Canadian grapes to wine summer 2013

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PM # 41262017

summer

Top wine promoters recognized at brock national network to address wine research priorities wine industry gather in penticton PST/HST Transitions cause major revenue loss Okanagan spirits named world class distillery

2013


Your Options, Our Promise. At TricorBraun WinePak, winemaking represents the perfect blend of dedication, patience and a passion for detail. As North America’s largest wine bottle distributor, we share that commitment to perfection. From our state-of-the-art facility, and its $2 million automated repacking system, to our unparalleled sales and customer service team— we promise quality, efficiency and ingenuity every step of the way. As an industry leader, we truly are invested in your success, which is why we are excited to announce our latest venture—WinePak Direct. A uniquely designed service that allows our customers to make all their smaller scale purchases online. Our easy-to-use catalog features twenty stock bottles in assorted sizes, shapes and colors, as well as a selection of Stelvin closures in six color varieties. As your packaging partner, we believe WinePak Direct offers your business the convenience and efficiency it needs to succeed.

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In Canada, contact: Heidi Cook | Sales Manager, PNW | 604-649-5623 1650 Brigantine Dr., Unit 500, Coquitlam, BC Canada V3K7B5

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Economy Canada’s Wine Economy generates $1.2 billion in provincial and fedaral taxes and liquor board mark ups that goes to support government programs, to develop communities, infrastructure, education and health care. In taxes alone, the Ontario Wine and Grape Industry contributes $444 million, British Columbia $222 million, Nova Scotia $25 million, and Quebec $121 million.

“$1.2B

Canada’s Wine Economy is aging well. From a collection of small vineyards in the Niagara peninsula and the first vintage in the 19th century, to almost 500 wineries coast to coast,. Our industry has become world class producers of high quality wines that now proudly contributes $6.8 billion each year towards the Canadian economy.

Provincial and Federal Taxes and Liquor Board Markups ON - $602M BC - $298M QC - $161M NS - $49M Other - $100M

Now more than ever, Canadians are reaching for a glass of wine over spirits and beer. Yet imports still represent about 70% of wines sold in Canada. There is a tremendous opportunity for the Canadian wine industry.

SPRING ISSUE on stands early March 2011

www.cdngrapes2wine.com

Canadian Grapes to Wine • Summer 2013 Page 35


Supplier News increasing wine makers choice amcor flex Amcor Flexibles Capsules, the pioneer of Stelvin® aluminium screw caps and liners for wine, is proud to announce the launch of Stelvin® Inside: a brand new range of four different liners for wine. This marks a watershed moment in the history of screw caps for wine as the new range doubles wine maker’s OTR (Oxygen Transmission Rate) choice giving them far more tools to help craft and perfect their wine. Thanks to Amcor’s proven experience with Stelvin® combined with – unlike any other screw cap manufacturer – our extensive film know-how as a global leader in flexible packaging, we are perfectly poised to bring the new range of liners to market. The new Amcor Stelvin® liners were developed by Amcor. All of the films used in the liners are produced by Amcor and are PVDCFree. The liners themselves are manufactured exclusively by our development partner MGJ, a leading container seal specialist. Each of the four new liners has a different OTR target which thanks to Amcor’s film know-how ensures a low level of oxygen dispersions allowing wine makers and consumers consistency from one bottle to the next.

Canada’s Wine Economy Generated

Dollars in total Economic Impact. ON - $3.33B BC - $2.01B QC - $805M NS - $196M Other - $459M

About Amcor Flexibles Europe & Americas, Capsules Amcor Flexibles Capsules, part of the Amcor Flexibles Europe & Americas business group, is a market leader specialising in the design and manufacture of overcaps and screw caps for wine, sparkling wine and spirits. Amcor Flexibles Capsules has plants in France, Canada, USA and Chile. For more information visit www.amcor.com

Quotes from Canada’s Wine Economy - Ripe, Robust, Remarkable. A Research study by the Canadian Vintners Association, The Winery & Grower Alliance of Ontario, the BC Wine Institute and the Winery Association of Nova Scotia, the independent study was completed by a leading international wine research firm, Frank, Rimerman + Co. in 1013. www.canadianvintners.com www.wgao.ca www.winebc.org www.winesofnovascotia.ca

Economy

“$6.8B

Nicolas Freynet, General Manager Amcor Flexibles Capsules. “We believe this is a great time for wine makers and for Stelvin® screw caps, a contemporary solution which has been around for more than 50 years! As more and more wine makers switch to Stelvin®, we are delighted to be able to meet their clear need for increased liner OTR choice.”

w er Ne k & nag r a c u u M g O g Tr ns n i n c i tio un ottl era o p n B An bile l - O e o M ech r P ve Da

Providing bottling for runs ranging from a few Hundred cases to the t h o u s a n d s a t y o u r w i n e r y.

R R 1 , S 1 1 , C 6 0 , N a r a m a t a , B . C . , V 0 H 1 N 0 p . 2 5 0 . 4 9 0 . 5 5 8 3 f . 2 5 0 . 4 9 6 . 5 5 0 5 e . I n f o r m a t i o n @ a r t u s b o t t l i n g . c o m Page 34 Canadian Grapes to Wine • Summer 2013

www.cdngrapes2wine.com


Supplier News Diemme MicroFlex Filter, An Intelligent Approach to Filtration The New MICROFLEX Filter from Diemme Enologia has landed on Canadian soil for the first time ever in BC and we started testing it with Canadian wines at Quail’s Gate Winey in Kelowna. Quails Gate chose their toughest wine to filter, Marechal Foch, as the first candidate for the new technology. 17-year winemaking veteran of Quails Gate Winery, George Oake commented, “The Microflex allows me to filter our wines in a gentle and thorough manner from 42 NTUs down to 0.4 NTUs; ready for bottle in one pass without stripping color, flavour or aroma. The low labour and material costs make this the ideal filter for our winery. The Microflex would allow us to eliminate the use of Diatomaceous Earth in the cellar while improving the quality of filtration. Reduced cost, reduced labour, reduced time, reduced water use, safer, more gentle, better end product. It’s a no brainer.” The MICROFLEX filter utilizes established membrane cartridge filtration technology combined with state-of-

the-art software to automatically filter your wines in a very gentle, low pressure, oxygen-free, closed system with a single Diemme Micro Flex Filter pass through 1 micron absolute cartridges. Let me say that another way, “Bottle-ready wine in one-pass filtration!” As a bonus, there are also No perceptible changes to the wine’s organoleptic qualities immediately after filtration. This is unheard of in conventional filtration. To personally witness this new technology in action at the next testing site, please contact Andy Shillington at CellarTek (ashillington@cellartek.com or 250-878-0776) and he’ll be more than happy to demonstrate the benefits of this exciting new filter technology!

news from munckhof equipment While at the show in Minnesota we had the opportunity to talk with some customers and wine media writers and we discovered that our pre-pruning equipment is now in use in a Wisconsin study to determine the effects of pre-pruning on the cold climate varieties Frontenac, Frontenac Gris, Marquette and LaCrescent. We talked with owner David Danzinger of Danzinger wines, which has secured a USDA grant to conduct the study and he seemed to be pleased with the results so far. He commented that he and his crew custom mounted the machine on the 3pt hitch, due to concerns about the size of the tractor he was using. It didn’t seem to affect the quality of the job, he even stated that one pleasant surprise was the tractor stayed cleaner as all the debris was thrown clear out the back!

