows a winemaker to precisely recreate (and tweak, if need be) their wine aged in the exact barrel of their choice—using our alternative aging tools. We offer the widest spectrum of toast levels and techniques. Our cutting edge Barrel Head products combined with our Micro-Oxygenation component demonstrate StaVin’s twenty-eight rich years of experience, learning and understanding the fickle nuances of barrel flavors. And let winemakers play god. StaVın Inc, Post Office Box 1693, Sausalito,CA 94966 Tel.(415) 331-7849 fax (415) 331-0516 stavin.com © 2017 StaVin Inc. ® Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses Oak Aroma Compounds UCD enology professor Dr. Linda Bisson led a discussion and sensory evaluation of oak aromas. Each seminar participant received a set of aroma vials, each containing an oak aroma compound. The first two compounds sampled and their aromas (listed on the right) are sometimes considered to have negative impacts in wine. All others generally contribute positive characteristics in wine. Oak aroma compounds and their common aroma descriptors Compound Descriptors 2-Nonenal Sawdust, woody 3-Octen-1-one Earthy, mushroom, fishy, vegetal Methyl Octalacton (also called Whiskey Lactone) Peach, coconut Nonalactone Coconut, butter, oil, cream Eugenol Clove Isoeugenol Woody, sweet Furfural Spicy, woody, bready, burnt, almond, incense 5-Methyl Furfural Sweet, caramel, bready, coffee-like Vanillin Vanilla, candy Guaiacol Phenolic, chemical 4-Vinylguaiacol Phenolic, pleasant 4-Methylguaiacol Vanilla, spicy, clove, wood, leather 4-Ethylguaiacol Phenolic, chemical Syringol Phenolic, chemical, incense m-Cresol Woody, smoky unmistakable flavors CUVEE SERIES evOAK’s Cuvée Series of oak chips and tank staves are crafted using proprietary batch technology to yield targeted flavor blends. Each blend (No1, No2, and No3) is formulated with certain flavor characteristics in mind to help you craft wines that are truly great. www.oaksolutionsgroup.com Discover the Cuvée series by ordering a sample kit from our website. 38 April 2017 WBM Oak Alternatives: Suppliers Present Options Eglantine Chauffour, technical winemaker with Enartis USA , listed the main oak product options: barrels, mini-staves, oak chips and oak tannins, including soluble oak extracts. Decisions for using each product are based on the winery’s budget, wine style, price tier and timing—the amount of time available for aging and the timing of oak application during the winemaking process. General guidelines for the length of wine contact time used for each product type to obtain extraction/aging objectives: tannins—immediate, chips—four weeks, staves—six months, barrels—one or more years. Enartis offers a range of alternative oak products that include oak tannins, soluble oak extract, and the company’s “Incanto” line of chips and “barrel boost” mini staves. Nadalié France since 1902 Nadalié USA since 1980 www.nadalie.com NADALIÉ USA 1401 Tubbs Lane Calistoga, CA 94515 Tel. 707 942 9301 Fax. 707 942 5037 [email protected] NADALIÉ USA, it’s also... WBM April 2017 39 Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses Chauffour provided the following cost comparisons for oak product use: Cost in $ per gallon Oak product New barrel $14 to $20 Neutral barrel $1.5 to $4.00 Oak tannins (5 g/L) $0.50 to $1.50 Incanto chips (3 g/L) $1.00 Incanto chips (10 g/L, 100 percent new oak) $3.40 Incanto barrel boost (25 percent new oak, mini-staves) $1.50 Chauffour noted that Incanto chips and barrel boost products can be specifically produced based on oak type and toasting to provide consistent aroma and flavor characteristics that include: natural, vanilla, cream, fruit, caramel, toffee and dark chocolate. “Most oak chips are toasted in a convection oven to achieve consistency in the aromatic profile,” she said. Enartis also supplies a range of oak tannin products to enhance wine at varying levels for the following: color stability, antioxidants, aroma cleanliness, structure, astringency, softness and aroma intensity. The company offers a soluble powdered oak extract called Enartis Incanto N.C. (no chips) that is a formulated blend of ellagic tannins, polysaccharides and aromas. A Napa Valley Tradtion for over 40 years 707.963.9963 40 April 2017 WBM || BarrelBuilders.com || 990 Vintage Ave, St. Helena CA Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses Reasons to use this product include: precise dosage, high quality material, better integration, easy to use and no solids adsorption of wine color. Chauffour listed general guidelines for setting up a chips trial in the winery: • Use a 1.5 L wine bag or a 750 ml bottle. • Weigh the oak chips and insert them into the wine bag/bottle. • Label with the date, wine lot, oak chip product name and dosage. • Remember the control—fill a bag/bottle with the trial wine. • Be careful with oxygen input—she suggests adding 5 ppm SO2 at filling. • Taste each wine after three to four weeks. Marcy Mallette was previously a winemaker at both large and small wineries THE BEST OF AMERICAN OAK www.finenorthernoak.com • 707-307-6222 • [email protected] 2 BARREL STEAMING MACHINE AUTOMATED STEAMING! e! SavW Eter W Na 2 & 4 Barrel Washing • 2 & 4 Barrel Steaming Barrel Processing Lines • 1/2 Ton Bin Washing Systems 35 lb. Picking Lug Washers • Custom Cellar Equipment 1650 Almar Parkway, Santa Rosa, CA 95403 P. 707-573-3150 F. 707-573-3140 www.tombeard.com E. [email protected] 42 April 2017 WBM and worked extensively with oak alternatives, performing bench and tank trials, to create blends of oak products to produce desired wine styles. Now as a winemaker/technical rep for Laffort, she assists Central Coast winemakers in choosing and blending oak alternatives and setting up wine trials to test products. “I found, as a winemaker, that one stave type, or one chip type, never took care of everything I was looking for,” Mallette said. Laffort produces a full range of oak chips, blocks and staves under the “Nobile” line of alternative oak products. Mallette focused on the Nobile stave products that differ based on toasting process—convection, infrared or a combination of each—and based on stave thickness: 7 mm, 12 mm and 18 mm. She provided general guidelines for dosage levels in wine with these stave products based on thickness: 7 mm—1 to 4 staves/hL, 12 mm—0.5 to 2 staves/hL and 18 mm—0.5 to 3 staves/hL. Laffort offers five products in the 7 mm stave line with a range of characteristics, from freshness and fruit to intense and complex, with some convection toasted and some infrared toasted. The Stave Elite is the only 12 mm product with both convection and infrared toasting. It provides a balanced range of toast character and volume similar to traditional barrel aging. Laffort recently introduced an 18 mm line of staves. Mallette said, “Thicker staves offer more volume and amplitude to the mid-palate of wines.” The Stave 18-XBASE and Stave 18-XTREME are convection toasted, but the Stave 18-XBASE has a soft and long toast that is more respectful of fruit and freshness, whereas the Stave 18-XTREME provides more toasted intensity. The Stave 18-DIVINE is infrared toasted and is between the above two, providing fruity with complex toasted aromas while adding texture and a long finish. “This is most like an actual barrel,” Mallette said. Cecilia Cunningham, a consultant with Vivelys, said the company started in micro-oxygenation (MOX) and later developed oak alternatives to use at each step in the winemaking process to help winemakers develop their wine flavor profiles. She said, “We only work with chips, which are very flexible to use at different stages to provide different effects.” Vivelys produces 11 chip products under the Boisé brand, and offers test kits for winemakers to evaluate these products with wines. They are designed to enhance different wine characteristics: fruit and mouthfeel impact, aromatic complexity and aromatic intensity. Timing of chip additions can produce different effects, depending on the stage of wine production. The primary stages for additions are before alcoholic fermentation (AF), during AF, after AF but before malolactic fermentation (MLF), and for aging. Cunningham focused on the use of oak chips during alcoholic fermentation and discussed trials of chip additions on three white wines—Chardonnay, Muscat and Gros Manseng. She said when chips are added before or during fermentation, furfural concentration can decrease or disappear during fermentation. But when chips are added later during aging, furfural concentration can increase. Different yeasts can affect the compounds extracted from oak chips during fermentation. Some yeasts can transform furfural into furfuryl alcohol, and some can transform vanillin into vanillic alcohol. General observations on oak chip use in AF based on Vivelys trials: • Untoasted chips can enhance fruity expression and reduce the intensity of lactone notes and toasted notes. • Some toasted chip products decrease the intensity of toasted notes, and some produce new odorous compounds. “The use of oak in alcoholic fermentation must be reasoned according to theEnartisUSA_OakAlternatives NEW tr.indd profile or the target product and production restrictions,” said Cunningham. Oberholster summarized a UCD research trial comparing oak barrels with oak chips, staves and powder for both French and American oak with the same wines. “We found we could mimic the aromas from alternatives in a shorter time period as compared with barrel aging. This may be a good option for wines you need to turn around more quickly,” she said. “Our sensory panel couldn’t distinguish significant aroma differences between the barrel aged wines and those using alternatives.” 1 26/02/16 10:55 WBM April 2017 43 Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses Oak Forest Origin Becoming Less Important Traditionally, oak forest origin, particularly with French oak, has been perceived as a quality indicator for oak barrels, and specific forests were associated with specific sensory characteristics. How cooperages manage and market forest sources has changed in recent years, and some have shifted the focus from forest to grain width. In general, tighter grain wood is more aromatic and releases less tannin with a slower extraction rate than wider grain wood. However, tannin levels can vary based on grain width and seasoning/drying times. Steve Burch of Tonnellerie Radoux discussed the company’s OakScan system that uses near-infrared (NIR) spectrometry to measure extractable tannins in staves. Based on 10 years of oak analysis, the company now uses this system to index every barrel, and barrels can be assembled, categorized and inventoried this way. “This system and analysis told us that it wasn’t that necessary to keep wood separate by different forests because there was variation within a forest and variation within individual trees,” said Burch. “We realized we could assemble barrels based on what the wine needs.” Radoux created a line of staves and toast programs to accentuate different characteristics. As an example, Burch noted that higher tannin content increases a wine’s finish and length. OakScan measures tannin potential before the barrels are assembled, reducing the risk of variation due to grain size and drying time. “This is a technical and reproducible option to create an oak profile based on individual winemaking needs,” Burch summarized. 44 April 2017 WBM In-house Oak Trials A panel of winemakers provided insights based on their experiences with barrels and oak alternatives and emphasized the need to conduct in-house trials to evaluate oak impacts on wine. Trials are important tools for selecting and using oak products from year to year and for properly applying oak to achieve wine style goals. Winemakers believe obtaining consistency in oak impact is one of the biggest challenges due to variability in the sourcing and production of oak products. Charles de Pottere, director of production and planning with Jackson Family Wines, said the company is one of the largest buyers of barrels (both French and American oak) used for its large-scale production of premium wines. “Barrels are key to our success, with 95 percent of our wine production barrel-aged and 90 percent of our Chardonnay barrel-fermented,” he said. De Pottere said the company’s extensive barrel trial program over the past 13 years involved 4,000 barrels and evaluated 480 variables. Trial wines were evaluated by a trained sensory panel for aromas, mouthfeel and preferences that were assessed and recorded for variables such as the impacts of toasting regimes on red and white wines. The company uses this information to guide barrel purchases, make wine blending decisions and achieve winemaking style goals. Based on the trials, de Pottere said, “Toasting dominates—it’s the deciding factor and has the biggest impact on the wine at the end, more than forest origin and grain tightness.” For more information contact your sales representative or email us at info @seguinmoreau.com WBM April 2017 45 Oak and Oak Alternatives: Suppliers, Winemakers Discuss Options, Uses His other major conclusions: We sell PRESS PARTS QUALITY USED WINERY EQUIPMENT ALL MANUFACTURERS ONLINE MARKETPLACE PRESS MEMBRANES DOOR SEALS • SPROCKETS CHAIN WHEELS • ROLLER CHAINS BUSHINGS & BEARINGS LIP SEALS & O-RINGS VACUUM BLOWERS PINCH VALVES SWITCHES & RELAYS REVOLUTIONEQUIPMENTSALES.COM Press Parts: 707.573.3154 Santa Rosa CA Le Grand oak barrels and oak derivatives are crafted from certified French oak. Our French oak is sourced by the log, milled and seasoned on site at our vertically integrated cooperage. We maintain control over the entire coopering process ensuring quality and consistency for your wine. Phone: (707) 455-1095 Email: [email protected] www.LeGrandOak.com @LeGrandOak 46 April 2017 WBM • Different toast levels and lengths impact different aromas, and different toasting temperatures release different flavor profiles. • Most barrels become neutral after the second use. Neutral barrels have an important place in winemaking, but they don’t impart flavor. De Pottere advised: “Push back up the supply chain to your barrel producers on what is important to you and specify what you want to get consistency in the products you buy.” Kristin Belair, winemaker with Honig Vineyard and Winery in Napa Valley, conducts barrel trials each year with French and American oak from different coopers that have different toast levels, seasoning times and grain tightness levels. Honig’s trials commonly include 15 different coopers of French oak and 10 coopers of American oak, primarily for the winery’s Cabernet Sauvignon production. She noted that coopers are now offering more toast levels. Belair said Honig and several neighboring wineries share barrel trial wines to taste and evaluate. “We try different things, and we’re looking to see what each cooper adds to the palate,” she said. “Sometimes an individual cooper or barrel can have a big impact, and at first we may think it’s too much, but it can work well when integrated into a blend. “When selecting coopers, look at how consistent they are from year to year. We’ve cut back on, and eliminated, some coopers due to a lack of consistency.” She also noted, “The cooperage’s toasting person is the most important person for maintaining consistency.” One suggestion was to get to know cooperage personnel and specify the person to toast the winery’s barrel order each year. Tom Stutz has been a California winemaker more than 30 years and is a winemaking consultant, who produces wines under the Radcliffe Cellars label, and has worked in recent years for La Rochelle Wines. He suggests doing oak product trials for all wines and to identify what you want to achieve with each product. He believes oak alternatives can be a more sustainable option, requiring less wood and trees, and by extending the life of used barrels with inserts or chips. But he cautioned, “Alternatives can extract so fast and can sometimes be heavy hitting, so you have to be careful.” As a way to better manage extraction impact, he suggested reducing the recommended dosage when using oak chips—perhaps use half as much and leave it in a longer time. “Trials are a risk-free method to evaluate oak products, as long as you approach them in a thoughtful way,” he said. While noting that winemaker styles and preferences differ, and there are differences in perceptions of wine quality due to individual palate preferences, the proper use of oak products can contribute to a wine’s complexity. Stutz observed, “People prefer more complex wines—that is one thing that is true when it comes to wine quality.” ® Superior protection against oxidation New XtraPure® from XtraChêne is a winemaker’s Enemy. best ally to protect must and wine from destructive oxidation. Sourced from a French forest selected for its anti-oxidant capacity, XtraPure® is the result of extensive study, scientific analysis and winemaking trials. Our unique recipe Ally. of seasoning and heat treatment maximizes the effectiveness of XtraPure®. WBM 707.843.4407 • [email protected] • www.xtrachene.fr WBM April 2017 47 W I N E S & V I N E S OA K C O N F E R E N C E ELEVATING YOUR WINE & CELLAR April 26, 2017 Event Center at Sonoma County Fairgrounds Santa Rosa, Calif. The Wines & Vines Oak Conference offers expanded content to cover barrels and oak adjuncts plus fermentation, enology, cellar management, a full day of technical and trial tastings, and a spacious trade show in a big new venue at the Sonoma County Fairgrounds. REGISTER AT WVOAK.COM SCHEDULED PRESENTATIONS AND TASTINGS REPORTS AND PANELS Research Results Concise overviews of new university studies about oak and wine Matching Barrels to Wine Styles A panel of leading winemakers address the most basic question: What barrels are best for my wines? Tools for Cellar Management Barrel inventory management, storage, cleaning, sanitizing, seismic safety Managing Phenolics Panel discussion about new enology products for managing phenolic extraction during fermentation TECHNICAL TASTINGS Élevage Without Barrels Tasting and discussion of barrel alternatives Red Barrel Fermentation Techniques, workflow and benefits Barrel Aging of Pinot Noir A deep dive with leading winemakers into the role of oak in making and maturing Pinot Noir winemaking EcoPAS Technology Captures Fermentation Volatile Aromas to Enhance Wine Quality Technology can also capture ethanol, CO2 Ted Rieger Ted Rieger, CSW, is a wine journalist based in Sacramento, California and a writer for wine industry media since 1988. PHOTOS COURTESY OF ECOPAS A PAS-100 unit with condenser installed at a California winery can capture volatile aroma compounds and ethanol during fermentations from multiple tanks. Blue manifold connections above a tank row catwalk can be attached to closed tank fermentors to capture volatile aromas and ethanol during fermentations using a PAS-100 unit located on the winery floor. recent crush seasons in California is now available to winemakers. The EcoPAS (Passive Alcohol System) uses condenser technology connected to wine fermentation tanks to capture aromatic volatiles and ethanol vapors produced from fermentation that would otherwise be lost along with carbon dioxide (CO2) that escapes from tanks during fermentation. These captured volatiles are then reused in winemaking to enhance wine quality. CO2 is produced in significant amounts during active fermentations and can serve to protect the must from oxidation while also removing heat