Invisible Vineyards & the Division of Labor Theory

Last week I wrote about the Yakima Valley AVA, which I described as Washington’s invisible vineyard. Why doesn’t it get more attention? I considered the “amenities gap” theory and concluded that it was at best a partial explanation. This week I dig a bit deeper into the issue.

Division of Labor Theory

The romantic idea of wine is a tiny vineyard farmed by a rugged individual who makes wine right there on the spot. We call this an estate winery and for better or worse the conventional wisdom holds that its it the model for quality wine. There are estate wineries in Yakima, but they are the exception rather than the rule.

In general the Washington State model is that there is a division of labor between farming the grapes and making the wine. The vineyards hereabouts are often large and supply grapes to many different wineries. The advantages of scale are tempered with the ability to give special treatment to particular blocks, rows, and sometimes specific grape vines within the larger vineyard.

Exceptional Exceptions

Betz Family Winery and Brian Carter Cellars  are both extreme and typical at the same time. Their wines earn the highest praise, but I don’t think they own any vineyards at all — they “outsource” the grape growing to others (although I think they are far from “laissez faire” in their relations with their winegrowers.) There is no indication that their wines suffer from the lack of “estate” status and probably benefit from the specialized system that has evolved.

Côte Bonneville is an instructive exception to the rule. Kerry Shiels makes the wines from grapes grown by her parents Hugh and Kathy at their iconic DuBrul Vineyard. But only a fraction of the grapes go into the estate wines — the majority are sold to a short list of wineries that are happy to feature the DuBrul Vineyard name on their labels.

Thurston Wolfe is another exceptional example. Wade Wolfe, who has inherited Walter Clore’s place as the valley’s leading viticultural authority, relies upon winemaking skill and an unchallenged knowledge of the region’s vineyards. He makes wines that have a cult-like following despite their lack of “estate” designation. An estate vineyard provides only a small proportion of the winery’s fruit — the rest is purchased.

Famous Names

Many of the most famous names in Yakima Valley such as Boushey and Red Willow are vineyards, not wineries, famous for the quality of their fruit and the dedication of their owners.  But they don’t produce a drop of wine themselves. This model has been very successful and accounts in part for the growth of the Washington wine industry since it is possible to start a new winery, a capital intensive commitment, without also having to develop equally capital intensive vineyard properties. If wine is really made in the vineyards, then Washington wineries with access to these Yakima vineyards start the game with a real advantage.

But the division of labor has also contributed to Yakima’s invisibility. More attention is given to Walla Walla and Red Mountain (a Yakima AVA sub-appellation), for example, in part I think because the estate winery model is more typical in these areas, helping them to achieve a stronger reputation.

(One consequence of the division of labor is that many wineries blend across regions, which they could not do with an estate wine, drawing upon fruit from different vineyards, rather than focusing on expressing a particular terroir. Some critics argue that something is lost in this process, even though the wines may be very good or objectively even better than similar single-vineyard products. And because the vineyards may not all be within the Yakima AVA’s strict boundary, their wines often carry the broader Columbia Valley appellation.)

Westward Ho!

This division of labor was shaped early on by Chateau Ste Michelle’s decision to build its showcase winery in rainy Western Washington, in Woodinville just a short drive from Seattle, rather than in the more distant Yakima Valley where the grapes are grown It must have seemed like a peculiar choice back in the 1970s, but it has turned out to be a brilliant move in terms of the development of the wine industry. (Ste Michelle makes its white wines in Woodinville — the freshly pressed juice is rushed to the winery by tank truck — while the red wines are made in the wine country itself).

Because wine is an industry that seems to develop in clusters, one result of the Ste Michelle strategy has been to help create a vibrant wine production zone in the Seattle area, with literally hundreds of wineries, all far from the vineyards that supply them. Even wineries that have no production facilities in the Seattle area see the wisdom of setting up tasting room operations to facilitate direct sales to the critical mass of wine tourist consumers that the cluster has encouraged.

