Can Chile Break Out of the “Value Wine” Trap?

First of all let me say that I have nothing against wines that are good values. We all struggle to find wines that pass the “is it worth it?” test and Chile has for a long time been a reliable source of wines that answer this question in the affirmative.

But it is in Chile’s interest to be seen as more than just a good value supplier. So I was very interested when Wines of Chile asked me to participate in a blogger tasting stressing Chile’s terroir. I think that an emphasis on distinctive terroir is just what Chile (and Argentina and South Africa) needs to attract wine enthusiast consumers and clearly differentiate themselves from the bulk wine pack.

The Terroir Two-Step

Establishing a reputation for terroir requires two things. First, you have to actually have terroir, which is to say wines that really are reflections of particular and distinctive winegrowing regions or sites. And, second, you need to be able to communicate this to consumers. Absent the first factor it’s just marketing. Absent the second it’s an exercise in futility from a wine economics standpoint.

Wines of Chile provided us with a dozen wines (see list below) — three each Sauvignon Blanc, Pinot Noir, Carmenere and Cabernet Sauvignon — and the opportunity to participate in an interactive video conference with Chilean winemakers hosted from Santiago by Fred Dexheimer (click here to view the video). I found the video conference to be very helpful and informative — the best yet! — both in terms of matching faces to wines and especially in unlocking details of the particular vineyard sites through Dexheimer’s probing questions.

Listening to the winemakers talk, it dawned on me that the rapid improvement in Chilean wines over the last decade derives from two sources. Improved winemaking is the first factor and the one that gets the most credit in discussions, but increased attention to matching particular varieties of wine grapes to particular sites is the under-rated other. This may be especially true for Carmenere, which was planted very widely back when it was mistaken for Merlot but that now is receiving more specific attention.

Taste the Terroir?

I organized two extended tastings to see if we could (1) detect the differences in terroir by tasting the wines and (2) find a terroir story in the wine marketing materials, especially the labels.

Sue and I were joined by Pierre, Cynthia, Patrick and Grant to taste the Sauvignon Blanc and Pinot Noir and by Ron and Mary for the Carmenere and Cabernet Sauvignon. I was especially interested in what university students Patrick (who wrote a paper on Chilean wine) and Grant (who studied abroad in Burgundy) would say about the wines. Here’s what we learned

The Sauvignon Blanc and Pinot Noir tasting was very interesting. The wines were well chosen both to highlight differences — differences between the Chilean wines and those from other countries and differences among the wines themselves. Our reference point for New World Sauvignon Blanc is Marlborough and these wines avoided the “me-too” trap, presenting styles somewhere between New Zealand and France. Our reference point for Pinot Noir here in the Pacific Northwest is Oregon and the Chilean wines were very much darker and riper — so much so that Patrick wondered if he would recognize them as Pinot in a blind tasting.

All six of the wines at the first tasting came from cool climate sites, where altitude or ocean influences (or both) affected growing conditions. We could easily detect differences between the wines, but I will honestly say that we struggled to connect them to the variations in terroir. Some of the wines helped us a bit by providing detailed information about the viticulture on the labels, but some focused more on the winemaking rather than the terroir.  This was a very successful tasting in terms of quality of the wines themselves, but it left some questions unanswered.

The Mythbuster Test

The story was much the same for the Carmenere and Cabernet tasting. We enjoyed the wines a great deal, especially with food (tasty pampeana  empanadas), and some  wines were even better on the next day.  Each flight presented real differences in aroma, flavor and style, showing the diversity of Chilean wines at these price points.

Once again, however, we had mixed results in searching for the terroir connection. Some of the wine labels made a point to provide specific information about vineyard site and growing conditions, so the link between terroir and what was in the glass was quite clear. Other wines didn’t highlight terroir as much as history or winemaking techniques. A couple of the labels were printed in type so small or light that it was nearly impossible to know the marketing message (this particularly annoyed Sue, who is an inveterate label-reader). My trusty magnifying glass got a good workout trying to read the details.

Confirmed. Plausible. Busted. These are the available options on the Discovery Channel’s hit show Mythbusters. I think our tasting panel was a bit divided in reaching a verdict about Chilean terroir. At least two tasters came to a “Busted” conclusion. They just couldn’t find the link they were looking for between the wines and their terroir and their advice to Chile is “don’t give up your ‘good value’ market position.” Most of the rest of us believed that it was “Plausible” that the distinct differences between the wines was due to different terroirs, but the connection was not strong enough or clearly enough explained to arrive at a “Confirmed” conclusion.