produced during fermentation. Escaping CO2 released through tank venting carries away 1 to 1.5 percent of the ethanol produced during fermentation, and removes volatile aroma compounds, such as esters, thiols, terpenes and other compounds that provide important sensory characteristics in wines. Aroma volatiles are highly concentrated, and it is estimated that up to one-third of the total volatile aroma compounds can be lost in vapor emissions from a wine lot during fermentation. EcoPAS technology has been in development since 2007 by Steven Colome, an air pollution scientist and now the chief scientist at EcoPAS, LLC. It was originally intended as a technology to capture and mitigate emissions of volatile organic compounds (VOCs) and CO2 (a greenhouse gas), pollutants emitted during fermentation. At that time, the San Joaquin Valley Air Pollution Control District had proposed regulating fermentation emissions at large winery facilities in the San Joaquin Valley and was seeking information about possible technologies to capture and control emissions. Although emissions at these wineries are not yet subject to regulation as originally proposed, regulatory action is still possible in the future. In the meantime, as a result of interest by innovative winemakers, the EcoPAS technology has been re-evaluated and adapted to capture and reuse volatile aroma compounds for winemaking. The EcoPAS is a smart condenser designed specifically for winery operations. EcoPAS CEO Patrick Thompson explained: “The concept of using condenser technology to capture fugitive aromas isn’t new. People have experimented with it off and on for 100 years, but there was a need to develop equipment that could operate with higher efficiency, was easier to use and could operate at different scales.” He observed, “Now the technology has improved to provide the ability to deal with a wide range of flow rates during fermentation and can provide a good capture rate at different flow rates.” N E W T E C H N O L O G Y D E M O N S T R AT E D D U R I N G 50 April 2017 WBM EcoPAS Technology Captures Fermentation Volatile Aromas to Enhance Wine Quality The resulting byproduct is a highly aromatic spirit of around 80 proof that can be added back to enhance the original wine, can be used to improve another wine that has lost aromatics, can be used for other blending purposes or can be sold separately as a wine spirit (vodka, brandy, grappa). The product can also be further distilled to use or sell as a “wine spirits addition” for fortification, such as in the production of Port-style wines. EcoPAS, which has its own distiller and spirits producer permit, is a supplier of these wine spirits products. Equipment and Operation The EcoPAS system can be used on any closed-top fermentation tank with a port at the top of the tank sized to the tank’s capacity. Tank headspace should be consistent with good winemaking practices, typically not filled more than 80 percent, especially with red wine fermentations. The company currently has three models of systems available, generally based on the tank capacities for which they will be used. The PAS-1 is designed for 1,000-gallon tanks, the PAS-10 for 10,000-gallon tanks, and the PAS-100 for 100,000-gallon tanks. However, Thompson said the potential operational range for each model can be expanded based on other factors, such as the speed of the fermentation. “If you had a white variety with a cool, slow fermentation, the PAS-1 could be used with fermentations in 2,000gallon or possibly 3,000-gallon tanks,” Thompson said. A PAS unit can be mounted to a fermentation tank, a catwalk, a cart, a post, a wall or a support structure. The PAS condenser uses glycol refrigerant for operation. The glycol can be plumbed into and fed from the winery’s 52 April 2017 WBM refrigeration system. With the two smaller-sized PAS units, there are options to use a self-contained chiller on a cart for installations in wineries that want a separate chiller. The PAS equipment can be used as either a fixed installation or as a mobile unit for multiple tanks. Thompson said the PAS-1 and the PAS-10 are being used as fixed units for individual tanks, and some wineries have placed them on carts to move them for use on different tanks. Fixed or mobile usage depends on each winery’s situation, winemaker preferences, proximity to glycol and utilities, and the general layout and operation of the facility and tank spacing. The PAS-100, being a larger unit weighing about 1,000 lbs., tends to be used as a fixed location unit. But depending on tank room layout, it could be connected to multiple tanks by a duct and manifold system. Depending on variables, such as fermentation temperature, the system captures about 0.2 percent of the volume of the must fermented. Highest yields are from warmer red wine fermentations. White wine fermentations typically yield around 40 percent of the volumes captured in red wine fermentations. The system captures about 4 to 5 percent of the ethanol produced during a red wine fermentation. The product captured ranges from 60 to 100 proof. Explaining how the product is handled once captured, Thompson said: “In the cases where winemakers are re-blending directly back into the original wine, no further processing is required. In the cases where we are selling the wine spirits, we distill to 140+ proof to meet regulations for wine spirits additions. In the cases where the winemakers seek to concentrate the esters, thiols, terpenes or other specific components, without concentrating alcohol, we are experimenting with a variety of fractionating techniques.” The recovered product is typically stored in stainless steel kegs or totes until it is blended back into a wine lot. The first, full-scale commercial PAS unit was sold to and installed at a Central Coast winery where it has operated since the 2015 crush. Units are installed and used at multiple California winemaking facilities, including custom crush wineries. A PAS-100 installed at one winery is designed to connect to multiple tanks and can capture emissions through a manifold system from multiple tank fermentations simultaneously. In addition to sales of individual units, Thompson said the company offers options to lease units, and the company has a limited number of units in each size that it can take to wineries to perform trials. But there are a larger number of individual winemaker customers who have used the company’s captured wine by-products to repair or enhance wine lots. PAS units have been used with fermentations for a wide range of grape varieties, and the process is believed to be practical and beneficial for any fermented variety. Varieties that have been more commonly processed to date include: Pinot Noir, Cabernet Sauvignon, Chardonnay, and aromatic white varieties such as Muscat, Viognier and Riesling. Winemaking Applications Industry consultant and winemaking technology expert Clark Smith is consulting for EcoPAS and has used the technology and its end-products to enhance his own wines and wines for client wineries. Smith has studied concepts and technologies for flavor and aroma capture since the early 1990s, as used by flavor companies for other food products, and their potential for winemaking applications. He noted that condenser technology is commonly used to capture flavors and aromas lost during processing and then added back, for many food and beverage products, citing orange juice as one example. Smith co-founded Vinovation, a company specializing in the use of filtration systems and processes, such as reverse osmosis, to correct problems in wines, such as volatile acidity (VA), and to adjust/reduce wine alcohol content. He noted that using reverse osmosis to correct one problem can sometimes create other wine quality issues by removing desirable flavors and aromas. He believes the EcoPAS process, and its by-products, can be used to add back desired components to such wines. Smith has worked with EcoPAS to improve batches of Pinot Noir and Pinot Grigio. Smith believes a key aspect to using a PAS system is determining at what point during the fermentation to turn on the condenser. He observed, “The time when the fermentation is most vigorous, commonly in the mid-fermentation time range, seems to be when you can get the highest amount of the rich and desired aromas.” Another consideration is integrating the technology with the winery’s cap management practices. If the winery performs frequent pump-overs or punch-downs, it is difficult to maintain a closed system to capture volatile aromas. Smith said tanks that use a cap management system, such as Pulsair, can be good candidates for EcoPAS aroma capture. Smith summarized: “I think this is a big deal. You can use this technology to turn an ordinary wine into a great wine, or you can use it to turn a bad wine into a drinkable wine.” Smith cited an example of a Pinot Noir that had quality issues but was revived by adding back captured volatile aroma compounds and later won a silver medal in a major wine competition. THE HIGHEST QUALITY STANDARDS from 500 to 15,000 b/h Prospero Equipment proudly presents the new GAI electropnuematic filling system. This is a state of the art machine that can fill both carbonated and non carbonated products. C R U S H E R - D E S T E M M E R S • C R U S H - PA D & S O R T I N G SYSTEMS CELLAR EQUIPMENT • PUMPS • PRESSES TA N K S • F I LT E R S • B O T T L I N G M O N O B L O C K S • S E M I - AU TO & AU TO M AT I C L A B E L E R S • C O R K E L E VATO R S C H A M PA G N E S O L U T I O N S • M O B I L E B O T T L I N G L I N E S Corporate Office West Coast North Northwest Canada British Columbia Pleasantville, NY Windsor, CA Geneva, NY McMinnville, OR Montreal, QC Kelowna, BC VA Removal Services ConeTech offers VA removal services alone, or in conjunction with alcohol adjustment. ConeTech Services Alcohol Adjustment VA Removal Solution to Stuck Fermentations Cutting Edge Low and No Alcohol Wine Creation Sale of Premium California Grape Spirits Contact us at: [email protected] (707) 577-7500 Juice Concentration WBM April 2017 53 68th ASEV National Conference 68 s c i e n c e sixtyeighth national conference a platform for progress June 26–29, 2017 Hyatt Regency Bellevue Bellevue, Washington USA INCLUDES: n n n n n New Understandings in Wine Oxidation Chemistry Symposium Merit Award Presentation – Dr. Andrew Walker, University of California, Davis Extension Distinction Award Presentation – Mr. Larry Bettiga, University of California Cooperative Extension, Monterey County Keynote Presentation on Smoke Taint – Dr. Mark Krstic, Australian Wine Research Institute Honorary Research Lecturer – Dr. Alan Lakso, Cornell University, New York Visit our website for updates on the 2017 program. www.asev.org 530-753-3142 American Society for Enology and Viticulture JOIN NOW AND SAVE! Member registration fees are significantly lower than non-member fees. Apply online! EcoPAS Technology Captures Fermentation Volatile Aromas to Enhance Wine Quality CO2 Management and Capture Options CO2 emissions from fermentations are currently vented to the atmosphere at most wineries, and CO2 is currently separated and vented from fermentations with PAS systems. Thompson said in an indoor fermentation cellar, a properly installed PAS system can be used to channel CO2 emissions from multiple tanks to one venting location, thus improving worker safety and regulatory requirements, compared with uncontrolled CO2 releases from every individual tank. Given that CO2 emissions in relation to a winery’s carbon footprint can be a sustainability issue for some wineries, and if air quality regulations for wineries become more stringent, EcoPAS offers potential as a technology for CO2 capture and emissions reductions. Thompson pointed out, “Our condensation process essentially purifies and cools the CO2.” The end product is suitable for food grade applications. A winery could install CO2 compression equipment to store compressed CO2 to either be sold or used and to reduce the facility’s carbon footprint. But given current economics, Thompson noted, “The cost of CO2 compression equipment, while falling, is still high, especially considering the fact that a winery will only use the equipment during the annual crush period.” Improvements in technology and economics, and more regulatory requirements, could make CO2 capture and reuse more viable in the future. EcoPAS technology could potentially also be utilized for emission credits and offsets in carbon market cap and trade programs. EcoPAS Background High-tech meets handcrafted. SIGMA press with patented pressing principle and FLEXIDRAIN® technology for vertical juice extraction. Visit our website for a video of the SIGMA in action. www.scottlab.com • [email protected] 54 April 2017 WBM EcoPAS, LLC, a California-based company, was co-founded by Steven Colome and Marci Norkin. Colome holds a doctoral degree from Harvard University and has been a faculty member at UCLA and UC Irvine. His background is in air pollution science, and condensation and heat transfer technology. He is the chief scientist for EcoPAS and continues to work on improving and adapting the technology for wine industry applications and for client needs. Norkin, a mechanical engineer, obtained California contractor’s licenses for the company to perform general contracting in addition to plumbing and HVAC contracting services. She designs and adapts the systems for installation at each winery based on needs and applications. Her work experience has focused on facilities for the wine, beer, coffee and bakery industries. Colome and Norkin were researchers for a winery fermentation study and co-authors of a resulting paper, “Empirical Study of Carbon Dioxide Released to the Atmosphere During Commercial Red Grape Fermentation.” Colome presented findings at a 2010 conference of the American Society for Enology and Viticulture (ASEV). The study monitored fermentation rates and measured CO2 production during commercial winery fermentations for red grape varieties that included Zinfandel and Syrah. Patrick Thompson’s background is in developing and marketing technology companies and products. He has provided business consulting for EcoPAS since 2014. He joined the company full-time in January 2016 as CEO and general manager, and handles sales and marketing. More information is available at www.eco-pas.com. WBM We dare you Not here. Not here either. Or in here. Uh-uh. Nope. find the TCA It’s always been hard to find TCA in our corks. In a onebyonetm tested cork, it’s impossible. And we'll guarantee that.* onebyonetm means just what it says: Each individual cork is tested, using gas phase spectroscopy, the same technology used to verify the purity of pharmaceuticals. Any cork with a detectable level of TCA is rejected—period. * The fine print: releasable TCA content below the 0.5 ng/L quantification limit Santa Rosa, CA | 707.636.2530 | www.masilva.com grape growing Pondering Sustainability Motivations for sustainability discussed at the recent Unified Wine & Grape Symposium Mark Greenspan Dr. Mark Greenspan has more than a quarter century of scientific viticulture research and viticultural field experience. He specializes in irrigation and nutrition management, yield and canopy management, vineyard climate and microclimate, vineyard design and vineyard technology. He is the founder of Advanced Viticulture, Inc. based in Windsor, California (www.advancedvit. com), providing consulting, technology, vineyard management and vineyard development for wineries, winemakers and wine growers devoted to producing premium wines. Please direct queries to [email protected] or 707-838-3805. SCOTT SUMMERS ago (maybe 15 years) when I would hear the “sustainability” term and think of it as merely a dodge for growers who didn’t want to go organic but didn’t want to get tagged with the dreaded “conventional” moniker. A lot has changed since then. To be sure, those who are at the fringe of the sustainability movement may still be using this term as an excuse to commit to better farming practices, but the concept is evolving and sustainability is becoming embedded into not just farming, but into wine production as well and, over all of this, to the workforce that keeps our industry running. Allison Jordan of the California Sustainable Winegrowing Alliance (CSWA) chaired a session entitled “Finding Value in Sustainability” at the recent Unified Wine & Grape Symposium held in Sacramento from January 24-26, 2017. The session was not intended to be a primer on sustainable winegrowing practices—we’ve heard that already—but was a discussion of why we are, and why we should be, buying into this concept and integrating it into not only our practices, but into our minds. I write a column on viticulture, so I’ll focus mostly on that side of things. An audience member stated something about “we’ve been mining our soils and our water resources.” This is a good analogy about us treating those resources in a non-renewable fashion. Clearly, we need to think about how we use water and whether our current water use I T WA S N ’ T T H AT L ONG 56 April 2017 WBM levels in the vineyard and winery can be sustained. Considering some of the tremendous groundwater depletions in parts of California, it is clear that water usage is not always sustainable. Fight it for as long as you want but eventually those resources will disappear, possibly forever. That is not sustainable. Likewise for our soils. Are we depleting not only nutrients from our soils but are we compromising the complex ecosystem that exists within them by herbicides, salt-based fertilizers, compaction and erosion? The answer differs widely and regionally. Some wine-growing regions can tolerate more water depletions than others without long-term damage to our resources. Perhaps not all herbicides are harmful to the soil microbiology, and perhaps we can control compaction through the use of light equipment when soils are wet, and we can take protective measures against erosion and other causes of soil loss. When we start thinking about this, we are becoming sustainable. I don’t see sustainability as being easily defined. Rather, it is a mindset. But because some farming practices are suitable to some situations and not others, we cannot come up with a hard and fast set of rules that fits everyone. That is why numerous groups have been formed to develop best practices and certifications around those best practices to guide growers into this mindset of sustainability. MILK MONEY Once again American AgCredit is paying cash dividends to our members — $50 million for 2016,   and more than $350 million since 2005.  