Results will be tracked in over the coming year with yield and quality being tracked against time and cost savings. You can read more about the study on the Midwest Wine Press at www. midwestwinepress. com/2013/01/11/ mechanical-grapepruning Pre-Pruner

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Supplier News

noma Corc Announces first zero carbon footprint closure First Plant-Based Closure Will Be Ready For 2014 Bottling Season Nomacorc, the leading producer of alternative wine closures, has introduced the world’s first zero carbon footprint wine closure, Select® Bio. Made with plant-based polymers derived from sugar cane, Select Bio was first presented to the industry during the Intervitis Interfructa trade show April 24 – 27, 2013 in the Stuttgart Messe in Germany. Engineered to be the best closure solution for sustainable wineries and their wines, Select Bio closures will be 100 percent recyclable and made using renewable, plant-based materials. The closures will mirror Nomacorc’s current Select® Series portfolio in oxygen management performance. As with other Select Series products, Select Bio will minimize the environmental impact of wines by preventing spoilage and waste from wine faults such as oxidation and reduction. By consistently delivering the right amount of oxygen into the bottle using a carbon neutral closure, sustainabilityminded wineries will now be able to deliver their wines just as they intend. “Select Bio is an exciting milestone in Nomacorc’s long history of industry-leading research and innovation,” said Lars von Kantzow, president & CEO, Nomacorc LLC. “Not only are we able to serve wineries seeking a more reliable and sustainable packaging solution, but we can reduce our overall corporate carbon footprint while taking an important first step towards our goal of minimizing the use of fossil-based energy and materials across our entire range of “Select Bio is an exciting milestone in Nomacorc’s long history of industry-leading research and innovation,” said Lars von Kantzow, president & CEO, Nomacorc LLC. “Not only are we able to serve wineries seeking a more reliable and sustainable packaging

solution, but we can reduce our overall corporate carbon footprint while taking an important first step towards our goal of minimizing the use of fossil-based energy and materials across our entire range of products.” Select Bio is especially well-suited for organic and biodynamic wines that minimize the use of sulfites for wine preservation. Through Nomacorc’s patented co-extrusion process, Select Bio has the ability to control oxygen ingress, reducing a wine’s susceptibility to spoilage due to oxygen mismanagement while improving postbottle aging and bottle-to-bottle consistency. Select Bio’s plant-based polymers are derived from sugar cane, which, due to its renewable nature, contributes a negative carbon footprint value. Incorporating these polymers into Nomacorc’s formulation fully offsets positive emissions originating from conventional raw materials in the product, resulting in closures having a zero carbon footprint. “The use of plant-based materials provides extra benefits to the already strong performance of Nomacorc closures in end-of-life disposal scenarios, including recycling and incineration,” said Dr. Olav Aagaard, Nomacorc’s principal scientist. “So when evaluating a closure’s carbon footprint, its susceptibility to spoiling wine and the environmental impact of end-of-life disposal, Select Bio is clearly the only solution that fully addresses all three aspects of the closure’s life cycle.” The Select Bio Series will include three distinct products, each with different oxygen ingress levels. It will have the same look and feel as the traditional Select Series including serrated ends, chamfered edges, custom side printing and optional custom end-printing. The Select Bio Series will be offered for bottling trials with a select group of Nomacorc customers. The full portfolio will be commercially available for the 2014 bottling season.

MORI VINES INC. - Rousanne - Malbec - Baco Noir - Sauvignon Blanc - Merlot - Cabernet Franc - Seyval Blanc - Cabernet Sauvignon - Muscat Ottonel - Shiraz - Orange Muscat - Castel - Syrah - Petite Verdot - Chambourcin - Sovereign Coronation - Pinot Blanc - Chardonnay - Vidal - Pinot Gris - Foch - Viognier - Pinot Noir - Gamay - Riesling - Gewürztraminer NOTE: Many different clones are available. Rootstocks available are Riparia, 101-14, SO4 and 3309 Contact: MORI VINES INC. R.R. #3, 1912 Concession 4, Niagara-on-the-Lake, Ontario LOS 1JO Phone: (905) 468-0822 Fax: (905) 468-0344 e-mail: morivines@sympatico.ca www.morivines.com

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People/Staff Changes OK Crush Pad welcomes matt dumayne as new associate winemaker Originally from New Zealand, with 25 vintages under his belt crafting award-winning wine in Central Otago, California, Australia, and Oregon, Matt Dumayne brings unparalleled insight and passion to the OCP cellar. Matt works with head winemaker Michael Bartier and the cellar team. Matt’s past experience in New Zealand included the creation of custom-crush wines for others, as well as his own label, De Vine Wines, which captured critical acclaim, including 96 points and five star reviews from MW Bob Campbell at Gourmet Wine Traveller. Taking advantage of opposing hemisphere’s seasons, Matt has also worked many vintages in Oregon and BC.

Adding to this, Matt has experience converting a vineyard to organic and biodynamic farming practices, experience that mirrors the agricultural direction of Okanagan Crush Pad. When not making wine, Matt can be found with his wife Chelsea and their daughter, who reside with him in Summerland.

Matt Dumayne

UNIVERSAL PACKAGING ANNOUNCES SENIOR MANAGEMENT CHANGES John Norton, Chairman of the Universal Packaging Group of Companies, announced today that President Mac McLellan will be retiring on December 31, 2013. His successor, Steve Pelkey, is currently Universal Packaging’s Vice President of Sales and Marketing. Effective immediately, Steve will become the C.E.O. of the Universal Packaging Group of Companies and he assumes the role of President at the end of the year. Chairman Norton states “Mac has built this company over the past 24 years. He has done an incredible job. He built it from a small start-up company to what it is today, the industry leader in decorating bottles to the Wine, Spirit and Beer industries. The Board is forever in his debt and we sincerely appreciate everything he has done for Universal Packaging during his tenure. Mac will be missed but not forgotten.” Norton goes on to say “Steve’s succession to the C.E.O. position was carefully planned. He joined Universal

Packaging over 5-years ago. During this period, he has done an exceptional job leading his team, all of whom helped significantly grow our top and bottom lines. Steve’s strong educational and leadership background combined with his previous General Management experience makes him an excellent successor to Mac.” Universal Packaging is a family owned business that has been operating since 1985. The company is credited with creating the concept of screen printing bottles for the Wine industry. Today it is the only bottle decorator and glass distributor in North America. Universal Packaging has customers in 26 U.S. states and 6 Canadian provinces. It also has the most experienced glass decorating employees in the business. Universal Packaging’s teammates pride themselves on delivering high-quality products and services to all of its customers, all of the time.

willem semmelink VIneyard manager at summerhill Born in Toronto, Willem has lived in South Africa since childhood. A graduate of the University of Cape Town, he has made a career in organic and biodynamic agriculture, notably as the orchardist, agroforestry developer, houseparent and financial manager of a Camphill Community (a biodynamic farm and assisted living community for special-needs adults), and as the farm manager of a 189 hectare poly-cultural organic farm in the heart of South Africa’s premier wine growing region. Willem has had the opportunity to work as a Sustainable Business Planner, a Rural Development Project Leader, and as an Agricultural Consultant helping to develop sustainable and organic vineyard management regimes in South Africa.

and promote low input farming. This region is ripe for development into a truly sustainable industry, and I wanted to be here to make a contribution to that development.” Willem brings to Summerhill a deep commitment to community and ecology, and a desire to continually improve Summerhill’s vineyards for optimal quality and sustainability.

Willem Semmelink

In his own words, Willem came to Canada in 2008 “… to learn northern hemisphere sustainable agriculture techniques www.cdngrapes2wine.com

Canadian Grapes to Wine • Summer 2013 Page 31


People/Staff Changes

Big Moves for bc wine marketing personnel While Coletta & Associates closes its doors, Town Hall opens. After more than 25 years, Christine Coletta is closing her wine industry consulting business to focus her time on her winery, Okanagan Crush Pad. You’d think with her experience in the wine industry, Coletta would have more sense than to even start a vineyard and a winery. As well as being instrumental in the development of the BC wine industry through the VQA program, Christine has, for the past 16 years, worked on the marketing and branding of dozens of wineries and wine regions. In a move that further evolves the consulting business that Coletta and her team so strongly established, two of the key team members Coletta has worked with on all of her major branding projects will pick up the torch continue the legacy of developing the BC wine industry, under a new company, Town Hall.