If the terroir story is important (and I think it is if Chile is going to upgrade its market position), then the wineries need to do a better job making the connection. I think Wines of Chile has provided a very good foundation, but the individual wine brands should take better advantage of the opportunity to promote the terroir factor. The labels of the San Pedro 1865 Sauvignon Blanc and the Carmen Gran Reserva Carmenere get high marks for their terroir message, although the Carmen’s tiny type was difficult to read.

The Los Vascos “Le Dix” didn’t even try to tell a terroir story — the focus was all about selecting the very best lots and blending them. But it was a terrific wine — Ron’s favorite, I think — which suggests that while terroir is important, it isn’t (and shouldn’t be) the only distinguishing characteristic.

Can “terroir wines” help elevate Chile’s international wine reputation? It’s a plausible proposition, but like most initiatives the key will be execution, especially coordination between Wines of Chile and key producers to provide wine enthusiasts with a clear and consistent message.

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Vina Casablanca Nimbus Single Vineyard Sauvignon Blanc 2012 Casablanca Valley

100% Sauvignon Blanc / SRP: $12.99

 San Pedro 1865 Single Vineyard Sauvignon Blanc 2011 Leyda Valley

100% Sauvignon Blanc / SRP: $19.00

 Casa Silva Cool Coast Sauvignon Blanc 2011 Colchagua Valley

100% Sauvignon Blanc / SRP: $25.00

 Emiliana Novas Pinot Noir 2010 Casablanca Valley

100% Pinot Noir / SRP: $19.00

 Cono Sur 20 Barrels Pinot Noir 2009 Casablanca Valley

100% Pinot Noir / SRP: $32.00

 Morandé Gran Reserva Pinot Noir 2009 Casablanca Valley

100% Pinot Noir / SRP: $17.99

 Concha y Toro Marques de Casa Concha Carmenere 2010 Cachapoal Valley

100% Carmenere / SRP: $22

 Carmen Gran Reserva Carmenere 2010 Apalta- Colchagua Valley

95% Carmenere 5% Carignan / SRP: $14.99

 Koyle Royale Carmenere 2009 Colchagua Valley

85% Carmenere 8% Petit Verdot 7% Malbec / SRP: $25.99

 Ventisquero Grey Cabernet Sauvignon 2009 Maipo Valley

94% Cabernet Sauvignon 6% Petit Verdot / SRP: $29.00

 Maquis Cabernet Sauvignon 2010 Colchagua Valley

100% Cabernet Sauvignon / SRP: $19.00

Los Vascos Le Dix Cabernet Sauvignon 2009 Colchagua Valley

85% Cabernet Sauvignon 10% Carmenere 5% Syrah / SRP: $64.99

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The photo shows (clockwise from top left) Grant and Patrick, Cynthia and Pierre, Mike’s magnifying glass and Mary and Ron. Thanks to Sue for the photos. Thanks to Wines of Chile for the wines and supporting material. Thanks to my research assistants for their feedback on the wines and marketing strategies.

Story Hour at the Wine Bloggers’ Conference

We are just back from the 2012 Wine Bloggers’ Conference, which was held this year in Portland, Oregon. It was a big event, with a sell-out 350 registered participants and about 40 more on the wait list hoping to get in. Randall Grahm gave one of the keynote addresses and Rex Pickett (author of Sideways and Vertical) gave the other. I was a moderator in a wine blogging workshop.

It was great to meet so many wine bloggers and to get a personal sense of the vast virtual community of wine enthusiasts who read, write and comment on the web.

Beyond Hegemony?

The conventional wisdom is that the days of traditional media’s hegemony in the world of wine are numbered (if not already passed) and that younger wine enthusiasts will increasingly draw their influences from social media (blogs, Facebook, Twitter and so on) and not Robert Parker or Wine Spectator.  The future of wine media might not be blogging, according to this viewpoint,  but wine blogs are part of the evolutionary process.

No one really knows if this is true or not, of course, and many wine bloggers secretly suspect that their readership is made up mainly of other wine bloggers. But the theory is just plausible enough to make wine blogging and a big conference like this difficult for the wine industry to ignore. So I was interested to see who would show up to try to develop relationships with the wine bloggers and how they’d go about it.

The list of wine industry groups in Portland is quite long. Here, for example, is a list of the official sponsors. And then there were other industry groups, wine producers, public relations firms and individual  Oregon wineries who had hospitality suites or organized pre- or post-conference events.

Grand Sponsors

Premier Sponsors

International Wine Night

Event Sponsors

Partners

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Story Hour: High Oregon Art

Why did all these industry groups converge around the bloggers? Well, people might think that the wine business is about bottles and corks (and it is to be sure), but it is really about relationships and, more than that, it’s about story-telling. The wineries, wine businesses and regional wine groups were in Portland to tell their stories to the story-tellers and then hope that the message would spread. The fact that they would invest not insignificant resources to be at the conference says something about the importance of relationships and narratives in the wine business.