There are wine clusters in the Yakima Valley, too (especially around Prosser and on Red Mountain), but they are obviously smaller than on the west side of the Cascades and are less successful in generating critical mass. This is changing, however. A number of new investments are in the works including Ste Michelle’s decision to convert its Snoqualmie brand facility in Prosser into a home for its spectacularly successful 14 Hands wines. This might be the cornerstone investment that really starts things moving.

Is This a Problem?

Yakima is sort of a middle sister. Not as big as the Columbia Valley of which it is an integral part but huge compared to the sub-AVAs like Red Mountain and Rattlesnake Hills that live within it.  Some producers choose the broader designation for their wines while others prefer to focus on the more local name. Yakima, which is key to both the big and little, is left to spend Saturday night alone at  home. How sad.

But I think this is the wrong way to look at the situation and so I am glad that the Yakima Valley wine folks are choosing to use the occasion of their 30th birthday to celebrate what and who they are, focusing on the wines, vineyards and the people who make and tend them.

It is only a bit of an exaggeration to say that there would be no Washington wine industry without the Yakima Valley. The next time you pull the cork of a Washington State wine you might stop to consider the invisible vineyards that are responsible for the liquid in your glass.

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Here’s my favorite example of the division of labor (and how not to do it!).

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3 responses

  1. Mike:
    Good assessment of the Yakima Valley wineries and their challenge to gain the recognition they deserve. However, one cannot understate the importance of clustering. That, in itself, has contributed greatly to the other regions’ success in attracting wine visitors — clustering of wineries along with supporting amenities. You mentioned it in both blog articles, however in my mind, it is still the major obstacle to attracting more wine visitors to Yakima Valley especially the newer wine consumer, who may not have the depth of wine knowledge of the early adopters.
    As a small vineyard inn in Walla Walla, we are hearing from our guests that they want to stop in Red Mountain or Prosser on the trip here or back. Having a great place to eat such as Bunnell Family’s Wine O’clock makes it an easy destination while visiting that cluster of wineries.
    Our Southside wineries struggled with how to keep visitors tasting all day without food options. We would lose our tasters to downtown by early afternoon.
    We have solved that problem with food trucks most weekends at Dusted Valley, Balboa and Sleight of Hand and light menu offerings at Basel Cellars and Northstar. Eighteen plus wineries within a two mile radius makes a powerful incentive to stop at wineries you may never heard of, to hear their story and discover their wines.
    Over the past for years, we have seen all four sectors of the Walla Walla Valley come together (with various degrees of success) to make it easier for wine visitors to stay in their area through the coordination of signage, hours, food, lodging and events. Of course, winery referrals are paramount in helping a visitor decide where their next stop will be.
    I was part of SMWE when they opened Snoqualmie in Prosser. It never did pull visitors to its expectations. Too bad, Joy is an exceptional winemaker with a strong sustainable story. However, 14 Hands will draw and we’ll have a front row seat to see how that changes the wine visiting landscape there.

  2. Mike:

    I believe that you are ‘over thinking’ this. Napa and Sonoma are part of the Bay Area combined metropolitan statistical area with a population of over 8 million people an two international airports within an hours drive. Yakima is….not.

    The lack of amenities is directly correlated with the lack of nearby population and has very little to do with quality or quantity of wine.

    -Allan

    Sent from my handheld electronic Swiss Army knife

    >

  3. Hi Mike, I had the opportunity to visit the Yakima AVA region in June. I guess what I should really say is that I stopped at the Yakima Visitors center to get maps of the area, and kept on driving down through Prosser (stopped at wineries there) and then on to the Tri-Cities area. It was the first time in this area for me, and I was very happy with the wineries I visited. Some of the notable ones for me in the Red Mountain AVA were Cooper, Terra Blanca and J.Bookwalter. I am partial to big reds and I found them at these wineries.

    The reason I went up there was to scope out the area to send clients of mine ( I am a travel agent) to this wine country area. It seems like there are some things going on to attract consumers to their area e.g. Alaska and other airlines are allowing for one case of wine person to be checked for free, so hopefully more attention will be paid to this area. I am certainly going to do my part.

    Thanks so much for your insights here. I like looking at things differently and your thoughts certainly did that for me about the Yakima AVA. Look forward to your future posts. Take Care.

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