Froese has arguably put many of Canada’s now top wineries on the map, having overseen media relations for what is now Constellation Canada for 10 years, making household names of Sumac Ridge, Inniskillin, JacksonTriggs, and Osoyoos Larose, among others. Froese has garnered coverage for her clients in every major newspaper, magazine, and television network across Canada, including CTV, Global TV, CBC TV, Maclean’s, Tidings, Vines, the Globe and Mail, and regional publications, including the Vancouver Sun, the Province, BC Business, CBC, the Georgia Straight, and Vancouver magazine. The other key role Froese held has been as project manager for brand campaigns that launched or successfully re-vitalized wineries including Road 13, Hester Creek, Tinhorn Creek, Summerhill Pyramid Winery and many more. Froese will be assisted by Sujinder Juneja, who has been involved in the Wine & Spirits industry for more than 10 years, most recently as a media specialist at Coletta & Associates, and with select clients that include the BC Hospitality Foundation, Memphis Blues BBQ House, and the BC Beer Awards.

Leeann Froese and Andrew von Rosen are the co-founders of Town Hall Brands. From left, the Town Hall team: Sujinder Juneja, Leeann Froese, Andrew von Rosen and Felicia Fraser (Not pictured: Lindsey Ataya) The spouses, who each held key roles on the Coletta team (Froese as a partner) Heading the design team, Andrew von Rosen has vast draw from almost 20 years of direct experience defining, decorating, and experience in graphic design and production and has been awarded for his work promoting world-class brands. As of June, Town Hall, a full-service and over the years. With his design team that includes Felicia Fraser and Lindsey highly-qualified communications team, is now open for business. Ataya, they have created thousands of industry-specific pieces including logos, posters, brochures, and advertising features, most recently for Haywire Winery, The concept of the ‘town hall’ - the place people gather to exchange and Summerhill, Mt. Boucherie, Cellar Hand, and countless others, not to mention share valuable ideas and information - forms its foundation. In addition a myriad of wine labels they have created. to being a partner, Froese has been the marketing director of Coletta & Associates, working with the company since 1997 under the guidance and Froese and von Rosen believe that what sets Town Hall Brands apart, especially mentorship of Christine Coletta, owner of Coletta Consultants and Coletta in this era of crowd-sourced information and real-time customer feedback, is & Associates. Coletta will now shutter both companies in order to focus their uniquely collaborative approach when working with clients, partners, on Summerland’s Okanagan Crush Pad Winery (OCP), which she co-owns and the media. Their reputations are stellar, creativity and enthusiasm are with husband Steve Lornie, while Froese and von Rosen will seamlessly infectious, and their strong national network of media contacts and proven trackcontinue working with OCP and many of the Coletta & Associates existing record of success suggests they will deliver meaningful results for their clients. client base. More at townhallbrands.com

Grape growers of ontario re-elect bill george as board chair Grape Growers of Ontario CEO Debbie Zimmerman announced in Bill George was re-elected as the Board Chair for 2013-2014. Bill is the longest serving member on the Grape Growers of Ontario Board of Directors. Bill resides in the Town of Lincoln with his wife Leslieann and their two children. He farms an 80-acre wine grape operation in Beamsville where his family has been growing grapes for over 100 years. “I am appreciative of the trust the members have shown in re-electing the Board of Directors. 2013 will be focused on developing market share and new markets. It is important for the Grape Growers of Ontario to work with our industry partners to achieve real market growth,” comments Bill George. Matthias Oppenlaender has been re-elected Vice Chair of the Grape Growers of Ontario Board and a Director for three years. Oppenlaender lives in Niagara on the Lake where he farms 400 acres of wine grapes. Bill Schenck of St. Catharines and Kevin Watson of Niagara-on-the-Lake were also elected to the Board of Directors. Trevor Falk of Niagara-onthe-Lake, Brock Puddicombe of Winona, Jim Morrison of Jordan, Steve Pohorly of Niagara-on-the-Lake, Debra Marshall of Prince Edward County, and Bill Jansenberger of Southwestern Ontario, are all mid-way through their three-year terms as Directors.

Page 30 Canadian Grapes to Wine • Summer 2013

The Grape Growers of Ontario is the official organization that represents almost 500 actively producing growers on 17,000 acres in the province’s three viticulture areas: Niagara Peninsula, Lake Erie North Shore and Prince Edward County. GRAPE GROWERS OF ONTARIO BOARD OF DIRECTORS 2013 - 2014 District 1 (Niagara-on-the-Lake, Niagara Falls) Matthias Oppenlander, Vice Chair Kevin Watson, Director at Large Trevor Falk Steve Pohorly District 2 (St Catharines, Pelham, Thorold, Niagara South) Bill Schenck District 3 (Town of Lincoln) Bill George, Chair Jim Morrison District 4 (Grimsby, West Lincoln, Hamilton, Wellington) Brock Puddicombe District 5 (Brant, Chatham-Kent, Essex, Elgin, Haldimand, Lambton, Middlesex, Norfolk, Oxford) Bill Jansenberger District 6 (Prince Edward County and all other geographic areas) Debra Marshall www.cdngrapes2wine.com


Supplier News TricorBraun & Verallia North America Recognize B.C. Wineries For Their Commitment To Environmentally Focused Packaging In recognition of Earth Day, which was April 22, wineries located in British Columbia with a demonstrated environmental commitment have been recognized by TricorBraun WinePak, North America’s largest supplier of wine bottles, and Verallia North America, the leading U.S. manufacturer of wine bottles. The recognition is for their commitment to sustainable packaging by using the Verallia North America ECO Series™ bottles and involves two components. Tags attached to wine bottle necks identify those wineries using the ECO Series bottles. The tag provides a QR code website link that explains to consumers how wineries reduced their carbon footprints by bottling their wines in the ECO Series bottles. The webpage also lists the names of the wineries and provides a link to those wineries’ websites. Wine merchants and other wineries throughout the western wine producing states will receive information about the sustainability efforts embraced by many of British Columbia’s wineries. “This program demonstrates to their customers the importance these wineries place in both the quality of their products as well as in the environment’s protection.” Heidi Cook, TricorBraun WinePak sales manager said.

The recognition program was launched April 1 and will continue through the summer months. TricorBraun WinePak (www. TricorBraunWinePak.com), with annual sales in excess of $120 million, is North America’s largest supplier of wine packaging. The firm has offices in Northern and Southern California, Oregon, Washington and British Columbia. It has been serving the wine industry since 1982. Verallia North America (www. us.verallia.com), one of the leading glass container manufacturers in the United States, designs, develops and produces glass bottles and jars for the wine, beer, beverage, spirits and food containers markets. With approximately 4,400 employees, Verallia North America operates 13 plants, a state-of-the-art machine shop and a distribution center. In 2012, Verallia North America manufactured approximately 9 billion glass bottles and jars and had sales of $1.6 billion.

earth day program winners

3 Mile Estate Winery 40 Knots Estate Winery & Vineyard 8th Generation Winery Adega Winery Arrowleaf Winery Baille Grohman Winery Black Widow Winery Blasted Church Vineyards Blue Grouse Vineyards Burrowing Owl Winery Calliope Wines Cana Vines Winery Cedar Creek Celistia Winery Chase & Warren Winery Church & State Winery Clos de Soleil Winery Domaine de Chaberton Fairview Cellars Forbidden Fruit Winery Fort Berens Winery Garry Oaks Winery

Gehringer Brothers Winery Gold Hill Winery Gray Monk Heaven’s Gate Winery Hester Creek Hester Creek Winery Hidden Chapel Winery Hillside Winery Joie Winery Kettle Valley Winery Kraze Legs Winery La Stella Winery Lake Breeze Winery Le Vieux Pin Winery Little Straw Vineyards Meyer Family Winery Mission Hill Winery Mistaken Identity Winery Moon Curser Vineyards Mt. Lehman Winery Muse Winery Oliver Twist Estate Winery

Orofino Vineyards Orofino Winery Platinum Bench Vineyards Poplar Grove Winery Quails Gate Robin Ridge Winery Ruby Blues Winery Rustic Roots Winery Sagebush Winery Saturna Winery Silk Scarf Winery Stag’s Hollow Winery Sunnybrae Winery Terravista Vineyards The View Winery Thornhaven Winery Tinhorn Creek Vineyards Topshelf Winery Upper Bench Winery Wellbrook Winery Wild Goose Winery

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Education NEW NATIONAL NETWORK TO ADDRESS GRAPE AND WINE RESEARCH PRIORITIES Three

of

Canada’s

leading

grape

and

wine

research

centers

have now partnered to create the Canadian Grape and Wine Research Network – a national group dedicated to addressing the research priorities of the industry. The coast-to-coast network is a collaboration between Agriculture and AgriFood Canada’s Pacific Agri-Food Research Centre (PARC), Brock University’s Cool Climate Oenology and Viticulture Institute (CCOVI) and the Atlantic Wine Institute at Acadia University. The benefits of this breakthrough will reach deeply into the national fabric, because the respective network members are themselves members of key regional and international research alliances.