There are lots of ways to tell a story and some were certainly more successful than others. The Oregon wine industry did an excellent job by embedding their wines firmly in the culture of the region, giving the bloggers a sense of the values that the wines are meant to represent.

I’ve inserted above the short video that King Estate produced to be shown at the awards banquet, which they sponsored. It gives a good impression of the Oregon story generally as well as the particular philosophy of the King Estate family. Take this as an example of the high art of wine story telling (even though the wine itself plays only a cameo role in the video).

You can only imagine how effective it was when the video, which introduced the faces, places and values, was followed by the actual food and wine and the real people who made them. It and the other messages that Oregon producers and the Oregon Wine Board scripted cannot but have left a strong impression on the attendees. Bravo.

Rich Narratives: Wine Story Tasting Notes

Winebow, an important wine importer and distributor, also showed great story telling skills. Winebow’s sessions showed off two faces of their import portfolio very effectively.

The first program focused on the wines of Argentina (they import several brands including Bodega Catena Zapata and Bodegas Nieto Senetiner). Each wine was paired with a tasty bite and a story about the wine and food of the region. The variety of Argentinean wine was showcased along with the food and even the culture (we were treated to Tango dancers). The combination encouraged us to slow down and listen, think and talk about the wines and the country. If the story is that yes, Argentina is Malbec and steak (and this is a wonderful combination), but it is also much more, then I think it was told very well indeed.

The second Winebow session was about “Off the Beaten Path” wines and it showed off the depth of Winebow’s portfolio. I think it was my favorite part of the conference. Sheri Sauter Morano MW led us in a tasting of  seven wines that most of us had never tasted before and that many consumers would hesitate to try because of their unfamiliar names or place of origin. As I have written before, wine is ironically one of the least transparent everyday products and the uncertainty about what is in the bottle is a limiting factor in wine sales and wine enjoyment.

Sheri focused on the story-telling aspect. She had us taste the wines “blind” and asked us to think about how we would describe them and tell their stories to readers. What reference points (in terms of more familiar wines or other qualities) could we use and how might we distinguish their signal qualities? The “reveal” provided additional information about each wine and challenged us: How could we tell the wines’ stories in a way that would resonate with readers and allow them to have the same interesting and enjoyable wine experience? I thought this was a brilliant approach and I hope some of the bloggers embrace it to introduce their readers to new wine varieties and regions.

Food Truck Wine?

Wines of Chile is another skilled story-teller. I have worked with them on several projects and have always been impressed with their commitment to developing their brand message and their focus on social media strategies. They invited us to a participate in a pre-conference tasting that was a sort of moveable feast. About 20 of us boarded a double-decker London bus and visited three local venues (including an iconic Portland gourmet food truck cluster) where small plates of food were paired with particular Chilean wines. It was a very effective way to feature the wines and an opportunity  to provide detailed and relevant information.

Taking all of the events together, including pre- and post-conference events and the chaotic “live-blogging” tasting events, I think most  New World and Old World wine regions were represented in one way or another. Who has missing? I’m not sure I saw any wines or literature from either Austria or South Africa but I admit they could have been there and I just missed them. And of course if would be impossible for all the different wine regions of France, Italy  or Spain to be present, but the national industries were well represented by the groups that did attend.

Bloggers need stories to tell and the wine industry needs story-tellers. No wonder everyone got on so well together at this conference.

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Thanks to all the sponsors who made the Wine Bloggers’ Conference possible. For more information I recommend Tom Wark’s  assessment of the conference. I agree with Tom about most things, especially the value of real person-to-person face-time versus Facebook and Twitter.

A Tale of Two [Wine] Tastings

Maybe next year ...

Two completely different wine tastings in the same week. What a study in contrasts! A brief report and intepretation.

A Student Tasting

The tasting for my “Idea of Wine” class at the University of Puget Sound was designed to introduce my students to serious wine tasting on a student budget. I wanted them to be able to taste and analyze some good wines while spending no more than about $20 each. Twenty bucks isn’t an every day budget for a student (or most of the rest of us), but it’s within reach and opens up many possibilities.

The wine of choice was Riesling for a number of reasons. First, Riesling often sells at a discount to its intrinsic value (that’s just my opinion) because people are confused, afraid and uninformed about it. Second, it is a real terroir wine that can capture a sense of place. And finally Riesling allows many different expressions, so it’s just plain interesting. Not everyone loves Riesling as much as I do, but you can’t criticize it for being boring!