Call 800.800.4865 today or visit AgLoan.com A part of the Farm Credit System. Equal Opportunity Lender. Pondering Sustainability “I don’t see sustainability as being easily defined. Rather, it is a mindset. PREMIER QUALITY FROM NORTH AMERICA’S LEADING VINE NURSERY Leaders raise the bar in everything they do and that’s why Wonderful Nurseries continues to set the industry standards for vine cleanliness, improved But because some farming practices are suitable to some situations and not others, we cannot come up with a hard and fast set of rules that fits everyone. That is why numerous groups have been formed to develop best practices and certifications around those best practices to guide growers into this mindset of sustainability.” irrigation methods and product selection. In the last year alone, Wonderful Nurseries has completed a new, state-of the-art greenhouse facility to house 8 million-vines annually, changed from wood to eco-friendly recycled plastic storage bins and callous boxes, and introduced new sanitization techniques. From our 2010 Protocol mother blocks, our advanced testing lab enabling 100% scion testing for internal mother blocks, the innovative Root Sock and more, Wonderful Nurseries strives to provide the cleanest, healthiest vines in the industry. It’s how we lead. It’s how we grow. ECO-FRIENDLY PLASTIC STORAGE BINS PLASTIC CALLOUS BOXES FOR VINE CLEANLINESS Wonderful Nurseries’ ADVANCED TESTING LAB SERVING THE WINE, TABLE GRAPE, RAISIN AND PISTACHIO INDUSTRIES 661.758.4777 WonderfulNurseries.com 58 April 2017 WBM Certification Programs There are sustainability certification programs in many states. One of the first I recall hearing about was Oregon’s LIVE1 (Low-Input Viticulture and Enology). What a great title. Really, that is a big part of what sustainability is about: limiting the amount of water, fertilizer and the more toxic pesticides to vineyards in such a manner as the ecosystem is not harmed in the long term. LIVE serves primarily the northwest U.S. region. There are sustainability programs in other states and in many other countries. In California, the SIP2 (Sustainability in Practice) certification was one of the original certifications available, starting in the Central Coast by The Vineyard Team (formerly the Central Coast Vineyard Team). Other pioneers are Lodi Rules3, who claim to be the first in California with a viticulture certification, and Fish Friendly Farming4, whose focus is to protect streams and waterways by using specific best practices. In 2002, the California Code of Sustainable Winegrowing Practices5 was released by the CSWA, which borrowed heavily from the Lodi code, adding many other aspects to their original concept. The code, which is in the form of a workbook, has since been revised twice (the latest in 2012), and the current code is comprised of a series of more than 200 questions, each of which can be answered on a scale of 1 to 4, 1 being the least sustainable response and 4 being the most sustainable. The workbook is not a test. It is used to establish a baseline level of practices by a grower or winery. The certification is essentially a confirmation by a third-party auditor that the responses were accurately represented, though there are no penalties if some of the answers need to be adjusted. The baseline is used to develop a work plan toward improvements in areas determined by the grower, with assistance from the auditor. Specific goals are determined, and subsequent audits are there to confirm whether or not these objectives have been met. In this manner, the Certified California Sustainable Winegrowing (CCSW) program is intended to be inclusionary, to attract all growers, as well as a plan for improvement by growers. Hence, the sustainable is not simply a target but a process. The CCSW differs from that of Organic or Biodynamic certification, both of which require that specific records be kept and strict rules be followed regarding the use of materials. Biodynamic requires that planned applications of some materials must be approved before they are applied. While I’m not going to say that sustainable certification is better than organic and biodynamic, it is more comprehensive, in that so many aspects of winegrowing are covered. These include aspects of social equity, meaning that the people involved in the production of winegrapes are treated fairly. It also does not neglect the fact that farming is a business, so the economics of the enterprise must be sustainable as well. Clean Plants Tons and tons of reasons TM • Ultra clean rootstocks • 100% containerized • 430 certified virus free clones 24” • 2010 protocol selections Magnum Vine TM 12” Big Pot Vine TM I N V I TAT I O N 2 0 T H A N N UA L FRIENDS DAY Clean, Clonal, Containerized Friday, May 5th, 2017 9am – 2pm RSVP to [email protected] [email protected] 35” Ubervine TM Pondering Sustainability Visit our website for updates on the 2015 program. www.asev.org 530-753-3142 Why Get Certified? ASEV Corner: MeMBeRS SAve! Member registration fees are significantly lower than non-member fees. Apply online! American Society for enology and viticulture iticulture An Invitation to Go Deeper into Science-based Information for Better Business Decisions In recent times, certain government agencies have been given an order to quietly stop sharing scientific information with their audience, calling into question the value of science and data. At the American Society for Enology and Viticulture (ASEV), this message to the scientific community hits us and our members at our core. As a society of wine and grape professionals, we are committed to supporting the wine and grape industry. For 67 years, ASEV has provided scientific forums for the dissemination of basic and applied research and, when needed, critical issues affecting the industry. Sharing openly among colleagues—to dissect, explore further or use a scientific data to build upon—is part of an important process to finding a solution. I can appreciate that research is often a slow process. Keeping the dialogue moving forward enhances the quality of information shared and helps gather better statistics for future decisions. Information evokes many questions and inspires brilliant minds who are seeking answers. Curiosity leads to the creation of something new, and I find that exciting. The process not so much, but without it, we cannot expect results. I would like to extend an invitation to you to join us in our curiosity. At the National Conference in Bellevue, Washington on June 26-29, 2017, ASEV will bring together the wine and grape industry for a deeper look into technical and science-based findings, such as smoke taint, wine oxidation, fungicide resistance and the influence of lees. The National Conference is evolving to make presentations more accessible to all levels of attendees and to reflect a solution-oriented approach to the technical information presented. During the dynamic student flash talks, participants will give summaries of research (in progress or completed) in less than three minutes while Merit Award presenter Dr. Andy Walker and Extension Distinction Award winner Larry Bettiga will give more in-depth presentations. Research reports are often the key reason for attending the National Conference, where scientific findings from multiple levels and subjects are shared and discussed. The larger topic for this year’s conference is smoke taint and its effect on grapegrowing and winemaking from multiple perspectives. Wines will be poured during the Washington Regional Wine reception. According to ASEV’s first vice president and interim technical program director Jim Harbertson, “In response to the industry’s need, ASEV has the opportunity to put together a group of experts and provide multiple perspectives on one issue, which this year is smoke taint. We’re fortunate to learn from Dr. Mark Krstic from the Australian Wine Research Institute, who has been studying smoke taint for 10 years. There will be an overview of the issue and its solutions, as well as discussions from vineyard, winery and sensory perspectives. This comprehensive approach will allow for a deeper investigation of the effects of smoke taint and share solutions for your business’ needs.” I encourage you to browse through the ASEV’s website at www.asev. org for the National Conference program. Registration opens in April, and I hope you’ll consider attending the National Conference. Experience Washington’s charm, learn from the technical exchange and, more importantly, connect with people. —Nichola Hall, ASEV President 60 April 2017 WBM If you’re reading this, you are likely already one of the converted. Hopefully, some of those on the fringe will read this and get motivated to become certified sustainable. Becoming certified must come from a desire within—but peer pressure does not hurt! In my home county (Sonoma), Karissa Kruse, president of Sonoma County Winegrowers, has been leading the county’s growers towards 100 percent certification by 2019. That’s a lofty goal; but as of January 2017, 85 percent of the county’s vineyard acreage has been assessed using the code, and 60 percent (nearly 35,000 acres) has been certified sustainable. While that is a great achievement, that figure needs to continue climbing. According to Jordan, about one-quarter of California’s winegrape acreage has been certified, representing 65 percent of the case wine production in the state. Corey Beck of Francis Coppola Winery discussed his company’s commitment to sustainability, stating that it started with the owner. Having worked with them for a little while, I can confirm that they are indeed taking measures to constantly improve their vineyard practices. Using aerial images to map vineyard growth patterns, they have modified irrigation systems to irrigate weaker sections while leaving stronger areas unirrigated. Using soil and plant moisture monitoring, they have greatly reduced their irrigation inputs. With a look toward improving their property’s ecological biodiversity, they’ve installed owl boxes along vineyard perimeters and installed bee-friendly cover crops. For their growers, they offer a bonus to those who are certified sustainable. Perhaps most importantly, they have educated their employees in the winery and vineyards about the importance of sustainability. Involving all of their employees has motivated their entire workforce to think sustainably. Brian Shepard of Walsh Vineyards Management grew up farming the 120-acre Jack London Vineyard in Glen Ellen. This old property was not always farmed sustainably, but problems along the way made one of the older farm managers realize that some of the practices were degrading the land. Shepard brought up the phrase “generational farming,” indicating that the idea of farming land to be passed off to subsequent generations is not a new concept but, in essence, was the sustainable farming of yesteryear. The Jack London vineyard is now certified sustainable and also participates in the local resource conservation district Land Smart program, which is not a certification but a partnership to integrate more sustainable practices. Being from Glen Ellen, Shepard was quick to point out that Mike Benziger, of Glen Ellen Winery and later Benziger Family Winery, was one of the first (if not the first) to recognize the value in sustainable farming and identified those growers as the ones he wanted to work with for fruit contracts. Shepard stated that 85 percent of the winery-owned vineyards his management company farms are certified, mostly under Fish Friendly Farming. Like Beck, he said that his employees embrace the idea of sustainability and take pride in it. Indeed, younger generations are justifiably concerned about the future of the Earth, and those involved with agriculture seem to be proud and committed to sustainable farming. I don’t suspect that there will be tremendous incentives for growers to become certified. But there may be disincentives for those who don’t. I think that sustainable farming will soon become the norm, if it hasn’t already. Christian Miller of market research firm Full Glass Research stated that about two-thirds of frequent wine consumers felt that organic foods and beverages were healthier than non-organic (whether that is true or not). Of those consumers, a slight majority understands the concept of sustainability. Yet, many remain confused about the terms sustainable, organic and biodynamic. Save the Date! Lodi Vineyard & Wine Economics Symposium Lodi on the move to the forefront June 29, 2017 Wine & Roses Conference Center, Lodi, California www.winesymposium.com THANK YOU TO OUR SPONSORS For Sponsorship Opportunities, contact Waunice Orchid at 707-666-2525 or send an email to [email protected] Photo Courtesy: Lodi Winegrape Commission R E G I S T R AT I O N O P E N S M A R C H 2 8 Vineyard Economics Seminar May 24, 2017 Napa Valley Marriott | Napa, California Presented by WINE INDUSTRY SYMPOSIUM GROUP In Partnership with WINE BUSINESS MONTHLY THANK YOU TO OUR SPONSORS For more information visit www.winesymposium.com or call 707-666-2525 62 April 2017 WBM Pondering Sustainability But it is true that the more sophisticated wine buyers are seeking out products that are sustainable, organic and biodynamic. There is, however, tremendous confusion among them. For instance, many consumers believe that organic farming means that no pesticides are used while that is clearly not the case. Yet, over time, the non-agricultural public will become aware of what the various categories are. Consumers are already cognizant of greenwashing of products. The wine business will do well to help consumers understand what sustainable means and to know that we, as an industry, have defined what it means and have helped to lead ourselves down the path we have defined, and this is not merely green-washing. Debby Zacharias of Ferry Wine Merchants in San Francisco said that Millennials will read the back label of wine bottles, but they are not interested in platitudes (my word) about what food the wine goes with. They want information about the vineyards and winery that made the product. She also stated that they are not really coming into the shop asking for sustainable, organic or biodynamic wines. They want good wines. Yet Miller stated that, given two otherwise similar bottles of wine, slightly over half of potential wine buyers said they would prefer to purchase a wine labeled sustainable. The remainder would not care, and only 1 percent said that they would prefer to buy the one not marked sustainable (probably a spiteful few!). So many growers had been farming sustainable before these certifications became available. Shepard says that he just likes getting credit for what he’s already been doing. But the integration of improvement goals will help growers to move steps further into their practices and will encourage their continued education. I can see no downside to that. My small vineyard management company was recently certified sustainable under CCSW, and I’m a believer. Get onboard or risk getting left behind. WBM Innergation® Multi Use Drip Tube Hanger Precise irrigation Uniform vines Locally made UV inhibitor added, fiberglass reinforced 707-433-7661 ~ [email protected] ~ Healdsburg, CA www.innergation.com Location Location Rotation the only FRac Group 13 fungicide REFERENCES 1 https://livecertified.org/ 2 http://www.sipcertified.org/ 3 http://www.lodigrowers.com/ lodirules/certification/ 4 http://www.fishfriendlyfarming.org/ index.html 5 California Sustainable Winegrowing Alliance, Wine Institute, and California Association of Winegrape Growers. 2012. California Code of Sustainable Winegrowing Workbook (3rd ed.) Quintec® Fungicide for Powdery Mildew. The unique mode of action of Quintec allows it to keep moving around leaf and berry tissues long after application, forming a protective barrier as it moves in a vapor phase. You get up to 21 days of superior protection, even under high pressure. Plus, Quintec is literally in a class by itself – the quinolines – making it an important part of resistance management programs. Trademark of The Dow Chemical Company (“Dow”) or an affiliated company of Dow Always read and follow label directions. ® Solutions for the Growing World WBM April 2017 63 sales & marketing Industry Roundtable: Mobile Bottlers Recount Bottling Day Best Practices What wineries need to know before bottling begins Michael S. Lasky Michael S. Lasky is the former editor of AppellationAmerica.com and is the author of hundreds of articles for national magazines and newspapers. container for wine, glass has evolved from a handful of traditional bottle molds to a vast array of shapes and sizes, all to meet the packaging demand for market differentiation. But when this variety of glass meets the bottling line, unexpected expenses can arise when wineries don’t apprise their bottlers in advance of intended packaging elements, including the glass, labels, corks and capsules. No matter how wonderful a wine is, it’s the vessel it is packaged in that determines its future; and as every mobile bottler told Wine Business Monthly, it is the bottle itself that ultimately determines the success of what follows in the entire bottling process. AS THE CENTURIES-OLD 64 April 2017 WBM IDEAL Bottlers were adamant that the key to successful bottling runs is advanced planning by wineries and early communication with mobile bottlers about the glass and other intended packaging materials before bottling day. Unfortunately, they report that even some long-term clients don’t follow through for one reason or another, and that can lead to aborted or less than desirable bottling runs. Because of the logistical space and financial restraints small wineries have with operating in-house bottling lines, they have increasingly depended on one of the more than four dozen mobile bottling firms in the United States. To find out exactly what winemakers need to know before bottling begins, WBM asked a quartet of veteran mobile bottlers to explain how to reap the benefits and avoid the pitfalls of bottling before that mobile bottling truck arrives. Bill Kreck operates Mill Creek Mobile Bottling out of Healdsburg in Sonoma County. He founded Mill Creek Vineyards in 1974, from which the mobile John Davis is owner and operator of AT Mobile Bottling Line in Napa. The Rick Lewis heads Ultima Mobile Bottling, which is headquartered at Sonoma-based Larson Family Winery. Boasting a combined 50 years of wine company has been in business since 2008 and can handle up to 3,500 cases per day. Dan Halsey is owner of Halsey Bottling based in Napa. The company has bottling business began in 2001. industry experience, the company can handle uninterrupted runs of up to 3,000 cases per day. been in business for decades and bottles between 3,000 and 4,500 cases per day. SCOTT SUMMERS Bottles rotating under the filler station at AT Mobile Bottling Line. WBM April 2017 65 Mobile Bottlers Recount Bottling Day Best Practices SCOTT SUMMERS A bottling technician with Ultima Mobile Bottling double-checks the label position on the bottle after application. What advice do you give to wineries about steps to take, before bottling, to ensure a seamless run? Davis: When we leave a winery, we always ask, “How’d we do? Any issues? Anything we could have done, anything we shouldn’t have done?” They typically say, “No, you guys did a great job.” We’ll say, “In the future, we could look at your package beforehand so we can advise you what tweaks, if any, need to be made to the label or the capsule that will eliminate any problems on bottling day.” That’s because typically when we pull into the winery, we have blindfolds on. Most of the time we get a lineup, but we don’t have an idea of what the package is going to be. When wineries change their packaging material and they don’t run it by us, it’s going to be a potential fiasco. Our contract actually says clients need to send samples of the label and bottle before bottling. But in most cases it arrives just in time—which is too late. Halsey: We ask wineries to let us know in advance what packaging materials we will be dealing with, especially if it’s a new package or a change to the glass, label or capsule we have not dealt with before. It takes us hardly any 66 April 2017 WBM time to look at that bottle to see if there will be any possible issues with it. If