“The regional knowledge and international connections each partner brings to the table will allow us to address the Canadian grape and wine industry’s research needs,” said CCOVI director Debbie Inglis. “Using a multidisciplinary approach to research, and ensuring that those findings are shared with grape growers, winemakers and winery owners across the country will help strengthen the industry and increase the economic impact of our sector on the Canadian economy.” Brock leads the Ontario Grapevine and Wine Research Network, which includes the University of Guelph, Niagara College, and the Vineland Research and Innovation Centre with representation from the Grape Growers of Ontario, the Wine Council of Ontario, the Winery and Grower Alliance of Ontario and the Ontario Grape and Wine Research Inc. Acadia leads the Atlantic Wine Institute, which includes Nova Scotia Community College, Saint Mary’s University, Holland College, Collége communautaire d NouveauBrunswick, the Winery Association of Nova Scotia, and the Grape Growers Association of Nova Scotia.

The network will facilitate knowledge exchange and joint projects in the areas of viticulture, oenology, business, culture and policy that address the needs of the Canadian grape and wine industry. “I’m excited to work with the Cool Climate Oenology and Viticulture Institute (CCOVI) at Brock University,” said Donna Sears, Director of the Atlantic Wine Institute. “This new memorandum of understanding (MOU) between the Atlantic Wine Institute and CCOVI extends the spirit of collaboration and connection that is at the heart of the Atlantic Wine Institute’s purpose. The agreement will allow us to foster relationships with — and create connections among — researchers in one of Canada’s other premiere wine regions, opening opportunities for all of our partner institutions.” One area where research collaboration is already underway is the team looking at factors that impact grapevine cold hardiness. Protecting grapevines from winter injury is a national issue that affects every grape growing region in Canada. CCOVI has already hosted workshops for industry partners in Nova Scotia, Quebec and Ontario talking about best practices for cold hardiness and how to manage cold injury. The research team is also looking to see how cold hardiness dynamics will be impacted by climate change.

Here Debbie Inglis, CCOVI director, discusses a project on appassimento style wines with research partners Jamie Slingerland from Pillitteri Estates Winery and Jim van der Zalm from European Planters. Research results from regional projects like this will be shared nationally through network partners.

PARC and the University of British Columbia are the principle research collaborators with the BC Wine Grape Council. PARC also brings international collaborators to the network through their link with Giesenheim Research Center in Germany; irrigation and grapevine disease research with the University of California, Davis; and membership in a cold hardiness research network with CCOVI, the United States Department of Agriculture’s Agriculture Research Service and several American universities.

“Our alliance with CCOVI opened a channel for research collaboration and technology transfer with Ontario,” said Pat Bowen, a research scientist at PARC. “It enabled important joint research on improving vine cold hardiness, and through CCOVI’s lecture series provided a conduit for our researchers to share findings with Ontario and the rest of Canada. We are excited that CCOVI has extended the network to include Atlantic Canada and look forward to working with its researchers and producers.”

This network comes at a time where the national grape and wine industry is continuing to grow. According to a 2013 economic impact analysis from the Canadian Vintners Association, the industry contributes $6.8 billion a year to the Canadian economy and provides more than 31,000 jobs. The basis of this new partnership is MOU signed between PARC and Brock and more recently a MOU signed between Brock and Acadia.

Triggs International Premium vinifera lecture series returns this summer Brock University’s Cool Climate Oenology and Viticulture Institute (CCOVI) is pleased to announce that the 2013 Triggs International Premium Vinifera Lecture Series will once again be held in both Ontario and British Columbia delivering on CCOVI’s mandate to provide national programs. The lecture series presents a leading international viticulture speaker to lend their expertise through vineyard visits and a public lecture on key issues relating to premium vinifera grape production. The 2013 featured speaker is viticulturist Kobus Hunter, Department of Viticulture and Oenology at Stellenbosch University in South Africa. Hunter’s research focus is on establishing practical applicable principles that increase grape and wine quality. The topic of this years lecture is: Ways to Manage Quality under Erratic Environmental Conditions. CCOVI is pleased to welcome a new sponsor for this year’s lectures, BASF Canada Inc., who is helping ensure this lecture can remain a national affair. Page 28 Canadian Grapes to Wine • Summer 2013

Both the Ontario and British Columbia lectures will take place over two-days with the first being vineyard visits and a technical workshop with the second day featuring the public lecture. All events are free, but an RSVP is required. Ontario Wednesday, Aug. 21, 2013: Vineyard visits and technical workshop Thursday, Aug. 22, 2013: Public lecture

Speaker Viticulturist Kobus Hunter, Dept. of Viticulture & Oenology at Stellenbosch University, South Africa

To RSVP for the vineyard visits or public lecture email: ccovi@brocku.ca British Columbia Tuesday, Aug. 27, 2013: Vineyard visits and technical workshop Wednesday, Aug. 28, 2013: Public lecture To RSVP for the vineyard visits and public lecture email: bcwgc@telus.net More details on the event can be found at brocku.ca/ccovi/outreach-services www.cdngrapes2wine.com


Are You Applying the Proper Water Volume with your Herbicides? Kristen Callow, OMAF and MRA Weed Management Program Lead – Horticulture

Agronomy Kristen Callows,

Why is water volume so important when you apply herbicides? Inadequate spray volumes will result in poor coverage of the herbicide on the weed surface. Herbicide coverage is critical because the spray solution acts as the carrier of the herbicide active ingredients that are absorbed by the weeds causing death. Weed density, environmental conditions, and growth stage of the weeds should be determined prior to OMAFRA Weed Management Program Lead - Horticulture making applications.

Kristen has a master’s degree inHigher weed from University of Manitoba and an waterscience volumes are usuallythe required for contact herbicides (Group 6, 10, 14, 22 honors bachelor of science degree from the when: University of Guelph. As OMAFRA’s Weed and 27), particularly Management Program Lead for Horticulture crops, she leads the development, coordination - spraying a pre-seed burn off when weeds are small and implementation of various programs related to weed management issues in Ontario. - spraying through a dense canopy She is a past recipient of the Deputy- Minister’s her when workweed as leaves a provincial spraying laterAward in the day for or evening may not be vegetable as horizontal intercept the herbicide specialist. She previously spent several to years with the Ontario Greenhouse Vegetable Growers and in the private sector coordinating research trials in support of new product registrations. Follow label directions to maximize herbicide performance. Table 1. Water Volumes for the Best Herbicide Results Herbicide Site of Action Herbicide Group Example

Are You Applying the Proper Water Volume with your Herbicides? Inadequate spray volumes will result in poor coverage of the herbicide on the weed surface. Herbicide coverage is critical because the spray solution acts as the carrier of the herbicide active ingredients that are absorbed by the weeds causing death. Weed density, environmental conditions, and growth stage of the weeds should be determined prior to making applications. Higher water volumes are usually required for contact herbicides (Group 6, 10, 14, 22 and 27), particularly when: • Spraying a pre-seed burn off when weeds are small. • Spraying through a dense canopy. • Spraying later in the day or evening when weed leaves may not be as Horizontal to intercept the herbicide. • Follow label directions to maximize herbicide performance.

