The Hedgehog & the Fox: Discovering the Wines of Lugana DOC & Garda DOC

Today’s Wine Economist is inspired by Isaiah Berlin’s famous essay “The Hedgehog and the Fox.” The fox knows many things, Berlin wrote, drawing on an ancient Greek parable, but the hedgehog knows one big thing.

People are like that, don’t you think? And there are wine regions like that too. The Lugana DOC on the shores of Lake Garda in Italy, for example, reminds me of the hedgehog, with its clear focus on one important wine. The Garda DOC, on the other hand, is home to many different ideas of wine. It is the fox.

Please read our report below and see if you agree — and which wine critter you find more appealing.

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Lake Garda in the Italian north is one of Europe’s great summer playgrounds. No wonder visitors flock there from all over Italy and from Germany and Switzerland too. There is something for everyone. The lake itself for watersports, of course, along with beaches and campgrounds, theme parks, and more. The local economy benefits from the region’s understandable popularity and so does the local wine industry. I’ll bet both were hit hard when covid restrictions put a lid on tourism. They seem to be booming now.

The Lake Effect is Strong

Wine, not theme parks, was the focus when Sue and I joined a group of journalists from Germany and Denmark for a tour co-hosted by the Lugana DOC and Garda DOC consortia. The fact that the program embraced two overlapping but very different wine regions made this an unusual adventure.

Burton Anderson acknowledged the impact of Garda tourism on the Lugana wine industry in his classic 1990 guide The Wine Atlas of Italy,

Its success has been attributed to the fact that it is white and comes from the well-frequented Garda resort of Sirmione, but the real point in its favor is its graceful personality that appeals to both novices and to people who take wine seriously.

The wines are shaped by the combination of the Turbiana grape variety, also known as Trebbiano di Lugana, plus the beneficial lake effects, and the subtle variations in vineyard geology that result from glacial activity that made this region fairly flat but far from homogeneous. The Lugana DOC wines, as I wrote a few weeks ago, balance salinity against minerality in ways that please and provoke further investigation.

A Visit to Cantina Ottella

Although restricted to just one grape variety, we found tremendous variety in the Lugana DOC wines. A memorable visit to Cantina Ottella opened our eyes to the possibilities. Ottella is a project of the Montresor family, who have been making wine here for four generations. Michele Montresor showed us the winery with its fantastic modern art collection and then we began with the wines. Picked early, the Turbiana grape variety makes sparkling wines that are justifiably popular. Picked a little later, in September, the Lugana DOC wine showed the salinity and minerality that defines it so clearly.

The next wine caught our attention. Le Creete is harvested later, in October, from old vines from a single vineyard. It was complex and even more interesting than the wine before. The Riserva was elegant, with well-integrated oak. An amphora wine dedicated to Michele’s father Ludovico came next. Stunning in its complexity. Then, finally, a Lugana DOC from the 2007 vintage, to show that Lugana can age elegantly and develop gracefully. Quite an experience. And proof, if we needed it, that Anderson was right when he said that these Lugana wines have what it takes to interest experienced wine enthusiasts even as they delight beginners.

Foxy, but in a Good Way

Cantina Ottella is famous for its Lugana wines, but they also produce wines with grapes from their vineyards in other local appellations. The evening before our visit, for example, we ordered one of their Garda DOC red wines called Campo Sireso with dinner. It was a blend of Corvina Veronese, Merlot, and Cabernet Sauvignon from the Garda wine zone. The wine was fantastic and caught our attention.

The “fox” Garda wine zone is very different from Lugana’s “hedgehog.” Approved grape varieties for Garda include both native grapes (Cortese, Trebbiano, and Garganega whites and Corvina and Marzemino reds, for example) and international varieties, too (Chardonnay and Sauvignon Blanc whites and Cabernet and Merlot among others on the red side).

This means, of course, that Garda has something for everyone who comes to visit Lake Garda in the summer months and the existence of red wines is perhaps especially appealing to visitors from Northern Europe who might have a particular preference for red wines.