they’re changing to a new paper stock for the label, I want to see it. It takes 10 minutes to set up that labeler to run a trial to make sure it fits exactly right on the bottle. I like to have stuff sent to me so I know exactly what we’re trying to do. Kreck: Keep your bottler in the loop when it comes to the label, the label design and the label size. We need to see ahead of bottling day all the elements of your package that you expect your bottler to put together to produce a presentable and quality final product. Often your bottler is not in that loop. If you’re changing your package in any way at all, you need to get the bottler involved in that and run samples with them. Lewis: We tell our clients to get all their suppliers on the same page. That is making sure the capsule supplier connects with the glass vendor regarding the bottle beforehand to ensure the right fit. Similarly, let the label company know the intended bottle it will be adhered to. We have had a very large label that couldn’t fit on the bottle, and we ended up rejecting the whole load and had to put off bottling. Advance planning and communication would have prevented that. Sugarcane converts sunlight into sucrose. And cynics into believers. Used to be, engineered closures didn’t look as good as natural cork. That was the trade-off you had to make to avoid natural cork’s shortcomings. But now you can have the best of both. The Nomacorc Green Line is a new array of closures made from sugarcane. It has the look and feel you need for age-worthy wines with the performance you expect from Nomacorc: consistent oxygen transfer with no reduction and no spoilage. They’re the sweetest closures you’ve ever seen. Closer to Nature Mobile Bottlers Recount Bottling Day Best Practices So let’s run through the issues specific to each part of the wine package. For starters, what are the problems specific to glass? Davis: The quality of glass is the biggest thing, and that goes to the fact that the glass could be out of round, out of shape, where it won’t accept a label. The larger the label, the more problematic. If the glass has a defect and you have a large label, it’ll show that defect really well where a small label would not. We are seeing less and less domestic glass. Almost all of the glass we get now comes from Mexico or China. The main problem, particularly with Chinese glass, is its inconsistency. Most often we get great glass, but then the occasional lot from China is terrible. Glass suppliers that have on-the-ground quality control at the plant have the fewest issues—but in any case, we will try our best to work with the glass we get. As the first bottles come off the line, we ask the winery if it is acceptable or not, and it is their decision to continue or not. Halsey: How round the bottle is plays a big part in it for us because out of our four lines, we only have one labeler that is a rotary labeler that can wipe down from both sides instead of in-line that rolls it out. If the bottle is not perfectly round, when you roll it out the label finds a low spot and it wrinkles and/or bubbles. Sometimes, even after the glass has been inspected, we still have problems, usually with large labels. Small labels we usually can finesse. If we’ve never had the problem with a regular client’s bottles before and all of a sudden we’re having a problem, we will ask if they have any glass from last year’s run. Last year’s glass is nice and round, this year’s glass not so round. That’s where we leave it. We let the winery make the decision of which glass to use. Kreck: If you’re married to a large label, then you may have to look a little more carefully at the glass that SCOTT SUMMERS 68 April 2017 WBM you’ve purchased and try to minimize the variation in the glass. My first suggestion is that you downsize the size of the label, but wineries shudder when you offer that as a solution since the large label is seen as their billboard on the store shelf. They always seem to look to the bottler to solve the problem, and the problem really is that it’s just a matter of glass geometry. Mobile Bottlers Recount Bottling Day Best Practices Super Glam Polylam COLOR | FOIL | EMBOSS Samples/Quotes Captivating CapsulesTM TIN | ALUMINUM | 707-944-2277 [email protected] SCREW CAP | 541 Technology Way Napa CA 94558 www.ramondin.com SPARKLING HOODS | MUSELETS SCOTT SUMMERS Speaking of labels, what are the issues specific to labels that a winery should be aware of before bottling time? Lewis: We do like wineries to provide us, at the very least, with a PDF of the label and the specs and then the PDF of the glass if they can’t provide us hands-on materials, which oftentimes they can’t. In the digital age, a PDF is a pretty good alternative to the real thing. With an actual label sent in advance, I can see what kind of paper stock they’re using, what the weight of that paper stock is and look at the label panel dimensions of the bottle. We get folks that want to apply a label larger than what the bottle’s designed for. That happens way more frequently than you would think. It’s because people don’t pay attention to how that label will match up with the label application panel on the intended bottle. If we are able to see this ahead of the bottling date, we can advise the winery on the adjustments that need to be made. Halsey: Labels follow the path of the glass; so if the bottle has not been pre-tested to match the size of the label and where it will be placed on the bottle, chances are there will be label creases, wrinkles or air bubbles. Invariably, the problem with the label is that it is too big for the bottle. Most of the time for us when it doesn’t work, it’s a minimal flaw—you’ll see a little wrinkle maybe at the bottom corner or typically in the same spot every time, but we just can’t get it out. Sometimes the winery puts people on the line and they just push it out with their fingernail. Then sometimes we’ll just say, “Okay, well, that’s the best you can do, let’s pack it.” If we can get it down to where it’s acceptable, a lot of times the client will see that it’s just easier not to return a shipment of glass because of a small defect in the label application. 70 April 2017 WBM Mobile Bottlers Recount Bottling Day Best Practices SCOTT SUMMERS What are the main issues specific to corks in the bottling process? Lewis: All the cork suppliers are pretty good about removing dust and maintaining the right moisture content. But at the customer level, how they store their corks is really important. Having an open bag that you used the last time we bottled for you eight months ago is really a bad idea. Your cork supplier is happy to take corks back to refresh the cork moisture. They’ll rejuvenate your corks for you, seal the bag up and make sure that they’re clean and ready to go. But mainly wineries need to pay attention to the overall quality of cork. And again, if they’re playing with bottles that are not standard molds, dimensions are really important. For example, we recently experienced a winery supplying the corks for 6-liter bottles with 3-liter corks. That causes problems on the line and overly compresses the cork in the bottle. Halsey: In my opinion, if you can get cork that is higher grade you’re going to get a better cork and it’s going to seal the bottle up just right. You’re going to get all the cork heights to the right height, and you’re not going to get any cork dust. When you start looking for bargains, you are looking for trouble. Take artificial corks, for example. They may be cheaper but we don’t like them much because they don’t expand as fast as a natural cork does.  Premium Custom Crush Kreck: I equate this type of issue to the density of a cork. Some corks either  Multi-Format Bottling  Private Label Wine Services www.owlridgews.com 72 April 2017 WBM (707) 823-0149 823 0149 823- have a different surface treatment, or they have a certain density to it. A dense cork compresses more evenly and will push into the neck of the bottle more consistently. When I set the depth of the push rod that puts the cork into the glass, if it’s a denser cork it seems to fit just right more often than not. Nobody wants a cork that ends up higher than the top edge of the glass. However, when you have some corks that are less dense and some that are more dense, you get a larger variation of their placement in the bottle. Mobile Bottlers Recount Bottling Day Best Practices What are the main issues specific to capsules in the bottling process? Halsey: Capsules are very, very touch and go. You need to have a capsule that fits on a specific bottle, such as one with a straight neck or one that tapers out. If you have a normal stock Burgundy bottle, you’re not going to have a problem. It’s going to be easy to match up, but most wineries will bring in a classy looking bottle with a fat neck or fat drip ring, and they’re trying to put a Polylaminate capsule on it. Well, that’s not going to happen as Polylaminate capsules don’t mold into the bottle as well as tin. It’ll rip on the big drip rings. You know it’s all about cost and cheap can be expensive. I mean, if you’ve got a fancy neck bottle, you need a high-quality capsule. [Editor’s note: Comprised of two pieces, Polylaminate capsules are a compound of aluminum and polyethylene. ] Lewis: Polylaminates have been a problem for us, too. Polylaminates are very unforgiving and they need to be sized to fit to the bottle that they are intended to be used on. We oftentimes will come onto a facility, and they’ve just bought 28.75 millimeter foils because it fit their Burgundy bottle, and now they hand me a large diameter Bordeaux bottle, and it won’t fit. Worse is when they buy a 31 millimeter foil and they want to put it on their 28 millimeter bottle, and it wrinkles and discolors and just looks like hell. Kreck: Some wineries will come up with a glass mold they like and have foils made to specifically fit that bottle. But the following year they change the glass, and don’t go back to the foil manufacturer and change the foil. That’s T H E 74 April 2017 WBM SCOTT SUMMERS why I always request clients send me samples of the intended glass, foil and label in advance so we can see possible problems before they happen. Davis: Yes, size matters. If the capsule is too small, then what we have to do is slow the line down and manually push the capsule onto the bottle. If they’re too large, then they’re loose, and they’ll wrinkle when they get rolled down. Wineries need to order exact measurements of capsules based on the bottle they will be applied to. E X P R E S S I O N O F Y O U R S E N S E S Do you supply your clients with a pre-bottling checklist or spec sheet so they know what is expected at bottling time? Halsey: We do, and that checklist kind of falls by the wayside a lot of times. Because of the relaxed relationships we have with some of our clients that we’ve had for 15 years, 20 years, they already know what we’re getting into and we already know what to expect from them. For new clients the checklist is a good guide—if they use it. Davis: We talk the logistics over with clients countless times, but they’ve got their own priorities, and they typically don’t have enough time to go over something like that. That’s not our standard core customer. Our standard core customers are pretty much on the same plane and know what to do. It’s some of the custom crush places that have half a dozen or so wineries, and their winemakers don’t necessarily have a history of bottling. They also often wait until the last minute to buy their supplies, so they’re limited on the quality that they can get and the flexibility of the packaging material. Lewis: We do have a spec sheet we send out to clients that gives them all the information they need to know. For a while, I did give a checklist as well— this goes back almost 20 years—and nobody ever used it. So I stopped with the checklist; I just send a spec sheet. And I stopped trying to manage their checklist for having their ducks in a row as far as materials on hand. Summary: The Three Keys to Successful Bottling 1. Successful bottling runs are the result of advanced planning by wineries and early consultation with their mobile bottlers about the glass and other intended packaging materials before they show up on bottling day. Bottlers prefer getting a sample of all materials for advance test runs. 2. Wineries follow the same harvests, so it follows that their coveted bottling dates are similar. Accordingly, mobile bottlers recommend reserving bottling times as far in advance as possible. 3. Ideally, wineries will get all their material vendors on the same page so the bottle supplier can provide exact measurements of each part of the bottle to the label designer and to the cork and capsule companies. The biggest hang-up on bottling lines is when the size of labels or capsules does not align properly with the glass, or the corks do not fit firmly. Reviewing a pre-bottling checklist is still a useful tool even if not followed precisely. Checklists highlight all the steps and materials needed to prepare in advance of bottling day. WBM Go ahead… judge a book by its cover. Create a classic with our new 8 color UV custom glass printing technology. With the best bottle and closure brands on the market, our printed glass experts will work with you to launch your next best seller. Contact Waterloo Container today. Toll Free: 888-539-3922 | waterloocontainer.com WBM April 2017 75 sales & marketing Distributors Ready to Enter the Cannabis Market Marijuana sales may resemble that of wine’s wholesale market Liza B. Zimmerman Liza Zimmerman has been writing, educating and consulting about wine and food for more than two decades. She is the principal of the San Francisco-based Liza the Wine Chick consulting firm and regularly contributes to publications such as Wine Searcher, DrinkUpNY and Beverage Media. She has also worked almost every angle of the wine and food business: from server and consultant to positions in distribution, education, event planning and sales. She has visited all the world’s major wine-growing regions and holds the Wine & Spirit Education Trust Diploma (D.W.S.), the three-year program that is the precursor to the Master of Wine. Oregon and Colorado, four new states— California, Nevada, Massachusetts and Maine—have legalized cannabis for everyday, non-medical use. With these new laws come new government appointees to oversee them and new provisions on how to distribute it. While the laws won’t take effect until 2018, their day-to-day distribution systems, wholesale plans and regulations are being established as we speak. Since the delivery method will be similar to that of wine, it’s logical that existing distributors may want to get in on the action, as they already have routes and warehouses set up. However, few are ready to share their plans, and many are convinced that new players outside the wine industry will also be part of the cannabis distribution program. “Currently, state governments are scrambling to create policy on this, and each state is different,” said Michael Kelly Brown, vice president at the Dundee Hills, Oregon-based Sokol Blosser Winery, who spoke on a panel about wine and weed in October. “The beverage alcohol industry has a map for distribution of controlled substances, and it will be a model for cannabis distribution.” Many cannabis-related balls are up in the air because the medical marijuana industry in California was run in a very lackadaisical manner, with growers selling directly to dispensaries. The passage of Prop 64 in California in November 2016 mandates state regulation and opens the door for individual distributors for both medical or everyday, over-21 cannabis sales. ON T H E COAT TA I L S OF The Latest Update Ted Simkins, previously a high-profile Southern Wine & Spirits (SWS) executive, has been one of the most visible supporters of the idea of a new, multi-level cannabis distribution vehicle. He has been rumored to have created the River Collective, a cannabis distributor that has no address or phone number on its website. The company didn’t respond to multiple interview requests via email. Industry professionals also believe that other new cannabis distribution start-ups, such as Verdant, may have current backers who work in the wine and spirits distribution business. “It’s logical that people who have expertise around wine products and the distribution would be interested in lending their expertise to the cannabis industry,” said Amanda Reiman, manager of the Marijuana Law and Policy at the Drug Policy Alliance in Oakland. She added that while there are firm 76 April 2017 WBM rules about intermingling cannabis and alcohol, it is only about usage, not overall distribution—as long as they are separately distributed. “We are hoping that cannabis will be regulated similarly to wine. It just makes sense,” she added. That leaves who will try to protect and regulate consumption of marijuana for the American public open for question. Thus far, growers have simply been selling directly, and profitably, to legal dispensaries. When those in the new chapter of the cannabis business have been asked how the supply will remain safe for consumption, many of them have said that weed has long been tested by third-party laboratories to make sure the substance is safe and unadulterated. “There’s a track-and-trace from seed to sale,” said Reiman. “Each product must be tested by a licensed, independent, third-party lab,” she confirmed. The new overseers are likely to remain the “budtenders,” she continued. “Many dispensaries train budtenders on safe consumption and differences in the methods of consumption. In dispensaries where consumption is allowed, they are also trained in safe server methods, similar to alcohol.” In the wake of Prohibition, will established wholesalers step in with an eye to the historic model—that they are protecting consumers by controlling consumption for the overall public benefit? The process would work much like control states have often functioned, benefiting government coffers and frequently funding underage drinking programs. Distributors Ready to Enter the Cannabis Market The Ground Rules As long as medical cannabis has been legal, from Amsterdam to South of Market in San Francisco, its purchase and use have remained separate from wine consumption. The bulk of cannabis bars in Amsterdam serve no booze, and most of the first-innovator growers and sensory experience innovators (known for hosting dinners) in Colorado and Oregon have long strongly lobbied for not mixing the two. “Once the state starts issuing licenses [scheduled to begin in January 2018], cannabis will be distributed and sold similarly to alcohol,” said Reiman. Right now, she noted, “The only entities that have licenses to operate are dispensaries.” According to Reiman, under Prop 64, wine and cannabis cannot be sold in the same product or distributed in the same licensed location. As we speak, police forces are being educated about how to identify and interact with drivers who have potentially enjoyed a little too much cannabis, given that there is no blood alcohol content test equivalent for it. At the state level for cannabis distribution in Sacramento, at the Bureau of Medical Cannabis Regulation, new chief Lori Ajax inherited the position, having overseen the Department of Alcoholic Beverage Control for the state. “The initiative provides distributor and retailer licenses, which will be issued by the Bureau,” she said. “The Bureau’s