Leafhopper nymph

50 th Parallel Estate Winery

1

Inhibitors of acetyl CoA carboxylase (ACCase):

2

Inhibitors of acetolactate synthase (ALS) and also called acetohydroxyacid synthase (AHAS) Microtubule assembly inhibitors

3

4 5

Synthetic auxins

Water Volume** for Best Results (L/ha)

Assure II, Excel, Poast Ultra, Select, Venture Prism, Pursuit

100 - 300

Water Volume** for Best Results (Imp. gallon/ac) 10.7 – 32.1

100 - 400

10.7 – 42.8

Prowl H2O

200 minimum

21.4

Treflan

100 minimum

10.7

2,4-D, Dicamba, MCPA Princep Nine-T

100 - 650

10.7 – 69.5

Inhibitors of 300 photosynthesis at Sencor, Sinbar 150 - 300 photosystem II, Site A 6 Inhibitors of Basagran 100 - 400 photosynthesis at photosystem II, Site B 7 Inhibitors of Lorox 100 - 600 photosynthesis at photosystem II, Site B photosynthesis at site) (alternate binding photosystem 9 Inhibitors of II, 5-Site B Round-up 50 - 300 (alternate binding site) enolpyruvylshikimimate-3- (glyphosate) 9 Inhibitors of 5Round-up 50 - 300 phosphate synthase enolpyruvylshikimimate-3- (glyphosate) (EPSP) phosphate synthase 10 Inhibitors of carotenoid Ignite 170 - 220 (EPSP) biosynthesis 10 Inhibitors of carotenoid Ignite 170 - 220 13 Diterpene synthesis Command 95 - 375 biosynthesis inhibitor 13 Diterpene synthesis Command 95 - 375 14 Inhibitors of Aim, Chateau, 100 - 500 inhibitor protoporphyrinogen Goal 2XL 14 Inhibitors of Aim, Chateau, 100 - 500 oxidase (Protox) protoporphyrinogen Goal 2XL 15 Conjugation of acetyl coDual II Magnum 150 – 400 oxidase (Protox) enzyme A of acetyl co15 Conjugation Dual II Magnum 150 – 400 20 InhibitsAcell wall synthesis Casoron Non specified enzyme Site A cell wall synthesis 20 Inhibits Casoron Non specified 22 Photo Gramoxone 187 -1100 Site A system I – electron diverters 22 Photo system I – electron Gramoxone 187 -1100 29 Inhibitors of cellulose Alion Minimum 93 diverters biosynthesis 29 Inhibitors of cellulose Alion Minimum 93 biosynthesis *Conversion factor: Multiply gal/ac by 9.35 to get L/ha

32.1 16 – 32.1 10.7 – 42.8 10.7 – 74.9

5.3 – 32.1 5.3 – 32.1

18.2 – 23.5 18.2 – 23.5 10.2 – 40.1 10.2 – 40.1 10.7 – 53.5 10.7 – 53.5

16 – 42.8 16 – 42.8 Non specified Non specified 20 – 117.6 20 – 117.6 Minimum 9.95 Minimum 9.95

*Conversion factor: Multiply gal/ac by 9.35 to get L/ha **Volumes on herbicide labels vary based on crop type, crop growth stage, weed type **Volumes herbicide and weed on growth stagelabels vary based on crop type, crop growth stage, weed type and weed growth stage

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Canadian Grapes to Wine • Summer 2013 Page 27


Agronomy

VINEYARD VEGETATION AS A COMPONENT OF TERROIR Olga Shaposhnikova, Postdoctoral Fellow, Pacific Agri-Food Research Centre, Summerland, BC

The Okanagan and Similkameen valleys in south-central British Columbia are famous for their bright sunshine, fine wines, and stunning landscapes that combine vineyards, orchards and natural lands. In recent decades vineyard expansion has replaced tree fruit orchards, pasture fields and some native natural sites. The variable history, terroir and management of the vineyards impact their ecology, especially interactions between the vines and plants inhabiting the vineyard floor. Most sites suitable for wine grapes are on lowelevation benches originally inhabited with sage grasslands and ponderosa pine open forests. Today remnant patches of these endangered natural ecosystems can be found within agricultural and urban areas. The plant communities in native ecosystems evolved through a process of succession over millennia since the last ice age. The communities are well adapted to natural conditions and remain stable when undisturbed. Development of vineyards generally entails significant landscape alteration including surface leveling, soil fertilisation, irrigation, and nearly complete replacement of native vegetation with non-native cover crop species and invasive weeds. Most cover crops in conventional vineyards are poorly adapted to natural conditions and require significant maintenance and resource additions, particularly water. As they consist of only one or two plant species, their biodiversity is low which increases vine vulnerability to damage by insect pests and diseases.

and their relationships with floor vegetation analyzed. We found that most vineyard floors were inhabited with introduced grasses. Most of the broadleaf flowering plants were also non-native and included legumes (alfalfa and clovers), dandelion, mallow, stork’s bill and Bicknell’s geranium. Many of the floor inhabitants are considered invasive species in BC. Native species were rare, likely because under managed conditions with high resource inputs, native plants compete poorly with introduced species. The vineyards with established native plants were mostly located near unmanaged native sites. The native species included common yarrow, golden aster, pasture sage, and Douglas knotweed (on sandy soils) which can adapt to the altered vineyard conditions and co-exist with vines and other introduced plants.

A native ecosystem bordering vineyards in the Similkameen Valley.

Our research at AAFC-PARC is exploring the influences of vineyard floor ecology on pest predator levels and vine performance. We hypothesized that vineyards incorporating near-natural conditions will acquire ecological stability similar to natural ecosystems. By reducing disturbance and resource inputs, some native species can be re-established which will stabilize vineyard ecology.

Although several of the study vineyards were certified organic, about 90% were managed conventionally with applications of herbicides, insecticides and fungicides. Certain insecticides can exterminate or dramatically reduce populations of beneficial arthropods even if other factors favor the beneficials. Spiders, beneficial thrips, earwigs, predatory beetles such as ladybirds, predatory mites, some species of predatory bugs, and the leafhopper egg parasitoid Anagrus can help to control grapevine pests naturally, but they are vulnerable to some insecticides. As such, none of these beneficial species were found in 40% of vineyard blocks. Only 25% of vineyard blocks had more than one beneficial species and only 6% had three or more.

Most of the vineyard blocks having three or more beneficial species were near or bordering an undeveloped or natural site. They also had extensive floor coverage with flowering broadleaf plants and many had reduced pesticide use, revealing that it was a combination of site selection and management choices that enhanced beneficial species diversity.

50

Beneficial Arthropod Species in Vineyards

40 30 Percent of vineyard 20 blocks 10 0

0 Our goal is to produce high quality fruit while conserving natural and input resources. We have already shown that conserving water increases vineyard temperatures, advances fruit maturation and improves fruit composition. In 2011, we characterized the plant communities and measured vegetation coverage within and surrounding 98 vineyard blocks in the Okanagan and Similkameen valleys. Native plant communities in nearby unmanaged sites were also assessed. Pests and beneficial insect populations were characterized Page 26 Canadian Grapes to Wine • Summer 2013

1 2 Number of species

3+

Vineyard ecosystems are complex and variable. Each vineyard’s unique soil, climate and geography determine which plant communities will flourish and contribute to terroir. vineyard conditions by reducing disturbance Most of Naturalizing the vineyard blocks having three or more bene and inputs will encourage native plant communities to thrive. We believe the wines from such vineyards will better reflect the natural terroirs of the bordering an Similkameen undeveloped or natural site. They also had extensive f Okanagan and valleys.

broadleaf plants and many had reduced pesticide use, revealing tha www.cdngrapes2wine.com

selection and management choices that enhanced beneficial species


Marketing Be Compelling

into 40 Knots as a grape-growing land makes way for the exceptional wines produced by the 40 Knots team, crafted with a strong focus on quality and merit. The wines produced at 40 Knots are as distinct and unique as the site: a combination of the sea, the salty air, the swallows playing in the wind, and the special land that encompasses it all.