We tasted through six wines, moving from dry to sweet to very sweet and from Old World to New World and back again. The comparative tasting format was new to the students and they embraced it enthusiastically. Every student found a favorite wine and many were surprised at their choices. Several students admitted that they thought of themselves as dry wine drinkers and yet were smitten by one of the off-dry wines like the St Urbans-Hof with 37 g/l of residual sugar (see complete list of wines below).

The Eiswein (Icewine) was the popular choice, as it often is at these tastings, in part because it came as such a complete surprise to most students and in part, I suppose, because we had studied how its is made, which is a fascinating process.

The wines were interesting, the students fearless in their tasting note comments and the discussion was lively. A great evening!

Student  Tasting: First Flight

 Lucien Albrecht Riesling Reserve Alsace France 2009

 Long Shadows Poet’s Leap Riesling Columbia Valley, Washington 2010

 Chateau Ste Michelle Eroica Riesling Columbia Valley, Washington 2010

 Student Tasting: Second Flight

 St Urbans-Hof Riesling Mosel Valley Germany 2010

 Chateau Ste Michelle Harvest Select Riesling Columbia Valley 2010

 Schloss Koblenz Eiswein Rheinhessen Germany 2009

Open That Bottle Night Tasting

The second tasting was at a wine dinner and it could not have been more different in terms of the setting, the participants and the wines themselves. It was the Open That Bottle Night dinner that Rosemary and Ken graciously (and that’s exactly the right word) host. Open That Bottle Night (OBTN) was created  13 years ago by wine writers Dorothy J. Gaiter and John Brecher as a wine-lover’s holiday that is celebrated on the last Saturday in February.

OTBN is an opportunity or maybe just an excuse to bring out those bottles that you’ve been saving for a special occasion and enjoy them. But, as I have written before, it’s not just about the wine.  It is also an occasion to release the memories those special bottles hold, which is really the part that I like the best

Most of my students aren’t yet ready for OTBN, but they’ll get there — and probably much sooner than I did. They are new to wine and haven’t had time to acquire many liquid memories. The group that gathered at Rosemary and Ken’s was more seasoned and the bottles somewhat beyond a typical student budget. Lots of memories to share!  And then there was the extraordinary food that Rosemary created for us. Quite a memorable evening.

Remains of the OTBN tasting

 Open That Bottle Night 2012 Tasting
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Champagne Bruno Pailliard Premiere Cuvee Rose NV

Champagne Perrier -Jouet Brut NV

Jean-Marc Pillot Montagny Premier Cru “Les Gouresses” 2008

Tantalus Old Vines Riesling Okanagan Valley 2008

William Hill Cabernet Sauvignon Reserve Napa Valley 1997 (magnum)

Shafer Relentless Napa Valley 2002

Cedar Creek Estate Cabernet Sauvignon  Okanagan Valley 2007

Conterno Barbera D’Alba Cerretta 2009

Vina Almirante Pionero Maccerato Albarino Rias Biaxas 2009

Porto Rocha Porto Colheita  1982

Chateau Tirecul La Graviere Monbazillac Cuvee Madame 1996

Compare and Contrast: Jaded Palates?

Comparing the two tastings is difficult because they were so different. One obvious difference between the two tastings was price, although it wasn’t as important a factor as you might guess. Some of the wines were much more expensive than others, but it wasn’t the price that made them interesting or not. Wine, especially when shared with friends, produces a certain magic that does not have much to do with market price, although the opportunity to taste rare wines and vintages is certainly enticing.

Perhaps the biggest difference between the two tastings was that the students seemed to talk much more about the wine than did the OTBN group. Ron and I puzzled over this a bit. There were more wines at the OTBN dinner and more wines that might be thought to provoke discussion. Why wasn’t wine a more dominant conversational theme?

Is it possible that the OTBN tasters are jaded — experiencing diminishing returns to new wine experiences? I certainly hope not! That would be counter to my theory of increasing returns to wine knowledge — the more you taste or know the more you want to have and benefit from new experiences.

The answer, I think, might lie in the food — and not just the fact that Rosemary’s braised lamb shanks were far better (and more distracting) than the fish-shaped snack crackers I supplied to the students.

Wine and food are meant to go together (except in certain U.S. states including New York where it is illegal to sell wine and food in the same retail space!). The wine and food in turn embrace a certain civilized sociability, so maybe it is no wonder that art, music and literature filled the air even more than wine talk. Or at least that’s my theory.

If I am right, then Open That Bottle Night is less about how wine tastes than it is about what wine (and food and friends) make us think and feel. And that perhaps is wine’s real magic.

Civilized sociability

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Extra special thanks to Rosemary and Ken for hosting the OTBN dinner. Thanks to new friends Jody, Kathleen, Paul and Tom and old friends Bonnie, Mary, Richard and Ron. And thanks as always to my students for all that they teach me each year.  Here is Rosemary’s menu for OTBN 2012.