primary objective is to protect consumers, the environment and public safety as it implements the new law.” This perspective is very much indicative of how and why the three-tier system was founded for the distribution of wine and spirits after Prohibition was repealed in 1933. Ajax added, “There is no requirement that cannabis distributors are also alcohol distributors.” Economic Conditions There has long been concern, on behalf of wine business executives, that the cannabis business could out-pay and out-play them. Rural weed growers have long been paid more than wineries to pick the product, with trimmers in Colorado earning $20 to $25 an hour or $200 to $250 a pound, according Philip Wolf, CEO of Breckenridge, Colorado-based Cultivating Spirits, which hosts cannabis tours. He noted that some trimmers can pick two to three pounds a day. That is significantly more than what the San Francisco-based Wine Institute estimated might be the per-hour pay (as of March 2014) of $15.27 for grape harvesters. However, he estimated that hourly pay may go down to $12 for trimmers with legalization, making these jobs competitive with harvesting grapes. There are added concerns this year as the massive rainfall on the West Coast is likely to have severely damaged the crop in areas from Northern California to Walla Walla, Washington. Interestingly enough, most of the states in which marijuana has been legalized for a year or two have not seen drops in alcohol consumption. Many beverage executives attribute it to the “Amsterdam effect”—that tourists are coming to town to enjoy a little reefer and celebrate with wine as well. According to David Ozgo, the chief economist at the Washington, D.C.based Distilled Spirits Council, per capita consumption of wine was up by 1.74 percent in Colorado and down by 0.5 percent in Washington state in 2014. This was the last year that the National Institute on Alcohol Abuse and Alcoholism data was available. “In the 18 months since recreational sales were legalized in Colorado, we’ve just seen phenomenal growth,” said Justin Martz, store manager at Mr. B’s Wine & Spirits in downtown Denver. He noted that there was some concern initially about legalization, “but it’s really turned out to be a non-issue,” he said. “If anything, it’s kind of helped us. A high tide lifts all boats.” Many high-end wine producers also don’t seem very concerned that the cannabis-smoking demographic is going to eat into their consumer base. “As for legalized marijuana sales, we don’t think it’s going to impact fine wine. Being able to toast life’s special milestones and enjoy wine with great friends and a terrific meal is quite different from the marijuana experience,” said Carol Reber, chief marketing officer at Duckhorn Wine Company. WBM 78 April 2017 WBM CENTRAL COAST Insights The economic and financial forum for growers, wineries and wine industry professionals on the Central Coast. Thank you to our sponsors for making Central Coast Insights 2017 a success! www.centralcoastinsights.com In Partnership with WINE BUSINESS MONTHLY For more information call 707-666-2525 Image courtesy of the Paso Robles Wine Country Alliance sales & marketing Retail Sales Analysis Off-Premise Wine Sales Up Slightly in January 2017 sales increased 0.3 percent from the same period of the previous year in the four weeks ending Jan. 28, 2017, according to Nielsen-tracked data. In the 52 weeks ending Jan. 28, wine sales increased 3.6 percent. Domestic wine sales increased 0.6 percent while imported wine sales decreased 0.3 percent in the four weeks ending Jan. 28. In case volume during that same period, domestic case volume dropped 1.4 percent and imported case volume decreased 1.3 percent. The New Zealand, Portuguese and French categories lead the growth for imported wines: New Zealand wines are up 9.5 percent in sales and 7.2 percent in volume; Portuguese wines are up 3 percent in sales and 1.4 percent in volume and French wines are up 6.4 percent in sales and 1.8 percent in volume. Sales and case volume for wines from Australia, Argentina, Chile, Germany and South Africa decreased in the four weeks ending Jan. 28. Sales for wines in the $15 to $19.99 price point segment had the most growth, increasing 8.1 percent in sales and 8.3 percent in volume in the four weeks ending Jan. 28. The premium price point categories had fair growth in the four weeks ending Jan. 28: the $9 to $11.99 segment grew 0.9 percent in sales and 0.7 percent in volume; the $12 to $14.99 segment increased 3.3 percent in sales and 2.4 percent in volume; and the more than $20 segment grew 8.3 percent in sales and 7.9 percent in volume. Sales and case volume for all wines priced below $8.99 dropped. OF F- P R E M I S E T O TA L TA B L E W I N E $millions By Varietal Rosé table wine above $7.99, as a category, saw a 59.6 percent increase in sales and a 57.2 percent increase in volume in the four weeks ending Jan. 28. The category holds just a 1 percent market share in sales and volume. Blended table wine, as a category, is up 3.4 percent in sales and 2.5 percent in volume in the four weeks ending Jan. 28 and holds a 14.6 percent market share in sales and a 15.1 percent market share in volume. Of all the blended table wine, blush leads the growth. In sales, blush blended table wine sales are up 55.1 percent, and volume is up 34.2 percent. Red blended table wine is up 3.6 percent in sales and 2.6 percent in volume, and white blended table wine is down 1.6 percent in sales and up 1.1 percent in volume. Chardonnay, the largest selling varietal by case value and by volume on the market, holds an 18 percent market share in sales and an 18.8 percent share in volume in the four weeks ending Jan. 28. During that period, Chardonnay sales were up 0.4 percent and volume decreased 1.1 percent. Cabernet Sauvignon increased 2.1 percent in sales and decreased 0.3 percent in volume. Cabernet Sauvignon was the second top-selling varietal on the market in the four weeks ending Jan. 28, representing 17.9 percent of all wine sales and 15 percent of case volume. Sauvignon Blanc, Moscato and Pinot Grigio/Gris also had good growth. Sauvignon Blanc grew 7.8 percent in sales and 5.9 percent in volume; Moscato Total Table Wine (last 13 4-week periods) 1,400 2016 1,200 1,000 Year Ago 800 01/30/16 02/27/16 Source: Nielsen. 4 Weeks Ending 01/28/17 80 April 2017 WBM 03/26/16 04/23/16 05/21/16 06/18/16 07/16/16 08/13/16 4 W EEK S EN D I N G 09/10/16 10/08/16 11/05/16 12/03/16 12/31/16 01/28/17 grew 3.8 percent in sales and 4.5 percent in volume; and Pinot Grigio/Gris grew 1.3 percent in sales and 2.3 percent in volume. Sales and volume for Malbec, Merlot, Riesling, Syrah/Shiraz, White Zinfandel and Zinfandel have all decreased in the four weeks ending Jan. 28. WBM Nielsen Table Wine Category Segments U.S. Expanded All Outlets Combined Plus Liquor/Convenience/AAFES Dollar Volume weeks ending: January 28, 2017 PERCENT CHANGE vs. YEAR AGO 4 WEEKS ENDING 01/28/17 52 WEEK ENDING 01/28/17 4 WEEKS ENDING 01/28/17 52 WEEK ENDING 01/28/17 3.6 TOTAL TABLE WINE $990,812,162 $13,840,233,513 0.3 TABLE WINE 187 ML $20,572,042 $286,128,464 0.7 3.6 TABLE WINE 375 ML $1,374,645 $18,702,951 16.3 19.3 TABLE WINE 750 ML $696,041,332 $9,853,205,425 0.6 4.2 $2,578,464 $37,374,961 5.0 10.2 $166,434,766 $2,285,174,227 (3.4) (1.0) $46,515,207 $583,872,276 10.8 10.2 $38,108,720 $473,423,499 16.5 14.7 TABLE WINE 4 L $6,942,132 $100,412,093 (9.2) (5.3) TABLE WINE 5 L $38,421,821 $516,380,882 (3.1) (0.3) $721,173 $16,291,914 257.0 400.8 TABLE RED WINE $535,299,232 $7,138,491,427 (0.5) 3.8 TABLE WHITE WINE $402,192,749 $5,879,533,187 1.1 2.9 TABLE WINE 1 L TABLE WINE 1.5 L TABLE WINE 3 L Premium 3 L Box >$10 TABLE WINE REM SZ TABLE BLUSH $53,206,915 $818,310,791 3.6 7.0 DM TABLE WINE $732,460,812 $10,119,455,227 0.6 4.1 IMP TABLE WINE 2.2 $258,351,351 $3,720,778,294 (0.3) ITALIAN TBL $85,753,999 $1,237,342,656 2.3 4.4 AUSTRALIAN TBL $54,081,672 $712,054,634 (2.6) (4.0) ARGENTINE TBL $29,410,348 $400,795,782 (5.3) (4.4) NEW ZEALAND TBL $25,965,219 $396,492,385 9.5 14.0 FRENCH TBL $20,965,501 $351,813,487 6.4 14.3 CHILEAN TBL $19,634,866 $274,681,440 (9.0) (5.7) SPANISH TBL $11,729,715 $166,898,504 (4.3) 2.2 GERMAN TBL $5,704,135 $90,448,326 (10.4) (6.3) PORTUGUESE TBL $1,703,607 $31,379,679 3.0 11.4 SOUTH AFRICAN TBL $1,728,150 $28,261,181 (5.2) 0.7 A/O IMP COUNTRY TBL $1,674,144 $30,610,339 (2.8) 0.6 VARIETALS $844,049,991 $11,776,628,239 0.2 3.4 GENERIC $146,762,173 $2,063,605,270 1.4 4.7 CHARDONNAY $178,359,017 $2,552,839,358 0.4 2.1 CAB SAUVIGNON $177,427,508 $2,330,125,148 2.1 5.9 BLENDED TABLE WINE $145,023,463 $1,969,241,023 3.4 8.9 $125,617,385 $1,657,424,458 3.6 9.9 $11,392,842 $141,987,908 13.2 11.4 $17,525,343 $263,102,756 (1.6) (2.3) BLENDED TABLE WINE RED SWEET RED BLENDS BLENDED TABLE WINE WHT Security in the Palm of Your Hands. Protect your customers & your winery with the latest in chip card processing. Secure wireless point of sale is only one of our many big winery tools for small winery budgets. • Fully integrated EMV chip card security $1,880,736 $48,713,817 55.1 57.7 • Local, secure, private data PINOT GRIGIO/GRIS $83,009,653 $1,236,740,919 1.3 3.9 PINOT NOIR $75,348,191 $1,012,749,694 1.1 7.1 • Wine club management, inventory & reporting SAUVIGNON BLANC $55,285,362 $836,655,560 7.8 10.9 • 100% free training & support MERLOT $60,360,690 $817,985,237 (8.3) (5.0) MOSCATO/MUSCAT TBL $52,752,596 $724,559,520 3.8 2.6 • 60 day money-back guarantee WHT ZINFANDEL $22,933,294 $327,897,568 (6.0) (5.1) MALBEC $21,243,771 $282,809,824 (3.7) (2.1) RIESLING $17,380,704 $263,720,732 (4.4) (2.5) ZINFANDEL $17,322,837 $235,733,800 (6.6) (2.6) BLENDED TABLE WINE BLUSH ROSE TABLE 750ML BE >7.99 $5,788,497 $143,876,495 59.6 56.2 SYRAH/SHIRAZ $9,670,201 $132,470,515 (12.8) (11.5) GLOBAL TBL BE 0-2.99 $58,075,809 $779,072,667 (5.2) (2.6) GLOBAL TBL BE 3-5.99 $305,141,412 $4,128,061,587 (1.2) 0.4 GLOBAL TBL BE 6-8.99 $112,384,167 $1,599,580,973 (6.6) (3.2) GLOBAL TBL BE 9-11.99 $230,533,877 $3,234,307,126 0.9 5.4 GLOBAL TBL BE 12-14.99 $134,094,568 $1,910,678,885 3.3 8.1 GLOBAL TBL BE 15-19.99 $83,782,300 $1,189,887,333 8.1 11.6 GLOBAL TBL BE >20 $66,010,061 $985,675,249 8.3 9.9 Hundreds of wineries depend on & trust VinNOW. See why... Redesigned cashier screen Contact us today for your free consultation 707 894 6163 www.vinnow.com | [email protected] Source: Nielsen WBM April 2017 81 technology & business Mobile Usage Reaches Tipping Point Mobile media time is now significantly higher than on desktop Erin Kirschenmann I N T H E Y E A R S T H AT Wine Business Monthly has been tracking the “mobile movement,” we’ve been watching and waiting for the moment that Americans would use smartphones and other mobile devices on a more regular basis, and for a longer time period, than a desktop or laptop. In 2008, technology analyst Mary Meeker of Kleiner Perkins Caufield Byers predicted that mobile would overtake fixed internet access by 2014. She wasn’t the only person to make such a bold prediction, and not the only person to be wrong. It took a couple more years, but we’ve finally hit the tipping point. As of January 2017, the total population reached 7.476 billion people—and according to GSMA Intelligence, 4.917 billion of those are mobile users, roughly 66 percent of the total population. That number increased 5 percent, or 222 million since February 2016. Percentage of U.S. Adults Who Own the Following Devices Any Cellphone Smartphone Total 95% 77% Men 96% 78% Women 94% 75% White 94% 77% Black 94% 72% Hispanic 98% 75% Ages 18-29 100% 92% 30-49 99% 88% 50-64 97% 74% 65+ 80% 42% Less than $30,000 92% 64% $30,000-$49,999 95% 74% $50,000-$74,999 96% 83% $75,000+ 99% 93% Urban 95% 77% Suburban 96% 79% Rural 94% 67% Source: Pew Research Center (Survey conducted Sept. 29 - Nov. 6, 2016) 82 April 2017 WBM In the United States, smartphone penetration has reached even further. According to the Pew Research Center, 95 percent of Americans own a cellphone of some kind. The portion of Americans that own a smartphone reached 77 percent—up from 35 percent in 2011, when Pew first surveyed smartphone ownership. See table for a breakdown of smartphone ownership. Trends to Watch in 2017 1. Mobile Use for B2B Buyers A new study from eMarketer shows that interest is growing in business-to-business mobile transactions. Plain and simple, B2B buyers are using their mobile devices to conduct business (see any tradeshow floor for proof). From promotional and product materials to invoices and payment, decision-makers, buyers and purchasers expect a seamless transaction. Salesforce, the leading CRM and business application management software, polled its users about their mobile device habits in 20161. In a survey of more than 7,000 consumers and business buyers, the platform found that the good majority of B2B buyers felt that mobile devices were “essential” to their work—and the results were nearly cross-generational. Millennials (ages 18-35) led the way, with 84 percent stating that they “agree” or “strongly agree” with the statement. Seventy-six percent of Generation Xers (ages 36 to 51) and 60 percent of Baby Boomers (ages 52+) agreed. Eighty-two percent of all respondents agreed with the statement, “Tech has made it easier than ever to take my company’s business elsewhere,” 77 percent agreed that “Tech has significantly changed my company’s expectations of how companies should interact with me” and 76 percent said they felt “significantly more empowered as a decision maker than I did five years ago.” Though the number of buyers who believe the mobile device is necessary to conduct smart business is fairly high in the research, The Demand Gen Report found that 99 percent of its survey respondents still used a desktop to access content in 2016. While still a high number, 82 percent accessed content via smartphone and 56 percent via tablet. What does this mean? Well, for one, you can’t discount the mobile experience with the antiquated adage that technology is for “youngsters.” Secondly, while the desktop remains the predominant source for content, mobile devices aren’t far behind in usage. While mobile devices are unlikely to eliminate desktops altogether, buyers are looking to both devices to access information. REGISTRATION OPENS APRIL 4 WINE INDUSTRY TECHNOLOGY SYMPOSIUM The Only Conference Focused on Successfully Deploying Technology Solutions in the Wine Industry. June 13, 2017 The Lodge at Sonoma SONOMA, CALIFORNIA For Sponsorship Opportunities please call Tamara Leon at 707-940-3937 Presented by WINE BUSINESS MONTHLY Formerly For updates visit www.winebusinessWITS.com For more information call 707-940-3920 or email [email protected] Mobile Usage Reaches Tipping Point Anecdotally, it has been reported that usage is time-dependent—mornings, lunchtime and evenings are typically “mobile” time. Because of this, it would make sense for companies to think about basic adjustments, like responsive design websites, brochures that aren’t PDFs (which are virtually inaccessible via smartphones) and simpler user interfaces. 2. Blurring of E-commerce, M-commerce and Social Commerce For ages, marketers and researchers have delineated sales by the e-commerce, mobile commerce (m-commerce) and social commerce designations—but that is changing as the lines between the three have started to blur and it’s becoming increasingly difficult to separate the data. How do you categorize, for example, the sale of a bottle of a wine made on a mobile phone, when said sale was made on Facebook Marketplace? In a Fluent survey of 2,773 U.S. adults, 54 percent said that they used their smartphones most often to make online purchase. Just 23 percent said they predominantly use desktops or laptops to make purchases. The same survey reports that m-commerce will overtake e-commerce sooner than we think, likely as mobile app and website improvements are facilitating an easier stream of purchasing. The adults surveyed pointed to easier navigation and increased speed as the two most important factors that would make them more likely to shop on mobile devices. Apple Pay is also gaining ground. Research conducted by NFC World found that 36 percent of U.S. merchants now support the platform as a form of payment—up 16 percent from last year. Even more promising, 22 percent of retailers who don’t support Apple Pay said they plan to accept it within the next year. Apple Pay is now the most widely alternative/mobile payment method accepted by retailers. The next closest is Pay Pal, which 34 percent of retailers support. Facebook (through Facebook Live, Facebook Marketplace and brand posts), Instagram, Twitter and WeChat are diving into the social commerce scene—viewed as the way forward for their businesses to remain relevant. As such, an Altimeter Social Business report found that 72 percent of strategists believe that “responsibility for social commerce must shift from the social media teams to the e-commerce teams,” mostly to ensure the proper focus is given on the growing channels. 12 Day turnaround time Complimentary press proofs Unlimited Capabilities | Variable data Custom die-cutting 715 S. Guild Avenue • Lodi, CA 95240 • 209-370-1616 [email protected] • www.watermarklabels.com 84 April 2017 WBM 3. Algorithms and Data-Driven Decisions To be honest and fair, this isn’t exactly a new trend, but rather a continuation of one that marketers and decision-makers will remain focused on in 2017. The value of collecting and understanding consumer data will persist, with ever increasing importance, through the year and is likely to become the norm in time. When that time comes is uncertain, as big data collection and analysis is something that starts with large companies and retailers and trickles down to the smaller businesses. We’ve seen Target become one of the leading examples of this—in 2012 it was discovered the retailer can accurately time the stages of a woman’s pregnancy, for example. Collecting this data is essential for a company to understand its consumer base and make better decisions—but equally important is using the data to make a customer feel special or valued by the brand. Personalization is, again, not a new trend, but an increasingly significant one. In the Salesforce research 66 percent of consumers said they’re extremely or somewhat likely to switch brands if they feel like they’re treated like a number rather than an individual; a further 52 percent said they would switch brands if the brand that did not make the effort to personalize communications to them. Seventy-two percent reported that they expect companies and brands to understand their needs and expectations. On a positive note, 63 percent of Millennials, 58 percent of Gen Xers and 46 percent of Baby Boomers said they are willing to share personal information in exchange for personalized offers or discounts—an excellent chance for companies to learn more about their customers and further drive sales. 