Well you do have interesting things to share in your story, and you can share these things to tap in to emotion: why did you start a winery? What was your inspiration and vision? How did you come to where you are now? Tell us about your failures, about your successes. Why should your customers care about you? Answer those questions and you’re on your way to creating a compelling story. Take the reader on your journey. When your story takes people down the path where there is a transformation between the beginning, middle, and the end, it’s a true story.

Haywire

You want your story to be compelling. If your story does not reveal something personal and unknown, it’s going to be boring. Don’t bore people, or you will lose them before you have them. You might think “We’re not interesting; we are just making wine.”

Examples of Winery Brand Stories Road 13

When Pam and Mick Luckhurst purchased their winery in 2003, it came with a vineyard, a winery and a name: Golden Mile Cellars. Since then, the Luckhursts and their winemaking team have realized the worth that the name “Golden Mile” has to the wineries located along Highway 97, between Fairview and Road 18. This, combined with the often-asked question “when are you changing the name of the winery?” from longstanding winery neighbour, Walter Gehringer, led the winery to do just that. The winery team proudly announced their new name: Road 13 Vineyards. Road 13 Vineyards is named for the location of the winery with two of its vineyard sites, the Home and the Castle. The Luckhursts’ land was first cultivated in the early 1920s, when BC premier ‘Honest’ John Oliver turned the area into rich farmland by constructing an irrigation canal from Okanagan Falls. Wine lovers can expect the same outstanding wines that they have come to love from Golden Mile Cellars, but the name change signals the beginning of a new era at the winery: the approach has been focused to spreading the word on the winery’s creation of terroir-driven wines. The change also provided an opportunity to give the name “Golden Mile” back to the wine industry.

“It’s All About The Dirt”

Mick’s favourite saying provides a natural promotional phrase for Road 13’s approach. The new mantra highlights the fact that the wines start in the vineyard where Mick does his best work. It’s about the land, the site, the soil profile, the viticulture practices and the desire to grow the best grapes possible. As winemaker Michael Bartier notes, “These wines are the Okanagan in a glass.”

40 Knots

There is something special in the air at the 40 Knots winery. With the Strait of Georgia and the ferry to Powell River just a stone’s throw away, the 24acre Comox Valley vineyard echoes with the sounds of sea lions barking on the rocky shore, and is home to grapevines whose leaves sway in the breeze. The magic of the 40 Knots vineyard site and surroundings comes from much more than the ocean atmosphere alone. Enchantment emerges from the wildlife: diving swallows, migrating swans, calling gulls, and eagles high in the wind – all watching as the vineyard unfolds. Birds typically are not a grape grower’s friend, yet at 40 Knots, the winery “farms around them.” In return, the eagles are happy to live side-by-side with the grapes and use vineyard cuttings for their nests. Swallows, prominent in the vineyard, were symbolically seen to carry a message of hope and good luck, representing a celebration of homecoming for sailors as they near land. How fitting that the seaside vineyard sky is dotted with swallows who dive and play in the air overhead, making the vineyard their home. The marine air, which has been known to produce the odd storm force wind, gives way to the winery name 40 Knots. The exceptional effort that is put www.cdngrapes2wine.com

It’s one thing to go haywire and another to lose your mind completely – which must have happened to us as we now own our own vineyard and are building a winery. We chose the “haywire” adjective because from a marketing standpoint it doesn’t make sense to name your winery “Out Of Our Minds.” But there were moments where you could have bottled our doubts and gotten tipsy off our combined anxieties. We bought the Old Baker Place , and once we enlisted the help of the locals whose farming wisdom we gleaned and whose wheels we greased with the odd round of drinks at The Perch (the local watering hole fondly refer to as the office) the vineyard slowly took shape. Wine guy David Scholefield was our main inspiration, Jack our saged farmer, Theo and his crew our muscle and Garr our Hitachi EX200 “landscaper”. Gord, our Summerland apple-growing neighbour, just liked to roll up on his quad from time to time to put in his two cents worth. Between them, our city friends who we kept lubricated with duck confit and bubble, and the younger set Alison, Steve Jr., Paul and Rochelle, we turned an old orchard with fruit that not even the lurking deer would eat into a lush vineyard. A far cry from the barren snow-covered ten acres we first saw in mid-winter that looked as ominous and treacherous as the choppy gray waters of Lake Okanagan it overlooks. It was all blood, sweat and tears with a little tendonitis and heat stroke for good measure as Mother Nature, government red tape and the bankers were relentless in trying to dissuade us from our adventure. But what doesn’t kill you just makes you stronger. Suffice to say we pressed on and bottled our first Pinot Gris. Like proud parents, it’s nice to sit back and enjoy the fruits of our labour.

It’s just amazing that after all the second-guessing and conflicting advice from just about everybody, Steve and I are still standing. Lucky I didn’t take my own advice, culled from years in the wine marketing biz that taught me, never plant a vineyard, never make wine and never build a winery, all of which I’m now guilty of doing. Or at least two of those projects are finished. The third is in the works as Steve, with plans in hand and tool belt strapped on is ready to move us from our humble garage setting to a permanent winery. It will be a modest, functional winery tucked into the hillside, orchards on one side, vineyards on the other and a surrounding landscape of Ponderosa Pines, white birch, bunchgrass and sage brush, some of the elements we think you’ll taste in our Pinot Gris. We have built a nature trail too, meandering through the forest left on the hillside above the vineyard, where we go to sit and give our heads a shake over a glass of wine and reminisce with the deer. But no wine for the deer. It just makes them crazy. Haywire you might say.

Crafting your brand story allows you to share with your consumer exactly who you want to be, so that they can know how they are supposed to remember you. You break through all of the information constantly coming at them by giving them your authentic story with something to remember. Loyalty comes from brand authenticity and user experience. Some may argue that novelty brands that are not tied to land may become commercially successful. It is true, that in some cursory ways marketing gimmicks and advertising can create temporary sales increases, but this doesn’t typically create long lasting fans and has been shown to be unsustainable. The lack of authenticity is felt and the brand support dies. Building a brand story takes effort. But focus on developing a clear, consistent and compelling narrative that helps customers understand your values and your value to them. Next time, I will go over how and where to incorporate your brand story. Now go forth and write! Canadian Grapes to Wine • Summer 2013 Page 25


Marketing Leeanne Froese

Leeann Froese is a consultant based in Vancouver, BC who does strategic marketing and communications via her company, Town Hall. Outside of work and wine, Leeann is a Cub Scout leader & Les Dames d’Escoffier member, and she is into birding, kids & community. See more on Leeann’s work on townhallbrands.com or follow on Twitter @townhallbrands