Kale salad with pine-nuts, sultanas and prosciutto with white balsamic vinaigrette and amaretti crumble

Lamb shanks braised in Dunham Three-Legged Dog red wine with pureed white beans and gremalata

Palate cleanser of raspberries in Prosecco gelee

Selection of extraordinary cheeses

Cookies and biscotti

Malbec & Maradona: Wine and History in Argentina

Ian Mount, The Vineyard at the End of the World: Maverick Winemakers and the Rebirth of Malbec. Norton: 2011.

Malbec and Maradona

The most stunningly creative student paper I’ve received in more than 30 years as a college professor was written by a first year student enrolled in my introductory International Political Economy class. We were studying Argentina’s latest financial crisis and she analyzed the situation not just through facts and figures but rather by telling the story of Diego Maradona, the legendary soccer player who achieved great success on the global stage but succumbed to the pressures, stresses and temptations that came with it.

Maradona is always measured against Pele, the Brazilian star who is often proclaimed the greatest soccer player in history, and every talented young Argentinean forward is compared to  him (Messi is only the latest “next Maradona”). But an air of tragedy is unmistakable despite Maradona’s heroic achievements. This same air, my student wrote, hangs over Argentina’s politics and economy, and then she proceeded to analyze Argentina’s political economy history in detail in  terms of the Maradona story. It was, in both conception and execution, a brilliant analysis.

Ian Mount’s new book on Argentinean wine, The Vineyard at the End of the World, is also brilliant and in much the same way. Like my student’s paper, it can be read at several levels. It is, first and foremost, a history of the Argentinean wine industry from its roots with the Spanish explorers to its current spectacular flowering.

Although Argentina has been a major wine producer for literally centuries, it has only arrived on the global stage in the last ten years. Within Argentina its long history is heavy baggage that sometimes weighs it down. For the rest of the world, however, Argentina is a new discovery and the lack of prior experience of and attitudes toward its wines has arguably been an advantage.

Mount fills us in on the history and serious readers will appreciate the added depth this gives to the appreciation of the wines themselves. It also provides an interesting contrast to neighboring Chile and its wines, whose history is perhaps better known. But that’s only the beginning.

 Lucky Survivors

Malbec is a second theme, which is understandable because Malbec is king in Argentina right now. Malbec from Argentina has been one of the hottest product categories in the U.S. wine market is the past few years. But today’s Malbec (like Maradona) is a lucky survivor of Argentina’s booms and busts – a lot of Malbec was grubbed up during the market swings and swirls. It makes me appreciate wines (like one of our favorites, Mendel Malbec) that are made from the surviving old vine blocks.

More than anything, however, this is a history of Argentina itself told through wine, making this a book that deserves a very broad readership. Based on my previous research, I knew that Argentina’s politics and economics were reflected in the wine industry, but I didn’t know how much. Come for the Malbec, stay for the politics, economics and personal stories of those who succeeded or failed (or did both) and try to understand the country and people of Argentina.

Significantly, the book ends with a sort of Maradona moment. In terms of wine, Argentina has won the World Cup with Malbec, although the country must share the glory with international consultants (like Paul Hobbs and Michel Rolland) and foreign investors and partners (too numerous to mention). But for all its strengths the industry is still somewhat fragile, struggling to overcome the problems of the domestic wine market that it still depends upon and the domestic economy in which it is embedded.

After decades of “crisis and glory,” Mount sees a  bright future for both Malbec and Argentina. Let’s hope he’s right and the Maradona moment passes.

Ian Mount’s new book is a valuable addition to any wine enthusiast’s library. Mount provides a strong sense of the land and people of Argentina and the flow of history that connects them. Argentina is unique, as Mount notes early on, in that it is an Old World wine country (in terms of the nature of its wine culture) set in the New World, so that its history is broadly relevant and deeply interesting.

I studied the Argentina industry before going there last year, but Mount taught me things I didn’t know in every chapter. I love Laura Catena’s Vino Argentino for its account of the history of wine in Argentina told through the Catena family story and now I’m glad to also have The Vineyard at the End of the World for its broad sweep and detailed analysis. They are must reading for anyone with an interest in Argentina and its wines.

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Another Malbec-Maradona connection: Diego Maradona is most famous for a play that has gone down in soccer history as “the Hand of God” goal.  It was in a 1986 World Cup quarterfinal match that Maradona illegally struck the ball with his hand and scored the winning goal – an offense that was clearly visible to everyone in the stadium except the officials. Must have been the Hand of God, not Maradona, I guess.