But Garda’s fox-like character also means that it has more trouble defining its identity in export markets, which is a shame since the wines can be very good indeed.

Sue and I were fortunate to be able to visit several wine producers who have adopted different market strategies. Come back in two weeks for these “hedgehog” and “fox” case studies. In the meantime, next week’s Wine Economist will feature a special “Independence Day” flashback column.

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Many thanks to the Lugana DOC and Garda DOC consortia for hosting us for this visit. Thanks, as well, to the wineries on our brief tour who generously gave us their time, knowledge, and very good wines! The winery list includes La Moretti, Ottella, Azienda Zenato, Cascina Maddalena, Ca” Maiol, Borgo la Cuccio, Colli Morenici, Bulgarini, and Perla del Garda. If you see wines from any of these producers on a shop shelf or wine list, please give them a try. You won’t regret it.

Wine Book Review: Challenging Change in the Wine World and Beyond

Caro Feely, Cultivating Change: Regenerating Land and Love in the Age of Climate Crisis (2023).

They say that time changes things. But sometimes you have to change them yourself. I think of this saying, which I originally heard attributed to Nelson Mandela, whenever I read Caro Feely’s books.

Time and Change

South Africa-born Feely along with her husband Sean and their daughters made the audacious choice to leave their lives in Ireland and move to Saussignac in Southwest France, purchase vineyards, and begin the continuing adventure that is Chateau Feely. The move was all about change. New country. New language. New culture. New business. New joys and triumphs. New tensions and lots of stress.

Caro Feely has documented her changing world in a series of books starting with Grape Expectations in 2012 and continuing through the “vineyard series” to Saving our Skins (2014) and Glass Half Full (2017). Cultivating Change can be read on its own or as a continuation of the vineyard series.

Like Feely’s previous books, Cultivating Change works on several levels at once through her very personal account of life at Chateau Feely (some parts are so personal that I feel like I am reading her diary). Readers come to understand that it is hard to unravel the threads of life — family, business, community, nature. I was originally attracted to Feely’s books by their analysis of the business side of a family winery in France. And then I got caught up in the challenge they undertook to move from conventional to organic and now biodynamic  viticulture. These threads are strong, but only part of the story.

Time Has Come Today

Time is a central theme in Cultivating Change. Time’s accelerating pace affects everything. Friends and family grow older and sometimes grow apart. The daughters are suddenly grown up or nearly so. Time changes things and fast time creates a sudden urgency that pulls at all of the book’s threads. Sometimes you have to change things yourself, as the saying goes, and Caro Feely finds herself compelled to take action, a fact that is complicated by the covid pandemic.

Readers will find the account of the impact of climate change on wine growing at Chateau Feely particularly interesting. The urgent need for change to fight change has spurred Feely to become an activist, so we learn of her expanding role as an advocate for progressive vineyard practices.

Feely needs allies to help cultivate the changes she seeks and fight those she opposes, so we sense her anger and disappointment when she discovers some obvious alliances breaking down. More than once in the book we encounter wine sellers who have the potential to educate consumers about winegrowing and advocate for progressive practices who just don’t seem to take the matter seriously.

I thought of these scenes from the book when I was following up on a reference from Giovanna Prandini, the founder of Perla del Garda winery. Her note led me to an importer and wine subscription program here in the Seattle area called Iola Wines.  Iola Wines, which focuses on women winemakers and environmentally progressive wineries, would seem to be the sort of ally that Caro Feely might want. I was a little surprised (and then not so surprised) to find the “small world” fact that Chateau Feely wines are part of the Iola wine program.

One final change to note. The wine world is changing and so is the world of books. Cultivating Change is the first of Feely’s books to be self-published. Once upon a time, self-publication was thought of as the “vanity press” for books that no “real” publisher would touch. But those days have gone, especially in the world of wine books, as more and more important authors choose a disintermediation strategy and go DtC.

It’s a new set of challenges for Caro Feely and I am not sure where she finds the time for everything she already does, but I am glad she still makes time for her books. Interesting. Informative. Inspiring. Highly recommended.