BUILD YOUR BRAND Differentiation and Your Brand Story By now the dust should be off tasting room counters, and everyone’s walking shoes should be broken in, due to all the tastings, shows, and events… ‘tis the season! It’s a beautiful sunny day as I write this, and I hope that as you read this the weather is fair, the grapes are on their way, and patios are full. I was happy to see a large handful of grape-growing readers of Canadian Grapes to Wine at the BC Grape Growers’ AGM this past spring. I had the pleasure of talking (in a very top line way) about branding considerations wineries need to keep in mind when they start out. I am happy to carry on that conversation here – expanding on the last two issues of the magazine in which this column kicked off tips and tactics to build your brand. This column, over time, will aim to take a logical progression from the development of your branding, from creating it, to launching it, to strategies to keep your brand alive. For the past 15-ish years I have had the pleasure of working with companies (mostly wineries) to help them develop a better understanding of who they are, who it is they serve, and what it is that brings the two together. In the last issue I wrote about the importance of defining what is unique about your winery or business, so you can differentiate yourself, and develop your winery’s brand story. To review, what we seek is the thing that makes you stand out from the herd, and attract customers. I challenged you, dear readers, to take a look at your business and see if you have uncovered and exploited your point of difference. From your point of difference, out flows the brand story that is only yours. Your story is the foundation of your brand and a strategy for future growth. If you don’t have a story, then you are just another product or service. Generic. Substitutable. With no story you have no way to differentiate your brand or your business. Creating your brand story is not merely about making up a tale so you can stand out and be noticed. And a brand story is not a just a tagline pasted on a billboard to just grab people’s attention (taglines are for a different article). Your story, including your unique offering, can set you apart, keep you alive in your customers’ minds, and stir up emotion. This is key. Emotion evokes desire, and desire leads to action - in other words, the move to visit and buy. Creating your brand story is about developing something that people care about and want to buy into. Brand stories are what propel awareness, consideration, trial and purchase. They also ensure the repetition of this process, and this leads to your growth and profitability. This is what makes brand stories so important: far from being decoration and fluff, they are key business drivers. And the more coherent and compelling your brand story, the more it will power the success of your business. Understanding what matters to you, and why you matter to your customers, are the foundations on which you’ll build a compelling brand story. Boiled down to its essence, a compelling brand story communicates two Page 24 Canadian Grapes to Wine • Summer 2013

main ideas: what does your brand stand for, and what is in it for the buyer?

What does your brand stand for?

What your brand stands for, or its values, is what helps explain what your winery is all about, what matters to the business, or you as the business owner. Like any discussion about values, it helps potential customers understand what you are about. The emotional resonance and action is that the things that matter to the customer also matter to you, and then they become attracted to you. Make your values clear throughout your brand story and you can expect to draw in customers who value the same things you do. A value alignment can offer a customer an emotional connection to your winery, and emotional relationships tend to be much stronger than logical relationships. It has been shown that customers grant more loyalty and leniency to brands that they hold a personal relationship with.

“What’s in it for me?”

This is what your customer, or potential customer, wants to know. No matter how well your winery aligns with potential customers on your core values, they still want to know how they benefit directly from supporting you. It would be rare for someone to choose your wines even if you have some shared values, if buying from you doesn’t also benefit them in some way. So far we’ve outlined that your brand story will talk about your values, what you stand for, as well as your value to your customers. As the story is told, you need to also focus on making your story clear, consistent and compelling.

Be Clear

Make sure your story is understandable, lucid, straightforward, and, as much as possible, distinctive when compared to your competition. Try not to make your story vague or complicated. You can write it in first person or third person, it is your choice, and this choice should reflect the values of how your brand would sound.

Be Consistent

Once you’ve got your clear message, you need to ensure you tell that story consistently across all channels. Your brand won’t tell an effective story if you’re continually changing your tune. This is not to say that you need to say the exact same thing to every possible customer type, but you want to ensure there’s harmony among the various components of your story. For example, a winery may tell travelling visitors about its patio and onsite restaurant, while telling locals about the space for meetings and complimentary WiFi. In each case, the winery is telling its customers how they anticipate what the customers need, and how those visitors will benefit, but the exact same thing is not said in each case. www.cdngrapes2wine.com


george & mary jane smith George and Mary Jane Smith have been operating Smith & Wilson Estate Wines in Blenheim, just south of Chatham on Lake Erie’s north shore, for the last six years. A third generation farmer, George started growing grapes on his 100-acre farm in 1982. We talked to George to learn about his experience as a grape grower.

They don’t work if there’s a breeze, which we always seem to have. If need be, I can irrigate from an old onsite quarry using my underground irrigation system. That hasn’t happened too often in the 30 years I’ve been growing grapes. I have 43 acres of vinifera, French hybrid and experimental grapes under cultivation.

Question: Why did you decide to grow grapes? Answer: This has always been a fruit growing area. My grandfather grew cherries, pears and peaches. Then my father planted potatoes and tobacco too. I looked to see what alternative crops would grow on this land that would be profitable. With only 100 acres, whatever we grow has to have a pretty big return. I started growing in 1982 for Charal Winery. We had Seyval Blanc in the beginning. That started the ball rolling.

Question: What do you see as challenges for the industry? Answer: One big challenge is our identity. We can’t be afraid to create an Ontario wine profile instead of mimicking other regions. We need to plant what grows well here and leave other varieties to grow where they are best suited. Also, current regulations are a challenge for the industry. Making sure there’s a market for Ontario grapes is big. Making sure there’s a winery out there that wants your grapes. The LCBO can’t be the only point of sale. We have to get the bottle to the consumer. The public is looking for it.

Question: Is your family involved with the business? Answer: It’s basically my wife and me. Our daughter is a nurse, one son is an electrician and our second son is in college. We don’t see them taking over the farm at this point. Like planting grapes, our winery was not a romantic pursuit. It was a business decision. It provides a sales outlet for our grapes. Our first vintage was 2004 with our first year of sales in 2005. We opened the winery retail store in our home to George and Mary Jane Smith test the waters. The winery seemed to be popular so we invested in renovating the old packing house across the laneway. We’re right on #3 Highway (Talbot Trail) so we see a lot of tourist traffic at our site. It’s easy to get to for travelers. We host a variety of corporate and social functions in the Old Warehouse. We went from farming to winemaking to agritourism. The event space brings new faces to our winery. The increased wine sales have kept our grapes in the ground. Along with 2 key staff members, Mary Jane and I share all of the work at Smith & Wilson. In summer, we employ 4 workers through the F.A.R.M.S. program. Question: What are the unique qualities of your vineyards? Answer: Our vineyards are planted in sandy loam soil on a granite and limestone gravel base. That gives us great soil drainage with the farm sloping toward the lake. I don’t have wind machines. www.cdngrapes2wine.com

Question: Are your wines available through the LCBO? Answer: No, not at the moment. Before going there, we have a number of things to consider. We have about 25 vintages on our shelf – both grape and fruit wines. With current regulations, it’s not profitable to sell fruit wine to the LCBO. The taxation structure is different than that for grape wine that is VQA approved. How do we decide what to send to the LCBO? Will those one or two vintages tell the tale we need to drive more people to our onsite store? We also have to consider delivery logistics. Since we are small, we would look to some of the LCBO’s alternate programs which means we would have to deliver to the stores ourselves. There’s little profit left after driving one single case of wine to a store that’s 2 hours away and this is something that could happen. Question: What advice would you give a new grower? Answer: Know where the grapes will go, before you plant them. What varieties are in demand? Can your site produce them? Who will buy them? Are you willing to work with the wineries to tweak your practices to fit their needs? If wineries don’t sell their wine, they don’t need to buy more grapes. Wine sales are the key to a grape grower’s success. Supporting Ontario’s wine industry supports Ontario’s grape growers. Improved market access for Ontario wines is the thing. Canadian Grapes to Wine • Summer 2013 Page 23


Ontario Debbie Zimmerman CEO of the Grape Growers of Ontario The Grape Growers of Ontario represents all processing grape growers in the province and I have had a chance to meet many of them and have come to realize how unique each one is. Grape growers are the kind of men and women who will lose sleep worrying about frost or too much rain because they know how much the weather can affect their crop. They’re the ones willing to take a risk on the varieties of grapes they’ll plant and the ones who protect the land for future generations. And they are the ones who are willing to help out a fellow grower because a successful farm equals a successful grape growing industry. Each grower has a story as rich as the soil they farm. I look forward to introducing you to some of our growers. You’ll get to know who the growers are, where the grapes come from, their growing philosophies and how quality is created in the vineyard. To know a good wine is to know the Grape Grower.

Falk Farms - A Family Tradition You might say that wine runs in Trevor Falk’s blood. In the 1930s, his grandfather was one of the first farmers to recognize the Niagara region’s grape-growing potential, and in the 1970s, his parents became pioneers in Ontario’s wine industry. Even as a boy, Trevor looked forward to the day he’d take over the family operation, and he’s already got plans for the fourth generation of Falks.

coming back for 20 years or more—to be his second family. “I consider them a real extension of my own family,” he says. “They’re such a great complement to our operation.”