Now (or very soon depending upon the release date) there is  Hand of God wine. We tasted Hand of God from the barrel when we were in Mendoza earlier in the year and we enjoyed the wine even if Maradona had nothing to do with making it. I suppose the name honors the importance of wine and soccer to Argentinean society and the struggles that both have endured. (Maradona’s team beat England in that famous game, so I wouldn’t look for big Hand of God wine sales in the U.K. market. Just saying …)

Special thanks to Jon Staenberg (proprietor of  Hand of God) and Santiago Achaval for letting us sample this wine!

Wine Science: Better Drinking Through Chemistry

I’m always excited to read the final papers written by students in my class on “The Idea of Wine.” The students come from all corners of the university and bring with them a diverse range of skills, interests, and experiences both with wine and with academics and life generally.

Reading these papers is never tiring or boring, but that’s probably obvious. To paraphrase Dr. Johnson’s comment about London, a person who is tired of wine is tired of life. As in the past, I’ve picked a handful of papers from the fall semester to feature here. This time I want to focus on two themes: wine science and wine politics.

Better Living Through [Wine] Chemistry

Alex (a Math and Chemistry major) wrote an excellent survey of  “Improvements in Wine Making Through Chemistry” that argued  that “In every part of the [winemaking] process there are questions that can only be addressed using modern chemical models and knowledge.” He supported this point with several examples of detailed chemical analysis. I suspect Alex was “provoked” to write this excellent paper by the combination of the anti-scientific sentiment of the film Mondovino, which the class watched, and the very pro-science attitude of Biology PhD and Master of Wine Benjamin Lewin’s book Wine Myths and Realities, which we read.

Two papers dealt with health issues. Julie (Biochemistry) wrote on “Resveratrol: Potential Health Benefits of Red Wine” while Abby (Exercise Science)  analyzed “Moderate Intake and the Risk of CVS: Resveratrol, NO pathways and SIRT1.” Both papers took the conventional wisdom of the French “Red Wine Paradox” and examined it in detail through the lens of scientific papers and studies. I learned so much from these papers and I can’t thank Julie and Abby enough for writing them.

Frankenwine and Tropical Terroir

Fletcher wrote “Happy Halloween, Enjoy Your Glowing Wine,” an analysis of what I call the “Frankenwine” issue – the application of genetic engineering to wine. As a Business major, Fletcher was naturally interested in consumer attitudes towards GMO products and the marketing implications, but I was impressed with his more technical survey of the application of GMO technology to grapes (to deal with climate change?) and yeasts (such as the ML01 strain, which has been in use since 2003).

Mike (International Political Economy) wrote about “New Lattitdes” viticulture in “Towards a Tropical Terroir: Winemaking Lessons from Thailand.” Although the Thai wine industry is a work in progress, Mike argued that the technical lessons learned in tropical viticulture might eventually be applied to other parts of the world as climate change progresses. His paper combined science with economics and also politics in his analysis of how the AOC system might make it more difficult for Old World producers to benefit from the technical findings of Thai and Brazilian researchers. Very interesting!

Crossing Over, Breaking In

Two students wrote especially interesting papers that probed wine politics issues.  Immigration policy is a hot button political issue this  year – it seems to come up in every Presidential candidate debate. Katherine (Spanish and Art History) wrote about “Grapes of Wrath: Immigration Policy and the U.S. Wine Industry,” looking at immigration flows both in terms of U.S. agriculture generally and the wine grape industry in particular. She suggests that the wine industry would be particularly impacted by changing immigration policy

Patrick (an International Relations major) wrote “The U.S. Racialized Wine Industry: Can Latinos Break Through?”  We know that Latino migrants provide skilled labor in the vineyards – have they been successful in breaking into the cellar, becoming winemakers and winery owners? The answer is yes, but not very often. Patrick examined the structural barriers that seem to stand in the way and speculated about the future .

Thanks to all my “Idea of Wine” students for their great work, both during the semester and on the final papers. A note to students who have signed up for the Spring 2012 class: the Fall students have set the bar pretty high!

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My policy with student papers is that they belong to the students not me, so I do not post them on-line. If you’d like to get a copy, send me an email and I’ll try to put you in touch with the particular students, who may or may not choose to share their work.

On Champagne: Keynes or Adam Smith?

John Maynard Keynes loved Champagne. When asked if he had any regrets in life he admitted to only one. I regret that I did not drink more Champagne, he said.

He even applied economic analysis to Champagne. Looking for ways to increase revenue from the bar at the Cambridge theatre where his ballerina wife Lydia Lopokova often danced (Keynes subsidized the theatre, so he had an interest in its “liquidty”), he studied the cross elasticity of demand between ordinary and premium Champagnes and proposes a novel plan to increase total expenditures by altering prices.