4. Innovation as the New Standard Despite soaring profits and unprecedented stock prices, there is a growing community that has started to lose its fascination with Apple. Why? According to critics, for the simple and obvious reason that there is a belief that since Steve Jobs’ death the company has lacked its signature innovative spark, and has been, and will continue to be, unable to recapture the resounding magic and success of the iPod and iPhone. Whether we can thank Apple for it or not, the technology giant is a prime example of the new status quo: That a company must be constantly evolving, and more importantly, innovating, to deserve consumer dollars. In a Salesforce study, 57 percent of respondents said that “it’s absolutely critical or very important for companies they purchase from to be innovative” and 58 percent agreed that “technology has significantly changed their expectations of how companies should interact with them.” As a prediction for 2020, the Salesforce team wrote: “The connected world is in its infancy. In the future, customers expect to live in smart homes and use virtual reality, connected vehicles, and other innovative technologies that fundamentally change how they shop, travel, bank, and more. Innovators and disruptors will empower their IT teams to find the right combination of smart technologies — like machine learning, deep learning, and natural language processing — to cultivate customer experiences that mirror real, human interactions.” WBM 1 A VIP Company Salesforce, “State of the Connected Consumer,” October 24, 2016. https://secure2.sfdcstatic.com/assets/pdf/misc/socc-2016.pdf WBM April 2017 85 technology & business ABC Enforcement Trends and Predictions What wineries should know about beverage law, rules and investigations John Hinman, Rebecca Stamey-White and Jeremy Siegel, Hinman & Carmichael LLP The viewpoints expressed in this article are provided for educational and informational use only and are not to be construed as legal advice or a guarantee, warranty or prediction regarding the outcome of your legal matter. If you need legal advice, please consult with legal counsel. DISCLAIMER: only deal with the California Department of Alcoholic Beverage Control (ABC) when they apply for and renew their licenses, but the ABC is actively conducting enforcement actions and investigations all over the state, often as a result of anonymous complaints, but also based on industry trends that challenge the existing laws or just as a result of random attendance at industry events. According to the ABC at a stakeholders’ meeting in early February 2017, there are 90,000 alcohol beverage licensees in the state but less than 100 agents and investigators—a challenge that requires prioritization of their efforts. As regulatory counsel to the wine industry for over three decades, our firm has been well-positioned to monitor and respond to enforcement trends and priorities over the years. We believe it is worthwhile to take stock of where the ABC has been focusing its enforcement efforts over the last couple of years and what the grape leaves are showing for this year and beyond. MANY FORT U NAT E CALIFORNIA WINERIES Defending ABC Trade Practice Cases Hinman & Carmichael LLP has never shied away from challenging the ABC’s interpretation and application of the ABC Act to industry members when we believe that the agency has departed from the actual intent and purpose of the law or made incorrect assumptions based on faulty facts. The past few years have been no different. We have defended a significant number of interesting cases before the ABC and the ABC Appeals Board that have involved alleged violations of the “tied house” laws, which restrict the interactions between the manufacturing tier and the retail tier. The tied house laws, historical legacies from the original concerns leading to Prohibition, prevent suppliers, such as winegrowers, from providing money or any other thing of value, directly or indirectly, to retail licensees, unless there is a specific exception that permits the activity. There have been times over the past few years that the ABC has taken a zealous approach (too zealous in our view) to this well-intentioned mandate, and we have been at the forefront of challenging the ABC on these actions when the facts and circumstances warrant it. 86 April 2017 WBM Social Media and Retail-sponsored Charity Events In 2015, wineries received a big “like” for their ability to advertise, on social media and otherwise, their involvement in non-profit events that also have retail licensee sponsors. As many wineries may recall, the ABC filed a series of accusations against 11 suppliers and a grocery store retailer for giving, and receiving, a “thing of value” in violation of Business and Professions Code Section 25502(a)(2) after the various wineries and breweries posted on social media that they were sponsors of, and were going to be providing tastings at, the “Save Mart Grape Escape,” an event put on by the Sacramento Convention and Visitors Bureau. The ABC took issue with the fact that the suppliers used the name of the title sponsor of the event, a retail licensee, in their posts and alleged that the suppliers were giving the retail licensee an unlawful thing of value by using the official title of the event and the event logo. One winery decided to fight the accusation (the other accused event participants settled the accusation with the ABC in lieu of defending the case), and we took and tried the case. The Administrative Law Judge (ALJ) who presided over the hearing agreed with our defense theory and found in favor of the winery, holding that under California law, in order to find a violation of Business and Professions Code Section 25502(a)(2), there must be some proof of a corrupt intent on the part of the supplier beyond posting their participation on social media. The ABC disagreed and rejected the ALJ’s finding, but decided to dismiss the accusation “in the interests of justice” because, in the meantime, the California Legislature attempted to address this issue. While the defense that there must be corrupt intent remains a point of contention between us and the ABC the federal government (the Alcohol and Tobacco Tax and Trade Bureau or TTB) interprets their regulations to require “inducement and exclusion,” which is a form of corrupt intent. In direct response to the wine industry’s outcry over these accusations leveled against the wineries, the California Legislature amended the ABC Act to add Business and Professions Section Code 23355.3, which addresses ABC EnforcementTrends and Predictions the issue of inter-tier sponsorships of non-profit events. This new section permits non-retail and retail licensees to sponsor, advertise (including on social media) and participate in events conducted by or for the benefit of non-profit organizations. This statute does not address other types of events that do not include nonprofit beneficiaries, and it adds restrictions on how non-profit events must be structured, but many wineries appreciate clarification around this common event structure in California. Still, the ABC’s non-adoption of the ALJ’s decision means that the ABC could bring social media thing of value cases, even when a supplier has no intention of inducing the retailer to purchase their products or to exclude the products of others. Until a new case comes along for clarity on this point, suppliers still need to be very careful with their communications involving retailers and interactions with them at events in consideration of the tied-house laws. Indirect Ownership and Payments to a Retail Licensee: The BottleRock Sponsorship Trap Last year saw the thrilling (for wine law buffs, at least) conclusion to the accusations brought against a number of wineries that sponsored the 2013 BottleRock festival in Napa. These cases called into question the ability of wineries to sponsor events without fully vetting the organizers for possible retail ties. Following the 2013 festival, ABC investigators reviewed confidential ABC records to discover the producers of the BottleRock festival indirectly held interests in one of the venues used for after parties during the festival. Because this venue had a retail license, the ABC alleged that the sponsorship fees paid by the wineries to the festival indirectly benefited the retailer through the indirect ownership and the rental fees paid to the venue, therefore violating California’s tied-house laws. While the majority of the two dozen wineries and suppliers settled the accusations and paid fines to the ABC, Hinman & Carmichael LLP defended a half dozen of the indicted wineries at ABC hearings. The ABC ruled against all the wineries, finding that it didn’t matter that the suppliers didn’t know about a retail connection or payment made by the event organizers; knowledge or intent was not required for a supplier to indirectly provide an unlawful payment to a retailer. After appealing the decisions to the ABC Appeals Board, we obtained dismissals of the alleged tied-house violations. The Appeals Board found that the ABC’s interpretation of Section 25502(a) was faulty in that the ABC attempted to apply the “direct or indirect” language to the interest in the retail license, whereas it should have been applied to how the thing of value was provided to the retailer for the purpose of inducing a sale. These decisions have clarified how the ABC must evaluate potential tied-house violations involving indirect business interests and transactions, namely that the important factor is the nature and purpose of the thing of value, not the nature of the ownership interest in the retail license. This result should give suppliers some comfort in sponsoring events, which has become an increasingly important way to reach consumers. While normal diligence is always a good idea (as are representations and warranties in agreements about retail connections), wineries should not lose sleep over the potential hidden, undisclosed interests in, or payments to, retailers. In these cases, the ABC also charged that providing wine in return for promotional services constituted giving away free goods in violation of the law. This charge was squarely rejected by the Appeals Board, reinforcing the all-important principle that product may be traded for promotional and other services. 88 April 2017 WBM Winemaker’s Dinners: The Details Matter We have seen a recent spate of investigations, inquiries and accusations relating to one of the wine industry’s most treasured exceptions, the so-called “winemaker’s dinner” (in quotes because neither the actual winemaker nor dinner is required for this kind of event). Under Business and Professions Code Section 25503.4, a winegrower, his or her agent, or a wine importer may participate in educational events for consumers at on-sale licensed premises (generally, restaurants, bars, clubs and wine bars within retail shops). This privilege permits wineries to provide consumers with limited complimentary tastings of their wines at the retailer’s premises, making this exception to the tied-house laws an extremely popular and important way for wineries to engage with their consumers, while providing retailers special educational experiences. But if not structured properly, or if other ABC laws and rules are violated at these events, they can be prime targets for ABC enforcement. Over the past few years, the ABC has been actively investigating winemaker’s dinners, including attending the dinners in an undercover capacity, often catching suppliers overstepping their privileges and retailers seeking more than what is permitted. Many of these trouble spots can be easily avoided if identified in advance of the event. Winemaker’s Dinner Lesson 1: Avoid Consignment Sales Last year, a client winery was investigated and ultimately received a warning from the ABC when it brought wine to a winemaker’s dinner hosted by a restaurant. Cognizant of the fact that it was not permitted to sell wine to the consumers at the dinner, the winery instead arranged with the retailer that hosted the dinner to sell closed bottles of wine to the guests following the dinner. But rather than selling the wine to the restaurant in advance, the winery brought the wine with them to the dinner, and the retailer sold some, but not all, of the wine to guests following the dinner. After the dinner, the winery representatives took the excess wine back and charged the restaurant just for the wine that was sold. This practice of either the winery retaining title to the wine the retailer is selling or the retailer being able to return the wine at any time prior to sale is considered an unlawful consignment sale under Business and Professions Code Section 25503 and is not permitted as part of the winemaker dinner exception. The better practice in this case would have been to sell the retailer the wine in advance and not take returns of the wine, or to accept “expressions of interest” from guests at the event that could be processed back at the winery after the event. Winemaker’s Dinner Lesson 2: The Permitted Pouring Amounts Matter At another event, a different winery client came under investigation and was also fortunate to receive a warning rather than an accusation for giving away more wine to guests than is permitted under Business and Professions Code 25503.4. Rather than pouring the limited three 1-ounce sample sizes at the event, the winery poured full glasses of wine to the guests, and at the end of the evening the winery gave one of the guests a bottle of wine. Unfortunately for the winery, that guest was an ABC agent, who probably enjoyed the wine with a nice home-cooked meal but was investigating the event. The lesson here is straightforward: the devil is in the details, so to take advantage of the winemaker’s dinner privilege, know the rules! What’s Next? Initial Trends and Expectations for 2017 Unlicensed Third Parties: What Are Their Limits? This year began with a rapid series of press releases from the ABC about retail license suspensions. These releases are coming at a swifter pace and in higher numbers than normal, indicating either that the ABC is stepping up enforcement actions, or it is making its successful enforcement actions more public in hopes of frightening other licensees into compliance. Either way, all types of licensees should be sure to review their compliance protocols and know that when considering settlement offers for accusations, ABC press releases about the guilty pleading may be part of the deal, as will be mandatory future reporting of the guilty plea on all other required filings (including DTC permits) in California and in other states. Another major area that the ABC has been looking into are the relationships between unlicensed third-party providers, or TPPs, and the licensees to which they provide services. The ABC issued two separate industry advisories in 2009 and 2011 that describe the different laws and regulations that may apply to licensee relationships with TPPs and provide certain frameworks for how these relationships should be approached. These California advisories have been incredibly important to these primarily technology, marketing and delivery providers, by influencing other state approaches to TPPs and helping these businesses expand to other states that trust the California ABC’s approach to the issue. Being based in San Francisco, we’ve seen many of these new apps, websites and services come through our doors and have helped many of them set up compliant models around the country. Many of these TPPs are trying to find ways to push the boundaries of the alcohol laws and regulations, many of which have not been updated since the advent of computers, let alone smartphones, just-in-time delivery apps and the many new methods for marketing wine and other consumer products online. We have had TPP clients investigated by the ABC and questioned about their business structure and practices, but so far, larger investigations have taken place in other states like New York, where declaratory rulings may be sought. The ABC has reminded licensees that when they engage TPPs to provide them with services, the licensee is ultimately responsible for all of the activities performed on their behalf. On this point, we agree and suggest that licensees carefully evaluate service agreements with these TPPs to ensure that the payment structure, flow of funds and services provided comply with the industry advisories. The Credit Law Rears Its Ugly Head: What You Should Know A client winery recently settled an accusation for violations of California’s credit law. For wineries that take advantage of the privilege to self-distribute in California, this warrants special attention. Business and Professions Code Section 25509 contains two connected yet distinct requirements with regard to how a supplier, such as a winery, collects payments from retailers and charges interest on past-due accounts. First, a supplier is required to charge a retail client 1 percent interest if it has not been paid in full by the 42nd day after delivery and is required to tack on an additional 1 percent interest for each subsequent 30 days of lateness. Second, on top of this interest requirement, the supplier is also required to place any retail client that has unpaid amounts owed beyond 30 days after delivery on a cash upon delivery or advance payment requirement. The retailer must stay on this type of payment program until all past-due amounts have been paid and the account is current. The calculation is not made on a discrete invoice-by-invoice basis (as most purchase transactions are considered today in order to monitor and track specific product deliveries), but rather on the total amount of debt outstanding between the supplier and the retailer at any time, as determined by the supplier’s records. If any debt owed by a retailer goes over 30 days from the date of delivery of any specific purchase (regardless of the reason, including claimed non-receipt of the product), all subsequent transactions between that supplier and that retailer must be cash before delivery or cash on delivery until the account is brought current. Wineries should make sure that their invoicing reflects these requirements, and that they keep track of the staleness of their invoices, lest the ABC request a look at their books. Our client was cooperative with the ABC’s investigation and agreed to put in place safeguards to ensure that the credit laws were followed. As a result, they were able to settle the accusation on reasonable terms, but penalties can be substantial. For example, the ABC can look to the actual benefit received by the retailer and assess fines and/or license suspensions based on that amount, which depending on the circumstances and the number of accounts, could be substantial. A word to the wise: the credit law should be followed, and the failure to do so can have severe consequences. Both accounting and sales departments should be trained on these requirements, and invoices should clearly lay out these statutory payment terms, required interest charges for late payments and the cash on delivery requirement for accounts in arrears. Prescription Lawyering While we thoroughly enjoy defending accusations in ABC hearings and before the ABC Appeals Board, we also enjoy preventative lawyering, by shedding light on compliance issues that wineries can address in-house before receiving an investigation or an accusation. The top ABC priorities will always be public safety and preventing sales to minors, so wineries need to focus their compliance efforts on those issues first and foremost. From there, wineries should learn and understand the tied-house laws and how they affect sales, marketing and accounting practices so that they can train their employees and third-party representatives to avoid the common traps. Wineries also have a responsibility and incentive to educate the event organizers and third-party providers they choose to work with about the complications and opportunities for marketing and advertising alcoholic