Pogo’s Dilemma and the Future of Prosecco Superiore

Pogo’s Dilemma is the theme of this week’s Wine Economist. Pogo’s Dilemma? It is a reference to Walt Kelly’s famous cartoon where the character Pogo reflects, “We have met the enemy and he is us.” Sometimes life is like that, or at least it seems that way to me for the successful winegrowers in the Prosecco Superiore region.

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As last week’s Wine Economist explained, the Conegliano Valdobbiadene Prosecco Superiore DOCG region in north-east Italy is a remarkable success story. The historic home of Prosecco in Italy (and the source of some of the finest wines today), Prosecco Superiore DOCG is in an enviable situation. Nearly every hectare of available vineyard land is planted, yields are pretty much at the maximum, and the wines sell out at attractive prices. There are not many wine regions that can compare.

By the Numbers

Here is the story by the numbers. Prosecco Superiore DOCG had 8,683 bearing hectares of grape vines in 2022, which produced a total of about 103 million bottles of wine and €634 million in revenue for the 2127 producers and growers (including seven cooperatives).

Italy is the top market for Prosecco Superiore DOCG wines, accounting for about 60 percent of sales. The top five export markets are the UK, Germany, Switzerland, Austria, and the United States (Canada is next at #6).

You might be surprised to see the U.S. below Switzerland and Austria on this list. The U.S. sometimes seems to be awash with Prosecco. You see it everywhere on store shelves and restaurant lists. Surely the U.S. drinks more Prosecco than the export numbers suggest?

Prosecco vs Prosecco

Well, yes, Americans are great fans of Prosecco, but only about 3 million bottles of it are Prosecco Superiore DOCG from the Conegliano Valdobbiadene region. The rest is from the much larger Prosecco DOC zone or, like the big-selling Kirkland Signature Prosecco, from the Asolo Prosecco region. These wines can be very good and are generally less expensive. They pretty much dominate the U.S. market with many of the top-selling brands either distributed by U.S. wine companies (think Gallo’s La Marca brand) or sold under their labels. There is a Cupcake Prosecco, for example, a Barefoot Bubbly Prosecco, and now even a Prosecco from NBA star James Harden.

Prosecco DOC is ubiquitous in the U.S. market, but Prosecco Superiore DOCG can be hard to find. You really have to look for it. But the effort is worthwhile. I have organized comparative tastings of different Prosecco wines a couple of times and the Prosecco Superiore DOCG wines always make people smile and ask for more.

Prosecco DOC and DOCG wines are made with the same grape variety, Glera, using the same production techniques. The DOCG zone’s terroirs account for the wine’s distinctive qualities. It maybe isn’t a surprise that consumers who understand the difference between the wines are following the premiumization path toward Prosecco Superiore DOCG. Interestingly, producers told me, as Prosecco Superiore markets mature consumers tend to shift from the Extra Dry style that is so popular with Prosecco DOC wines to Brut and even Extra Brut Prosecco Superiore.

A Good Life (and its Discontents)

Life is good in the Conegliano Valdobbiadene region, but that doesn’t mean there aren’t plans to move ahead. The goal is not so much to sell more wine (yields are maxed out) but to increase margins on the wine and generate new revenue sources through expanded wine tourism offerings. Wine tourism suffers a bit today from limited infrastructure and the nearby presence of Venice. Venice doesn’t give up her tourists once they arrive at the lagoon (day-tripping to the wine country doesn’t really happen), which makes an emphasis on destination wine tourist facilities critical.

Raising margins means raising prices and this is never easy, even for a wine like Prosecco Superiore, which seems undervalued for the quality it delivers. One part of the problem is competition, which tends to discourage price increases. The Prosecco Superiore producers compete with each other in every market, of course, and compete with other Italian sparkling wine producers for the key domestic market. Here in the U.S., sparkling wines from around the world compete with each other for room on wine shelves and space on restaurant wine lists.