Raising the relative price of the cheaper stuff would make the more expensive tipple seem a better deal, he said, and increase total revenues. I don’t know if the author of Essays in Persuasion was able to persuade the bar manager to go along with the experiment.

Adam Smith, Terroirist

There is no indication that Adam Smith was fond of Champagne or even gave it much thought. Perhaps this was because of the difference in time and place relative to Keynes, but I think it might be because Smith was a terroirist. He believed in the idea of terroir and wrote in the Wealth of Nations that the wine grape was particularly sensitive to local growing conditions. He noted that certain famous Bordeaux wines earned a terroir premium in the marketplace.

If Smith was in fact a terroirist he might shy away from Champagne because most of the Champagne wines in the market place are relatively terroir-free.  Yes, of course, they represent that terroir of the Champagne appelation. But the wines that come from the big houses are blends that come from hundreds of growers and several different vintages. The wines are made in the cellar (through the highly manipulative methode champegnoise) at least as much as they are made in the vineyard. They can be excellent luxury products to be sure, but consistency is generally valued more than terroirst local or vintage variation.

Grower Champagnes are different; Smith and Keynes would both love them. They combine all the luxury and sensuality that Keynes appreciated with Smith’s intellectual focus on local conditions. Grower Champagnes are made in teeny tiny quantities by individual Champagne winegrowers from estate fruit. They are cult wines sold by specialists like Terry Theise, who also champions high terroir Rieslings from Germany and Austria.

Popping a Fat Cork

Is there a market for luxury terroir wines like grower Champagne? This question led us to a Seattle door marked “Fat Cork” where owner Bryan Maletis imports an exclusive list of grower Champagnes and sells them directly to small but growing local and national network of Keynesian-Smith and Smithian-Keynes buyers.

Bryan is well placed to take on the grower Champagne business. He has deep experience in the wine business, most recently as brand manager for Champagne Laurent-Perrier at Winebow, the big distributor. His connection to the grower networks and understanding of the market and distributional issues are valuable assets.

Bryan led us through a terroir tasting of three grower Champagnes (see the list at the end of this post) and the differences in wine were readily apparent to me and my Champagne research unit, which includes Sue, Joyce, Bonnie, Barry and Richard. Joyce revealed herself to have both a fine palate and an exceptional ability to express herself when it comes to Champagne and it was interesting to watch Bryan and his wife Abigail analyze the particular qualities of the wines in their portfolio in order to select the perfect wine for Joyce.

I asked Bryan about the challenges that his business faces, expecting him to start with shipping problems. But he told me that shipping isn’t an important barrier for him at this point. He has created innovative shipping containers that allow him to safely ship wine even in the hottest weather.  So check that important box. And he simply complies with all the interstate laws as best he can, accepting the constraints and pushing on.

University of Champagne

The real problem is that sparkling wine is a small part of the wine market and grower Champagne is a small part of that. People don’t drink Champagne every day, but save it for special occasions. Bryan would like to change that. And even people who have a Keynesian view of Champagne don’t necessarily know about grower Champagne, but may stick for the most part with the heavily-promoted brand names of the major houses.

It’s a marketing problem, he said, although I think it is also an educational problem (which probably makes it even worse). People won’t seek out grower Champagnes until they understand them. Once they taste them, however, I think many will be intrigued and want to probe the Champagne terroir as terroirists do for other wines.

Am I saying that, with a little education, Keynesians can embrace Adam Smith? I guess so! At least when it comes to Champagne.

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Here are the three grower Champagnes we tasted with Bryan and Abigail. Special thanks to Sue, Bonnie & Richard and Joyce & Barry for their assistance in analyzing the market for grower Champagnes. And thanks to Richard, of course, for sharing his business model with us and popping a few fat corks.

  • Perrot-Batteaux et Filles Cuvée Helix Blanc de Blancs (Bergeres-les-Vertus, Cote des Blancs)
  • Pascal Redon Brut Tradition (Trepail, Montagne de Riems)
  • Didier-Ducos Fils Brut (St. Martin d’Ablois, Valee de la Marne)

Invisible Wine … Revealed

The main theme of Ralph Ellison’s classic novel Invisible Man, according to one plot summary, “is the invisibility of the underdog. As the title suggests, the main character is invisible because everyone sees him as a stereotype, not as a real person. While the narrator often bemoans his state of invisibility, he comes to embrace it in the end.”

If we think of invisibility this way (and not the more literal  spooky H.G. Wells way) then I suppose that Kerner is an  Invisible Wine.

Son of Frankenwine?