beverages. If all that happens, we may see fewer accusations and enforcement actions—but more healthy and profitable wineries, which to us is the best possible result. WBM Want more? Rebecca Stamey-White will be moderating a regulator panel at the annual National Conference of State Liquor Authorities (NCSLA.org) in Denver, Colorado in June 2017 on ABC enforcement priorities around the country. WBM April 2017 89 technology & business Winemaker Best & Worst Business Decisions: Monterey County Monterey County now boasts more than 50 wineries located along four organized wine trails, 42 varieties grown, and sales commensurate with a region from which many wines may be found in finer shops and restaurants throughout the United States and beyond. Dovetailing into the six Monterey County interviews are its nine AVAs and eight loamy soil types that traverse them. David Furer Paul Clifton David Furer writes, consults, and teaches of wines of the world from his New York City base. director of winemaking/general manager, Hahn Estate Best Decision: The most important decision I made was committing myself to the Santa Lucia Highlands (SLH) and to the Hahn family, going on 14 years now. When I met the Hahns, I knew that what they wanted to do would take at least a decade in converting the Bordeaux varieties that had been planted in the ‘70s and ‘80s to Burgundian varieties—primarily Pinot Noir, which the SLH screams for. I felt like a kid in a candy store with the full support and trust of the Hahn family. We started with 30 acres of Pinot and replanted up to what’s now a total of 380 acres of vines overall—a major commitment on their part to making world-class, site-specific wines. Within that period I built a team of passionate people to help what isn’t a one-man gig. They helped me on that. Worst Decision: The other side is a Catch-22 in having hired my then girlfriend and now wife. She was onboard from the very beginning, helping me build an incredible team over a decade, as much in love with this land as I was then. We started as an 80,000-case winery and grew rapidly to 400,000 cases. We married, had two children and attempted to balance work and family—something which eventually became off-kilter in doing too much together. In essence, she helped me build another family at Hahn, which in 2013 she ended up walking away from. Balancing 90 April 2017 WBM the amount of time together between work and family became too much effort; the work at Hahn was something that was tough for her to walk away from, as well as for me in letting her go from it. We’re still happily married, and she tastes every wine I make, but she’s pursued other things…a silver lining in that in doing the other things she enjoys, it allows others I work with to learn and grow in their work at Hahn. J. LOHR VINEYARDS & WINE Worst Decision : The worst decision was related to our California distributor. About five years ago, our youngest son decided he wanted to join us in the winery, so we chose to grow our production. We didn’t have our own acreage to plant, so we found good vineyards in Monterey County to work with. Our distributor had a crying need for Sauvignon Blanc and Pinot Gris, so we found a couple of very good vineyards for those grapes. The problem was that prior to then, all our wines sold for $29 to $95—the ultra-premium portion of the market. However, our distributor wanted to sell the whites for $15 to $18 per bottle. We made the wines but discovered over time that while people loved the wine and they sold very quickly, because of our structure, we were basically losing money on every bottle we sold. So now we’re in the process of revamping our product line to accommodate for the fact that we’re not cut out for larger volume production and refocusing that part of our business to buying fruit so as to position the whites to retail at $25 per bottle. Trying to make a competitive $15 bottle of Sauvignon Blanc was disastrous. For a small winery, it’s unsuitable for us to make money through normal distribution channels because, essentially, we’re using the same model of production and marketing for our $60 bottle of wine. We’ll be exploring finding a compromise price for these whites at a lower production level, possibly to be sold through our wine club. Our Carmel tasting room would be a possible outlet for these wines with an adjusted price point—but we’re definitely getting out of the $15 Sauvignon Blanc and $18 Pinot Gris. Fog’s Reach Vineyard, Greenfield, Arroyo Seco AVA Jim Schultze owner/vintner, Windy Oaks Estate Best Decision : Firstly, before I started the winery, I was a strategy consultant domestically and internationally, possessing a strong strategic orientation. When we started the winery in 1996, I thought we’d need a strategy for it, which we did. A key part of it was to eschew the traditional model at the time of going through a distributor for most of our sales; instead we focused our winery on building a wine club. Unlike a lot of clubs at the time, which were designed as a way to rid a winery of wines that didn’t sell otherwise, we thought a club would be a way to start ourselves on a manageable level. From day one, we built the winery around the wine club. When we began with our first releases in 2001, demand constantly ran ahead of supply—which was great—and that continued when, in 2005, we needed to close the wine club to new members because we didn’t want to grow the winery anymore. When the 2008 recession hit, we had some attrition so we eventually reopened the waiting list, the result being our continuing growth through the recession. Today we sell 80 percent of our wine through the wine club. Despite this success, along the way we decided we wanted to also be in restaurants and shops, so we contracted with California’s Monterey Bay Wine Company to carry 10 percent of our business with mostly lower-cost wines. A couple of years ago we began selling a pallet a year to a New York distributor for restaurants in NYC. Building our sales stream through the wine club is probably the best decision we made, especially with ongoing distribution consolidation. WBM April 2017 91 Winemaker Best & Worst Business Decisions: Monterey County Jerry Lohr Annette Hoff Danzer chair/CEO, J. Lohr Vineyards & Wines winemaker/operations manager, Cima Collina Best & Worst Decisions : As a 1958 civil engineering graduate from South Dakota State University, I was pleased to find the parcels of land where Worst Decision : The absolute we’re now in the Arroyo Seco alluvial fan. I researched the area, which was gravelly loam with good drainage capacity. All grapes in California at that time were 12 x 8 ft. By 1977 I knew it was too windy and cool to ripen Cabernet Sauvignon, Merlot, Zinfandel and Petite Sirah. I looked at other vineyards and thought that 10 x 7 ft. would be better, and that worked out well for the first 280 acres we planted. The Mirassous had planted nearby, thinking Cabernet Sauvignon would do better in the gravelly soils further south. Masson had vineyards in Soledad and Greenfield where they thought Cabernet Sauvignon would do well. I planted 11 varieties, thinking that I’d graft over those that did poorly to those that did best. I planted 90 of the original 280 acres to Cabernet Sauvignon, along with 30 of Merlot. The other mistake I neglected to account for was how bad winds would be in spring and summer because I hadn’t been there throughout the year. The vineyard was 90 miles away from where I lived, four blocks from Saratoga’s Paul Masson winery. So the biggest mistakes were in not knowing the best varieties to plant and not taking into account the seasonally destructive winds. We began grafting over in 1978, though we didn’t want to tear everything out and lose our investment. Back then the Central Coast had a reputation for vegetal reds, so we applied a new grafting style called T-budding; applying this was a good decision. We also worked in fitting into the regional community. Where we’d bought was a Clark Colony 1905 church group segmented into numerous 20-acre lots amongst which we ended up with one 100-acre and three 60-acre contiguous parcels. For more than 45 years, we’ve been able to buy from 11 different West Greenfield owners, assembling ourselves fully contiguous, which allows us some ease of farming with water tied between the properties and the ability to plant and harvest efficiently. I’d looked at soil maps of the area, having been there twice early on, so it was fortuitous that I’d seen a newspaper ad for two parcels that were for sale, something that was unusual at the time. Later I did extensive back-hoeing to find water on the properties but, of course, neglected to check out the winds! Whereas Cabernet Sauvignon and other reds don’t work well, Pinot Noir and Chardonnay do. It’s only when we planted the Dijon clones of Chardonnay that we found the area suitable for both those, soon after California clones. The French clones are more mildew-resistant, good because in summer at the height of mildew season our area is rather damp. One of the good decisions we’ve made is to have seven different clones of Chardonnay and now many also of Cabernet Sauvignon. It was also fortuitous that the Mirassou and Wente families along with Seagram’s, which owned Paul Masson at the time, formed with me the Monterey Wine Growers which promoted the area to show its best wines at locations such as New York City’s Windows of the World. 92 April 2017 WBM worst decision I made was in signing a grape-purchasing contract just before the recession. Prior to 2008, Pinot Noir was hard to come by. We’d been focusing on it with certain vineyards, signing long-term contracts. Then the recession hit, so we had increased difficulty in selling wines from the grapes which we’d contracted to obtain. The recession caused many repercussions for small wineries like ours as we had to reduce prices to sell those wines. We’d started in 2004, primarily selling wine to wholesalers—no consumer sales, no tasting room. Pre-2008, the wine business was booming and, being from Monterey, we were able to offer big prices to high-quality restaurants that were able to make money from that model. Wineries from Napa and Sonoma began dropping their price points into our lower price range, leaving us no longer able to compete on the wholesale level, though we were still paying pre-recession prices on grapes. This caused us to completely change our business plan and begin selling directly to consumers by opening a tasting room. The good results were good in the long run, but it was a painful process to have endured. Best Decision : The good stuff was deciding to diversify our portfolio. We’d originally focused on Pinot Noir and Chardonnay, dabbling in Cabernet Sauvignon blends, but to go along with our DTC focus, we decided to broaden our portfolio, which had positive effects both on the business and upon me, as a winemaker, in that it challenged my technical skills. The greater diversity also increased interest with our customers, and our sales have increased quite a bit because of it. We’ve also shifted our wholesale relationships with our newfound portfolio diversity. Russell Joyce winemaker/partner, Joyce Vineyards Worst Decision : I’ve made so many poor choices over the last 10 years but Ian Brand owner/winemaker, I. Brand & Family Wines Best Decision : Eight years ago, my wife, Heather, and I moved to start our operation here. We looked at various areas “off the beaten path” where there was room to grow without a lot of resources. Monterey County has been fantastic for us, though it’s taken a while for others to gain trust in us; fellow growers, local restaurants and our landlord have seen us through the rocky period of our growth, even giving this young family good advice to consider. The larger growers here have invited us to get into sections of their vineyards, which has allowed us to grow in the context of our specific needs as a smaller winery. They’ve been flexible, too, on payment schedules. Worst Decision : We began in 2008 as a partnership with another small vineyard owner with whom Heather and I hadn’t discussed our priorities. As the obligations of the business grew, the differences became more apparent, creating difficulties between us. In dissolving the partnership, it was questionable as to whether Heather and I would be able to continue making wine. In retrospect, the partnership was unnecessary whereas being on our own helped align our personal and professional priorities to become more cohesive, instead of having to do so with a business partner to consider. have weathered them well. Unlike multiple California wineries, we’re selffunded, and hadn’t had other businesses to sell and then invest into a winery. What stands out to me that’s helped our business to grow production is the direct-to-consumer avenue. That stream can really provide an important role to small wineries trying to grow without endless capital to keep them going. Not focusing on that was a mistake: even if I got a restaurant placement I thought that was important, when I looked at the margins taken out by the three-tiered system I ended up taking a lot off the table. You work hard on a product with your own production facility and very limited staff; but if you’re not producing a large number of cases (I produce a total of 10,000), your return is minimal. If you’d sold even half of that direct, you’d double your return even considering the extra labor and time given to it. If I could start again, I’d focus 100 percent on setting up a storefront tasting room, a wine club and other things rather than trying to appease distributors and trying to make too many types of wine. Distributors aren’t as loyal as the consumers are who visit us or order online, something that covers our overhead so we can invest in production and other business aspects. The internet is now a key part of our business. Best Decision : In wanting to be successful as a newcomer, taking my ego out of the business was a good idea. Consolidating SKUs when times were tougher than they are now, and knowing what my forefront abilities were, allowed me to expand later into other varietals. Instead of going to fancy restaurants, listening to what sommeliers thought was “cool,” kept me from getting caught up in their perspective, one of overly trying to please the customer. This kept me focused on doing a few things well rather than going a million directions at once. And never schedule a bottling on a Monday, as too many unexpected things can occur to slow it down! WBM Writer’s Note: Thanks to the Monterey County Vintners & Growers Association’s executive director, Kim Stemler, for her assistance. WBM April 2017 93 people Winemaking & Wineries Thomas Fertel has joined the Thornhill Companies winemaking team as the new blending winemaker. Fertel brings experience in both the science and the application of winemaking to the Thornhill team. He earned his degree in chemistry at Louisiana State University, as his paternal grandmother had done before him, but it was this lifelong appreciation for the world of food and wine that then led him to California. There he worked as a harvest intern for renowned wineries such as Peachy Canyon Winery and Frank Family Vineyards, all while pursuing his masters in crop science and viticulture from Cal Poly San Luis Obispo. With multiple vintages under his belt, including harvest, cellar and vineyard work in both California and Burgundy, France, Fertel took a position as enologist at Frank Family Vineyards of Napa Valley Calistoga where he focused on the production of Chardonnay and Cabernet Sauvignon. After four years there he moved on to work as harvest winemaker for Wildhorse Vineyards in Templeton. Sinegal Estate Winery promoted Ryan Knoth to winemaker. Knoth joined the Sinegal team in 2015 as associate winemaker, working under the tutelage of Tony Biagi. Biagi will continue to provide his extensive experience and winemaking knowledge as consulting winemaker. In his expanded role, Knoth will manage and oversee all winemaking duties in both production and in the vineyard. After going back to school to earn a degree in enology and traveling to Australia for a harvest internship, he moved to Napa Valley and began working at Staglin Family Vineyard. Knoth Ryan Knoth holds a Bachelor of Science degree in biological sciences from Cal Poly San Luis Obispo and a post-baccalaureate degree in enology from California State University Fresno. After 45 years, Howell Mountain’s Summit Lake Vineyards owner Bob Brakesman is passing the torch to the next generation, as his son Brian Brakesman takes over as winemaker. With more than 20 years of diverse winemaking experience, Brian Brakesman takes the helm, allowing Bob Brakesman more time to focus on vineyard management and future growth of the property. Brian Brakesman studied agricultural engineering at California Polytechnic State University, San Luis Obispo, where he discovered his passion and aptitude for winemaking. After furthering his education and training abroad, he returned home to Napa Valley, where he worked alongside acclaimed consulting winemaker John Gibson, then as the assistant winemaker at Duckhorn Wine Company’s Paraduxx Winery and finally, as head winemaker at Ledson Winery in Sonoma. 