The biggest competition for Prosecco Superiore wines here in America and perhaps in other export markets, too, are the generally less expensive Prosecco DOC wines. These wines are popular, heavily promoted by importers, and have consumer-pleasing quality. Prosecco Superiore’s efforts to increase price are limited, in other words, by the good value that Prosecco wines represent. And, of course, most U.S. consumers don’t really get the DOC vs DOCG thing. Prosecco is Prosecco to them.

When is Prosecco Not Prosecco?

This is where Pogo’s Dilemma (we have met the enemy and he is us) comes in. Many producers of Prosecco Superiore DOCG wines are also producers of Prosecco DOC wines (made with grapes from the DOC zone, not the DOCG zone). So, in effect, they are their own biggest competition when it comes to price increases. The better the DOC wines, the harder it is to boost DOCG prices.

The Moretti Polegato family, for example, owns Villa Sandi, a top Prosecco Superiore DOCG producer. Their wine was featured on the by-the-glass list at a top Verona restaurant we visited. But the family also owns La Gioiosa, whose DOC wines are often found on supermarket shelves. The family strategy seems to be to continue to raise the quality of all the wines rather than thinking about one versus the other and seize other opportunities that make sense, too.

For example, you can enjoy a glass of Prosecco at the Villa Sandi wine bar at the Venice airport, or have an excellent meal and perhaps spend the night at Locanda Sandi in Valdobbiadene. The Pogo effect isn’t really a problem in this case.

Smaller producers and those who focus exclusively on DOCG wines must consider different strategies. the family-run Vincenzo Toffoli, for example, produces 250,000 bottles including both Prosecco DOCG and DOC wines from their 20 hectares of vines. Although 95 percent of the wine is sparkling, the family is also exploring the region’s still wine heritage, including sweet passito wines, a delicious dry passito red Colli di Conegliano Refrontolo DOCG, and a ripasso Marzemino Veneto IGT.

The wines of Col Vetoraz are as spectacular as the tasting room view of the steep Valdobbiadene vineyards. Great wine, just don’t call it Prosecco. Prosecco, according to Col Vetoraz and several other producers, has degenerated into a generic term, defined by the big producers on the plains, which doesn’t capture the special quality of their wines. So they’ve banished Prosecco from their labels and literature. The wines they make are Valdobbiadene DOCG. Simple as that.

Refusing the Prosecco name seemed crazy to me at first, but maybe it is a reasonable response to the Pogo effect. If Prosecco is often sweetish and cheap, then maybe a drier luxury wine should have a different name, even if it is one that Americans might be afraid to pronounce. It certainly might work for some producers in their domestic market. Or at least that’s what came to mind when we were shopping for Prosecco Superiore DOCG wines at a big shop in Verona. You can see how the wine display was labeled in the photo.

Sue and I were impressed with the creativity and innovation we encountered during our visit to Conegliano Valdobbiadene Prosecco Superiore DOCG. It is a magical wine from a magical place and the magical people who make it are bound to find solutions to Pogo’s Dilemma.

Anatomy of Italian Wine Industry Success

Economics is sometimes called the “dismal science” and I guess it is true that the Wine Economist is often focused on the problems that the wine industry faces (see the recent column on California vineyard profitability, for example).  So it is a pleasure to write about two wine regions in Italy that have achieved rather remarkable success.

The regions I want to highlight here are Conegliano Valdobbiadene Prosecco Superiore DOCG — home of many of Italy’s best sparkling wines — and Lugana DOC on the shores of Lake Garda, makers of one of Italy’s most distinctive white wines. Although the wines of the two regions are very different, the sources of their success have some things in common. Why are these regions successful? What challenges do they face? Read on.

Wine and Words

Sue and I came to Italy as guests of the Conegliano Valdobbiadene Prosecco Superiore Consorzio to participate in the first edition of a wine literature festival called Co(u)ltura Conegliano Valdobbiadene held in the scenic and historic Castello San Salvatore di Susegana. It was two days of author interviews, masterclasses, walk-around wine tastings, and more that drew a large and appreciative crowd. A highlight was the special recognition of five young Italian writers whose essays on this region were collected and published for the event. (The photo at the top of this column shows a fantastic video-mapping demonstration.)