Kerner is a hybrid wine grape – a cross between noble Riesling and very humble Schiava Grossa, also known as Trollinger in Germany and Vernatsch in its native Alto Adige region of Italy, where it mainly produces inexpensive everyday  red wines for local consumption.  Kerner is a relatively recent invention, first bred in 1969 according to the Oxford Companion to Wine, and named for Justinius Kerner, a 19th century poet and song-writer with a particular affinity for wine.

Justinius Kerner

Hybrid grapes have the same reputation as movie sequels. They are frequently profitable and sometimes very enjoyable, but never as good as the original. There are exceptions to this rule (both for grapes and for films) but in general the stereotype holds. Kerner is often viewed as a Riesling sequel, having many of the qualities of Riesling, but with higher yields and better frost resistance.

Critic reactions to Kerner are mixed. Jancis Robinson, like me a big Riesling fan, writes that “The large white berries produce wines commendably close to Riesling in flavour except with their own leafy aroma and slight coarser texture.” She calls it a “great success story.” Oz Clarke is less enthusiastic, writing that “It is one of the better modern crossings … which perhaps is not saying a great deal.” You see what I mean about stereotypes.

There are about 3700 hectares of Kerner in Germany, far behind Riesling (22,000 hectares), Muller Thurgau (13,000 hectares) and Sylvaner (5000) among white grape varieties but still a considerable amount. While varietal Kerner wines are made in Germany (some quite good, according to Robinson), I suspect most of the grapes are destined for “invisible” inclusion in various blends, which is what happens to hybrids.

A Different Story in Italy

Peter Baumgartner

The story is quite different in Alto Adige, that part of Italy that was Austrian before the First World War and exists today as a semi-autonomous region with both German and Italian (as well as Ladin) as official languages. This is the home of Kerner’s parent, Schiava/Vernatsch, and Kerner is embraced here for what it is, not as a Riesling sequel or substitute. The Valle Isarco (or Eisachtaler in German), which follows the Isarco river up into the Alps,  is the main Kerner region and here, freed of stereotypes, it achieves something quite special.

We were fortunate to have a private tasting of the wines of the Cantina Porduttori Valle Isarco (a.k.a Eisacktaler Kellerei) in Chiusa. Peter Baumgartner, a local banker who is the cooperative winery’s president, explained the winery’s business side (look for an upcoming post on cooperatives in this region) and guided us as we tasted the wines.

Cantina Valle Isarco specializes in white wines (Baumgartner plans to phase out the remaining reds in the portfolio): Sylvaner, Muller Thurgau, Veltliner, Traminer Aromatico, Pinot Grigio, Pinot Bianco, Chardonnay, Sauvignon, Riesling and of course Kerner. Production is about 1 million bottles a year and the market is mainly local: 50% in Alto Adige, 40% in other parts of Italy with most of the remaining 10% exported to Germany and Switzerland. Wines are produced to hit several price points starting about about €6 for the entry level and moving up from there.

The Cantina makes four Kerner wines starting with the entry level wine (which we did not taste) and moving up through the premium Artisos series, a limited edition Sabiona Kerner (made from grapes from the Sabiona Monastery vineyards) and ending with a deliciously sweet Kerner Nectaris Passito made from late-harvest grapes left to dry and concentrate their flavors on straw mats in the manner of Amarone.

Wine Wisdom from Charles Barkley

I once heard the sports philosopher Charles Barkley say that a particular basketball player was successful because “he plays like himself” instead of trying to be someone else.  I think the Kerner wines made by the Cantina Valle Isarco are interesting (and apparently successful, too) because they “play like themselves” — they seem to be made to be themselves and not an imitation, substitute or sequel for something else.

In fact, they are among the very best white wines of Italy. Or at least that’s what the editors of the Gambero Rosso guide seem to think. My 2007 Vini d’Italia guide lists three Kerner wines (from Cantina Valle Isarco, Manfred Nössing-Hoandlhof and Abbazia di Novacella) among the 282 wines from all of Italy receiving the highest “three glasses” (tre bichierri) award. That’s a disproportionate achievement for an invisible wine from a tiny Alto Adige valley.

Kerner shows that local wines can excel if local markets embrace them and that even invisible wines can sometimes shine in the spotlight if they follow Charles Barkley’s sage advice.

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Cooperatives have a bad reputation in the wine business. Some of the worst wines in the world are made by cooperatives that favor quantity over quality. But, as we have seen here, some of the best wines are also made by cooperatives. High quality cooperatives are unusually prominent in Alto Adige. Why? How? These are questions I’ll try to answer in my next post.

Thanks to Peter Baumgartner for his generous hospitality during our visit to Cantina Valle Isarco and also at the opening reception of the AAWE meetings in Bolzano.

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