94 April 2017 WBM Fetzer Vineyards, a leader in sustainable and organic winegrowing committed to restoring, revitalizing and regenerating ecosystems and communities while producing premium wines, has hired Sebastian Donoso as winemaker focused on wines crafted from organic and biodynamic grapes. Donoso joins Fetzer Vineyards from Campovida, a family owned winery in Hopland, California where he established an acclaimed winemaking program based on small-lot, vineyard-designated wines from organic and biodynamic Mendocino vineyards. In this newly created position with Fetzer Vineyards, Donoso will support day-to-day winemaking operations while helping shape the long-term vision for the company’s organic and biodynamic winemaking program. Mendocino Wine Company made two new key hires to support quality winemaking and sales of their growing wine portfolio. Winemaker Nichole Birdsall will join head winemaker Bob Swain, in crafting award-winning wines including national brands Parducci, True Grit, Paul Dolan Vineyards, Moniker Wine Estates, ZinPhomaniac, Tie-Dye, Jellybean Vineyards, Slices Sangria and Sketchbook. After earning bachelor degrees in enology at California State University Fresno and nutritional science from California Polytechnic State University San Luis Obispo, Birdsall embarked on her winemaking career. Over the last 15 years Birdsall has worked for well-regarded wineries including Virginia Dare Winery (a Francis Ford Coppola Winery), Treasury Wine Estates, Bronco Wine Company, Leelanau Wine Cellars and Hacienda Wine Cellars. Brock Harris joins Mendocino Wine Company as western division sales manager covering nine western states. Harris, most recently at Guarachi Wine Partners, brings more than 14 years of experience in the wine industry gaining experience, training and knowledge from well-regarded companies including E&J Gallo and Independent Distillers. King Estate Winery co-founder and CEO Ed King appointed Brent Stone to the position of winemaker and named Cody Stacey as assistant winemaker. Stone and Stacey join winemaker Spencer Spetnagel and assistant winemaker Barrett Rosteck under the leadership of Ray Nuclo, director of viticulture and winery operations. Stone joined King Estate as the lab manager in 2011 where he quickly gained an appreciation for wine. Before assuming his new role Stone was the winery’s director of quality assurance and laboratory operations. He received formal training in enology at Washington State University and is currently completing graduate work in agricultural food and life sciences at the University of Arkansas. Assistant winemaker Cody Stacey has more than a decade of wine industry experience, most recently with Cairdean Vineyards in St. Helena, Calif., where he was associate winemaker. In that capacity, he played a leading role in designing and building Cairdean’s winery. He has a degree in enology from California State University, Fresno. In addition to winemaking, Stacey has worked in sales and spent a year as a research assistant to a professor of viticulture at CSU Fresno. For people news you can search or filter visit winebusiness.com/people Three Brothers Wineries and Estates, located in the Finger Lakes, announced Aaron Roisen as the estate’s newest member of the winemaking team. Late in 2000, Roisen moved to Marlborough, New Zealand, where he pursued his degree in winemaking and viticulture from the Nelson Marlborough Institute of Technology. Once conferred, Roisen stayed in New Zealand where he joined the red wine production team at South Pacific Cellars. Ready to return to the U.S. in 2003, he accepted the job as assistant winemaker at Lamoreaux Landing Wine Cellar on Seneca Lake. Roisen has since called the Finger Lakes his home, making wine for Atwater Winery and Hosmer Winery on Cayuga Lake, where he was the head winemaker from 2007. David Marchesi has officially joined the growing list of U.S. winemakers bottling exclusive independently-made wines for online retailer, nakedwines.com. Marchesi has had an illustrious career working for top-tier Napa and Sonoma wineries including Paraduxx Winery (part of the Duckhorn Wine Company), Gundlach Bundschu Winery and Cakebread Cellars. His first wine for nakedwines.com, a Lake County Cabernet, has pre-released exclusively to the Angel investors who helped him fund it and available to the general public this February. While Marchesi is the first wineDavid Marchesi maker to announce a nakedwines. com project in 2017, he is part of a growing trend of winemakers moving on from large well-established wineries to launch independent projects with Naked Angel funding. Summers Estate Winery brought on consulting winemaker Kirk Venge. Venge will work closely with Summers’ long-time winemaker, Ignacio Blancas, on the Bordeaux varietals; which include their GrandMaster Checkmate “Bordeaux blend”, Cabernet Sauvignon, Cabernet Franc, Merlot, Malbec, and Petit Verdot. The Venge’s have roots in the wine industry dating back to the 1950s when Kirk’s grandfather established a wine and spirits importing company. Venge is the son of veteran winemaker Nils, who is well-known in the Napa Valley. WillaKenzie Estate, producer of single-vineyard Pinot Noir and Pinot Gris, today announced one of the top winemakers in Oregon, Erik Kramer, has joined the winery as director of winemaking, where he will lead all winemaking and cellar operations. His credentials include 13 years in the Willamette Valley, where he has a strong record of success crafting world-class Pinot Noir and Chardonnay for local wineries. Previously, he made wine in New Zealand, where he earned his postgraduate diploma in viticulture and oenology at Lincoln University and graduated with honors. Kramer also holds a Bachelor’s of Science degree in geology from Florida State University. He worked as a hydrogeologist in the petrochemical industry before turning his passion for science and appreciation for fine wine into a career. Shannon Ridge Family of Wines promoted Salvatore Spena to the newly-created position of vice president of sales, eastern region. In his new role, Spena will be responsible for all states east of the Mississippi. Spena joined Shannon Ridge in June 2014 as northeast region sales manager, bringing over 20 years of wine sales and restaurant experience. Prior to joining Shannon Ridge Family of Wines, Spena was general manager at Robert’s Steakhouse of New York. Earlier in his career Spena was the senior marketing associate at Sysco Foods of Philadelphia, where he won several sales awards and was named “Rookie of the Year” in 2008. Treasury Wine Estates Limited appointed Gunther Burghardt as the new chief financial officer. He replaces outgoing CFO Noel Meehan who has advised that with the relocation of the CFO role to the United States he would not continue as CFO and left the company on March 14, 2017. Burghardt will lead the company’s global finance and IT functions and report directly to the chief executive officer, Michael Clarke. Burghardt has worked at TWE, including previously the Foster’s Group, for more than seven years in various senior finance roles including CFO of every region of TWE the global marketing function and supply chain. His most recent role is CFO, Americas. Burghardt has had a global career spanning over two decades in the consumer goods sector, previously at Mondelez International, (formerly Kraft Foods), Reckitt Benckiser and Procter & Gamble. Matt Young has been appointed to the role of deputy CFO reporting to Burghardt. Young will continue to be based at Southbank, Melbourne. Young has been with TWE since 2014 and has most recently led TWE’s global financial control team. Prior to joining TWE, he was a director at PricewaterhouseCoopers Australia providing commercial support to complex, global organizations in the FMCG and retail industries. Benovia Winery announced that winery co-founder and owner Mary Dewane has been appointed general manager. Dewane co-founded the small production, family-owned winery in the heart of the Russian River Valley with her husband, Joe Anderson, in 2005. Benovia is best-known for its expressive, estate-produced Pinot Noir and bright, complex Chardonnay. Dewane grew up on a dairy farm in Wisconsin and was raised with a keen understanding of her family’s agricultural business. Before co-founding Benovia, she was the CEO of CalOptima, a $1.5 billion/year health plan and one of the largest Medicaid managed care organizations in the country. Before they left their careers in healthcare, Dewane and Anderson worked several harvests in Sonoma before acquiring Cohn Vineyard in 2002 and establishing Benovia Winery in 2005. WBM Legal Counsel to the Beverage Industry • Applications for ABC and TTB licenses • Distribution agreements & direct shipping advice for all states • ABC and TTB Business Practice Counseling • Accusation, Defense and Protest Hearing Representation • Regulatory clearance of promotions, point-of-sale material, labels and advertising ATTORNEYS: John Hinman Lynne Carmichael Beth Aboulafia Rebecca Stamey-White Suzanne DeGalan Sara Mann Erin Kelleher John W. Edwards II 260 California Street, Suite 700 San Francisco CA 94111 Telephone 415.362.1215 Facsimile 415.362.1494 beveragelaw.com WBM April 2017 95 advertiser index Thank you to all of our advertisers! Company web address page Company web address page A Bright Idea www.abrightideaonline.com 72 La Garde www.lagardeinox.com 16 All American Containers www.aacwine.com 78 Le Grand Oak North America, LLC www.legrandoak.com 46 American AgCredit www.agloan.com 57 Lodi Vineyard & Wine Economics Sympsoium www.winesymposium.com 61 American Society for Enology and Viticulture www.asev.org 54 M A Silva USA www.masilva.com 55 Amorim Cork America www.amorimca.com 5 Moss Adams, LLP www.mossadams.com 99 Ardagh Group www.ardaghgroup.com 23 Nadalie USA www.nadalie.com 39 ATP Group www.atpgroup.com 35 Nomacorc www.nomacorc.com 67 Barrel Builders, Inc. www.barrelbuilders.com 40 Oak Solutions Group www.oaksolutionsgroup.com 38 Bergin Glass Impressions www.berginglass.com 7 Oak Wise for Beverages www.oak-wise.com 47 Berlin Packaging www.berlinpackaging.com 69 O-I Packaging Solutions www.o-ipackagingsolutions.com 11 Bin to Bottle Winery www.bintobottle.com 17 Owl Ridge Wine Services www.owlridgews.com 72 Brick Packaging Corp., Inc. www.brickpackaging.com 25 P&L Specialties www.pnlspecialties.com 34 Bucher Vaslin North America www.bvnorthamerica.com 22 Portocork America www.portocork.com 3 Canton Cooperage www.cantoncooperage.com 44 Prospero Equipment Corp. www.prosperoequipment.com 53 Central Coast Insights www.centralcoastinsights.com 79 Pulsair Systems, Inc. www.pulsair.com 34 C-Line Express www.c-linexp.com 45 Ramondin USA, Inc. www.ramondin.com 70 Conetech, Inc. www.conetech.com 53 Revolution Equipment Sales www.revolutionequipmentsales.com 46 Cork Supply USA www.corksupply.com 15 Rivercap USA www.rivercap.com 74 Criveller Group www.criveller.com 52 Saverglass, Inc. www.saverglass.com Della Toffola USA, Ltd. www.dellatoffola.us 51 Scott Laboratories, Inc. www.scottlab.com Dow Agrosciences www.dowagro.com 63 Seguin Moreau Napa Cooperage www.seguinmoreaunapa.com 45 Duarte Nursery, Inc. www.duartenursery.com 59 Spec Trellising www.spectrellising.com 22 Enartis USA www.enartis.com 43 St. Patrick's of Texas www.stpats.com 29 ETS Laboratories www.etslabs.com 33 StaVin, Inc. www.stavin.com 37 Euro-Machines, Inc. www.euromachinesusa.com 26 Tom Beard Co www.tombeard.com 42 Fermentis www.fermentis.com 9 Tonnellerie Ô www.tonnellerieo.com 41 Fine Northern Oak www.finenorthernoak.com 42 TradePulse (Division of WX) www.tradepulse.com 85 Free Flow Wines www.freeflowwines.com 24 TricorBraun WinePak www.tricorbraunwinepak.com 77 Ganau America, Inc. www.ganauamerica.com 100 UC Davis Extension www.extension.ucdavis.edu/ winemaking 70 Global Package, LLC www.globalpackage.net 81 Vineyard Economics Seminar www.winesymposium.com 62 Glopak Wine and Spirits www.glopakwineandspirits.com 73 VinNOW by Update Software www.vinnow.com 81 Guala Closures North America www.gualaclosures.com 71 Waterloo Container Co. www.waterloocontainer.com 75 Gusmer Enterprises www.gusmerwine.com 24 Watermark Labels www.watermarklabels.com 84 GW Kent, Inc. www.gwkent.com 27 Wine Industry Technology Symposium www.winebusinesswits.com 83 Hinman & Carmichael, LLP www.beveragelaw.com 95 Winejobs.com www.winejobs.com 87 Innergation.com www.innergation.com 63 Wines & Vines www.winesandvines.com 48 Innerstave, LLC www.innerstave.com 43 WiVi Central Coast Conference & Tradeshow www.wivicentralcoast.com 18 Innovation + Quality www.winebusinessiq.com 12 Wonderful Nurseries www.wonderfulnurseries.com 58 KapStone Container Corp. www.kapstonepaper.com 68 XtraChêne www.xtraoak.com 96 April 2017 WBM 2 31, 54 44, 47 Rain “ T O O M U C H O F A good thing is bad, amigo,” pronounced Chuy Palacios. “I know we’ve been in a drought, but I am a chef, not a boat builder. I’m not sure I even know what an ark looks like.” Jake Lorenzo, private eye, chuckled, “The worst part of an ark is filling it in pairs. Do we really want to ride out a storm of biblical proportions with two wine writers, two sommeliers and two compliance attorneys sharing a boat? I’d jump overboard and take my chances swimming, and you know that my idea of swimming is just staying alive in water.” Chuy poured me another shot of Fuenteseca 9 Años Extra Añejo Tequila. I sipped the deliciously rich, refined tequila and savored the last bite of the rabbit molé gorditas that Chuy had whipped up for my birthday lunch. A steady rain continued dumping from steel gray clouds. It was dreary. No way to spend a birthday. This detective is an optimistic, positive thinker. If my lemon tree is full of bright yellow lemons, I dig out my jug of high-proof brandy and make limoncello. If it is raining during harvest, I check the Riesling to see if the mold is Botrytis so I can make a late harvest wine. Incessant rain, swollen creeks, overflowing dams causing evacuations, then the thought comes like a veritable light bulb in an underground wine cellar, “Let’s go mushrooming.” We slipped into our rain gear, donned our hats and headed for our favorite spots. After a long hike up steep hills, tapping out musical clicks with our walking sticks, we finally ducked into heavy woods and enjoyed the relatively dry underbrush. It was a very wet day but, protected by tree trunks, branches and almost a foot of fallen leaves, the area was just soggy instead of soaked. We wandered slowly, two good friends on a walk, talking and joking until we spotted telltale gold shimmering in the oak leaf detritus. We circled a couple of exposed chanterelles and began gently scratching through the leaves with our walking sticks until we uncovered several long veins of mushrooms running parallel to the oak roots. We gently wiggled the chanterelles free, gently wiping mud off of them before dropping them into our baskets, careful to leave enough small buttons to repopulate the area. As the baskets filled, we layered them with paper towels to wick away moisture and maintain whatever cleanliness we had achieved. Our exertion heated us to comfortable levels and the pleasure of one another’s company made the foraging doubly fine. Within an hour we had gathered 8 to 10 pounds of golden chanterelles, so we headed back down the hill to our car. A welcome break in the rain and the resulting glorious rainbow arching across Sonoma Valley reminded us that we live in paradise. Even in the face of flooding, there was bounty to be had. Chuy Palacios and Jake Lorenzo strolled down the hill, talking about how to cook our mushrooms, who to invite and which sparkling wine to have first. Jake’s birthday was shaping up. A few hours later eight guests sat down at our table. Chuy had concocted a salad that started with a layer of baby arugula, topped with thin slices of avocado carpaccio. A generous pile of chanterelles sautéed in butter with a bit of sage and cumin sat on top, and the whole thing was drizzled with this remarkable chipotle/roasted red pepper cream vinaigrette that made the dish otherworldly. A non-vintage Gloria Ferrer Blanc de Noir set off the dish and proved the perfect starter for the evening. Jakelyn’s mother cooked up her famously thin, crispy hash browns shredded with her mother’s 80-year-old grinder that was more efficient than any Cuisinart. I sautéed the mushrooms in butter, along with some green onion, chives and leeks, and then cooked the mixture with softly scrambled eggs. Once I had ladled the egg mixture on top of the hash browns, I sprinkled some cotija cheese on top. We decided to stick with Champagne but upped the ante with a 2007 Perrier Jouet Flower Bottle I had received as a gift. Jake Lorenzo can’t afford French Champagne, but I love sharing it when someone else provides it. Chuy brought out individual ramekins of a mind-blowing chanterelle mousse, rich with eggs and cream but still saturated with delicate mushroom flavor. Then, because we are talking about Chuy Palacios, he spread a thin dollop of sour cream on top and piled on a thick layer of Louisiana Choupiquet caviar. He topped that with some beautiful, lavender chive flowers. It was decadently rich, yet somehow delicate and light. Chuy served his creation with a delightful 2014 Valerie’s Vineyard Pinot Noir, and the wine set off the dish until our taste buds were singing. A welcome break in the rain and the resulting glorious rainbow arching across Sonoma Valley reminded us that we live in paradise. Even in the face of flooding, there was bounty to be had. The last dish was mine and, after crisping some Rabbis of Pork pancetta, I set about making risotto. I used some onion, garlic, lots of chanterelles and a simple homemade chicken stock. When it got close, I added the cooked pancetta and sprinkled shavings of Parmigiano Reggiano cheese on top. Then, because we are talking about Jake Lorenzo, I topped each portion with a bubbling 2-inch piece of bone marrow. Go big or go home is what I was thinking. I served that with a lush 2013 La Massa Toscana, which went beautifully with the risotto but still needs more time. Jake Lorenzo is not a big dessert aficionado, so Jakelyn’s mom brought out a nice assorted cheese plate with sliced Bosc pear, Fuji apple, hazelnuts and 60 percent cocoa chocolate for those who must have sweets. We sampled the cheeses and fruit, washing it down with a lovely Graham’s 10 year Tawny Port. Eventually, our friends left, Jakelyn’s mom said goodnight, and Chuy and I had one last Fuenteseca tequila (that we didn’t need) to close out the night. Chuy gave me a hug. “Feliz cumpleaños, amigo,” he said and got into the taxi. As I cleaned up and got the dishwasher going, I thought it’s fine with me if this birthday resembles so many other days in my life. After all, what is a birthday but the passing of time and having the good fortune to be alive to witness it come and go. Foraging mushrooms on a rainy day is celebration enough. Is there a better present than sharing great food and delicious wine with some close friends? Not for this detective. WBM WBM April 2017 97 ILLUSTRATION BY BOB JOHNSON jake lorenzo winemaker of the month J. Chris Stanton winemaker, Bianchi Winery and Tasting Room, Paso Robles, CA “An article I’ve found useful is the story about the Napa earthquake and how stacking can prevent major damage, and how to ensure the safety of cellar workers.” NAME AND TITLE: J. Chris Stanton, winemaker WINERY NAME AND LOCATION: Bianchi Winery and Tasting Room, Paso Robles, California ANNUAL CASE PRODUCTION: Approximately 18,000 PLANTED ACRES: 29 I studied at UC Davis, and have more than 20 years’ experience in the wine business, overseeing wine operations at several wineries before managing Blackjack Ranch Vineyards and Winery in Solvang, and then founding and operating Sobriquet Winery in Napa Valley with my brother. There we were able to make four beautiful wines that regularly received 90+ ratings. Before that, I oversaw wine operations at Koehler Vineyards & Winery in Los Olivos and the Mayo Family Winery in Glen Ellen. CAREER BACKGROUND: WHAT HAS BEEN YOUR BIGGEST PROFESSIONAL CHALLENGE? The drought has been a challenge for us all. It’s changed the way we farm and harvest our grapes. When we have our normal rainfall, we get 100 percent ground coverage and all the roots have access to water. Without the rain, the plant is forced to seek out where the limited watering occurs. Less rain has created an earlier harvest than normal. As a winemaker I’m always waiting for the perfect flavor, which takes hang time. But, we are still able to make it happen with a few tweaks of how we farm. VARIETALS THAT YOUR WINERY IS KNOWN FOR: Cabernet Merlot, Syrah and Zinfandel 98 April 2017 WBM Sauvignon, 2 5 13 2 2545 1 12 7 1 3 73 3 1 2 2 53 4 1 2 1 5 7 37 9 6 5 4 3 2 1 4 2 4 4 71 5 2 67 6 54 7 3 5 7 12 1 1 1 1 1 7 What pairs well with your wine? Good numbers. We’ve helped wineries and vineyards strengthen their financial operations for more than 30 years. And as the nation’s largest wine-focused accounting and consulting practice, we can help you stay ahead of new regulations and gain traction in a competitive marketplace. Put our experience to work for you. W W W. M O S S A D A M S . C O M / W I N E Acumen. Agility. Answers. Tax Audit Cost Segregation Benchmarking Wealth Services Business Succession PROTECTING YOUR PASSION YOU’VE CRAFTED YOUR MASTERPIECE; DISCOVER THE IDEAL PRODUCT TO PRESERVE IT. METHODICALLY CLEANED*, EXQUISITELY ENGINEERED TO LEAVE EVERY UNTARNISHED. CONSISTENTLY YOUR TO THE VISION HARD ENSURE WORK, YOUR LIFE. BRINGING YOU’VE NOW WINE BOTTLE DONE EFFORTLESSLY REMAINS UNIQ. *Releasable TCA ≤ 0.5ppt. Analysis performed in accordance to ISO 20752 GANAU.COM | 800 694 CORK