Sue and I took advantage of this opportunity to meet with winemakers and Consorzio officials and learn as much as we could about this dynamic wine region. When the festival was over, we changed locations to join a small press tour organized by the Lugana and Garda wine consortia. The result was a very revealing set of experiences.

Signature Grape vs Taste of the Place?

I am not sure that anyone has ever thought to directly compare the Lugana DOC and the Conegliano Valdobbiadene Prosecco Superiore DOCG (henceforth Prosecco Superiore DOCG) regions the way we found ourselves doing, but it is an interesting exercise. Although the wines are completely different in terms of sensory and market characteristics, there are still interesting shared qualities that are worth considering.

Each region is best known for wines made from a single grape variety. Glera is the go-to grape in Prosecco Superiore DOCG, producing several variations of sparkling wines as well as traditional still white wines that you can find if you look for them. Lugana DOC is built on the Turbiana (a.k.a. Trebbiano di Lugana) grape variety, which is made in several styles of still white wines and sparkling wines, too.

You might think these wines would be defined by their signature grape varieties, but you would be wrong. These are wines of place. The Lugana DOC wines are different from the many Trebbiano wines you will find in Italy and the particular climate and especially geology of the Lugana region at the south end of Lake Garda has a lot to do with it.

The Prosecco Superiore DOCG wines are distinctive, too. Although you can see the family resemblance in many cases between the Prosecco Superiore DOCG wines and similar wines made from Glera using the same processes from the Prosecco DOC and Asolo DOC zones, to my taste the DOCG wines are often brighter, more alive in the glass. They always make me smile.

The wines of Lugana DOC are distinctive, too, and for a long time, I found it hard to describe them. But a masterclass we attended led by the brilliant Constantino Gabardi has given me the words I need. The Lugana DOC wines are not so much defined by fruit as we often think for white wines, but by salinity and minerality held in tension by acidity. It is a different idea of wine than I am used to and so it is no wonder I find the Lugana wines so fascinating.

In both cases, the land and the grapes interact to create a complicated but fascinating experience. The landscape between the wine towns of Conegliano and Valdobbiadene is varied and stunningly beautiful, which is why, I suppose, it has been designated a UNESCO World Heritage site. Vineyard regions are often pretty, but these vineyards are special — even more spectacular than the Douro Valley. The dramatic landscape terroir is reflected in the wines. Fruitier, they say, in the more rolling hills near Conegliano. More structured on the sharp peaks and valleys near Valdobbiadene.

The area around Lake Garda is beautiful, but it is nothing like the stunning Valdobbiadene landscape. Yet the more subtle variations here matter a lot. The balance and dynamic interaction of Lugana DOC wines stem from the land, in this case, the complicated geology that was left behind as glaciers scraped the landscape eons ago. The soil is very different at lower elevations closer to the lake and the wines reflect this and the balance of salinity and minerality that is so attractive in the glass is the result.

Victims of their own Success?

Both regions have achieved great success and are developing strategies to climb even higher on the wine wall in the future. Having navigated the shifting market tides of the Covid era very well, producers in Prosecco Superiore DOCG find that they have hit a plateau. Virtually every available hectare of potential vineyard land is planted (to Glera for the most part) and yields have been effectively maximized. The challenge is not so much to produce and sell more wine, but to better differentiate the wines in the market to increase margins.

Lugana DOC producers are also victims of their success to a certain extent. The Turbiana grapes that go into Lugana DOC wines sell for several times the value of other grapes in the region, creating a prosperous environment for producers. Lugana is effectively differentiated and benefits from its reputation. The potential problem, I was told, is that just a few export markets dominate sales. What happens, one winemaker asked me, if tomorrow Germans decided they don’t like Lugana wines so much?

The Prosecco Superiore DOCG producers hope to raise margins. The Lugana producers who to expand and diversify their markets. Neither of these tasks is easy in today’s competitive marketplace, but then there was nothing easy about getting to their current high plateau, either. Watch for additional analysis of these two fascinating regions in the weeks to come.