And it works. Combining his strong traditional values with an investment in the best technology the world of viticulture has to offer, Trevor has become a major contributor to the premium wines coming out of Ontario over the years. Trevor Falk comes by his passion for viticulture honestly—his Now that he has children of his own, Trevor’s committed to heritage goes back to the very beginnings of Ontario’s wine keeping the family passion alive. His great hope is that his son story, when his grandfather decided to devote part of his and baby daughter will grow up in an Ontario market that’s even thirstier for local wines, and that Falk Farms will continue farmland to nurturing a small vineyard. to flourish for generations to come. When Trevor’s parents took over, they were among the first in the region to grow grapes for what was essentially a nonexistent wine industry. “There was a belief that Vinifera grapes couldn’t be grown in our climate,” he says. A few people, however, “hefted cautiously into some new plantings, just to see if it was possible.” The Falks passed their optimism on to their child. At a young age, Trevor learned to love the vineyards, and planned to one day give his own children that same wonderful experience. There was never any doubt in his mind that he would take over the business, and today, his vineyards now represent one of Ontario’s largest operations, where he, his wife, Stephanie, and his father, grow some of the province’s finest aromatic whites and full-bodied reds in what they consider to be the ideal soil outside Niagara-on-the-Lake. One of Trevor’s greatest joys is realizing the dream his grandparents envisioned so long ago. That’s why he’s committed to maintaining a traditional family business and resisting overcommercialization. “It comes down to staff,” he says. “Without good staff, it’s impossible to balance the two.” It’s no surprise, then, that he considers his local employees and many of his migrant workers—some of whom have been Page 22 Canadian Grapes to Wine • Summer 2013

Trevor Falk and his son tasting the fruit.

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French and

BC Report

American

Kate Crothers

Oak Add Ins

TM

- BCWI Communication Coordinator Representing 132 member wineries throughout the province, the BC Wine Institute (BCWI) supports and markets the Wines of British Columbia (BC VQA), which gives consumers assurance they are buying a wine that is 100% from BC. The BCWI also markets the Wine Regions of British Columbia; delivers quality trade, media and consumer tastings; and acts as the voice of BC’s wine industry by advocating to government on behalf of its members.

BC Wine Touring in A Digital Age As technology has progressed, the wine touring landscape has changed from simple paper maps and road signs as the only guide. Over time, wineries have expanded their reach with detailed websites, Facebook, and Twitter as new avenues to engage their fans and bring them to their cellar doors. Wine tourists have also changed the way they travel, checking in to locationbased social networks and posting photos of their highlights on the road.

NADALIE USA 1401 Tubbs Lane, PO Box 798 Calistoga, CA 94515 Tel: 707.942.9301, Fax: 707-942-5037 WWW.NADALIE.COM

As more travel planning and travel sharing goes online, the British Columbia Wine Institute has created a comprehensive touring website – www.WineBC.com.

The website helps travellers plan their visits to BC wine country with all the details they need. Geared to creating personalized tours for everyone, this tool allows users to both learn and plan for trips to any of BC’s five viticultural areas: Vancouver Island, Gulf Islands, Fraser Valley, Okanagan Valley, and Similkameen Valley. Page 20 Canadian Grapes to Wine • Summer 2013

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BC. Dick found Howard to have profound honour, humility and be a great winemaker and they have known each other ever since both professional and personally. Anyone who has taken Howard’s Wine Appreciation Course at Okanagan College will attest to his modesty.

Phantom Creek Vineyard

One of the long-time (said with the greatest respect) and most iconic grape growers in BC is Richard (Dick) Cleave. Originally from England, after graduating from the Agricultural Institute of England, Dick and his wife Adrienne initially moved to Richmond in 1972 for three months then moved to Grand Forks for two years to grow vegetables. In 1975, Dick was approached by Harry Shannon who operated Shannon Vineyards (which is now Burrowing Owl Vineyards) and was persuaded to move to the Okanagan and manage his vineyard. The grapes grown in the vineyard at the time were the winter hardy hybrid varieties such as Seibel, De Chaunac, Marechal Foch and others. However, in 1976, he met up with visionary Harry McWatters (Sumac Ridge founder) and discussed the possibility of growing vinifera grapes as opposed to the winter hardy hybrids. Dick says a poor vinifera is still better than a good hybrid. That fortuitous meeting could be looked at as the catalyst which transformed the BC wine industry, along with the government sanctioned pullout in 1988-89.

Phantom Creek Vineyards

Dick has a few contracts, helping start-up (for lack of a better term) vineyards, maybe 4-5 vineyard sites. His son, son-in-law and nephew have vineyards that he helps out on (Hidden Terrance Vineyards) which sell their grapes to Peller State and Red Rooster. I asked about hillside vineyard sites as it seems most vineyards are on the valley floor. “If you talked to Randy Ullom at Kendall Jackson in California, he says we could produce some of the best Chardonnay. Randy could not understand why we haven’t planted more hillside vineyards sites.” B.C.’s Iconic grape grower Richard (Dick) Cleave

Just a short distance south from the Phantom Creek vineyard is a small vineyard where Dick originally planted 14 acres of Cabernet Sauvignon, Merlot, Chardonnay and Pinot Noir. Back then, the common perception is that “you can’t grow a Merlot in BC” and Dick was told at the time that he would go broke. He persevered and those plantings provided the impetus to plant further, encompassing the southern Okanagan. Back then, the crop load on the vines was horrendous. It wasn’t Phantom Creek Vines uncommon for vineyards to produce 35-40 lbs per vine. Dick’s philosophy was to reduce the crop so as to produce better fruit. He stuck to his guns, did not get greedy, grew 3-5 pounds per vine and started produce quality fruit. Dick comments...“In 1978, when I managed Pacific Vineyards, they produced 2500 tons of grapes on 480 acres. In 1979, Pacific Vineyards produced 25 tons of grapes. This was a major wake-up call for growers.” Dick met Sandhill executive winemaker Howard Soon in 1980 when Howard started with Calona Wines as Assistant winemaker under Elias Phiniotis, who held probably the first PhD in Enology In www.cdngrapes2wine.com

A lot of people wanted Dick’s grapes in the early years but because of Howard’s integrity, their history and the fact that Dick trusted Howard, the grapes went to Calona and eventually Sandhill Wines.

However, one of the problems of hillside or even hilltop vineyard sites is water. How will you get the water to irrigate the vineyard from the valley floor to the top? The BC grape industry has had a good run at producing quality grapes with a couple of glitches. However, the past few years have had an extreme effect on growing grapes. Cooler and wetter springs and early frost in the fall have been detrimental and have reduced the crop load. On top of that when asked if new growers are planting only what grows on their soil or just planting whatsoever wherever, Dick says...“People should be doing alot more research into what grows. We are growing some 70+ varieties here in BC where we should be concentrating on growing 10-12”.

It is interesting to note that every time we drive down to Osoyoos, there are massive new plantings of grapes were there used to be the traditional BC fruit of cherries, apples, pears etc. The international fruit industry seems to be heavily subsidised especially Europe. However, BC has the least amount of subsidy in the world. “So, if BC cannot compete on the world market for traditional fruit and lose money in producing said fruit, where is the incentive to make a living? Possible more fruit trees will be ripped out and more vines planted. But that brings us back to the overproduction question.” This is Dick’s 38th vintage and he’s not regretted it one bit although some stress has caused him to start smoking again (he’s trying to quit...again). He still considers it a hobby. Canadian Grapes to Wine • Summer 2013 Page 19


British Columbia Jim Martin Jim Martin has been involved with the wine and spirits industry for more than three decades. Originally from Vancouver, he started with the provincial BCLDB and discovered a passion for wine in 1977 when he stumbled across a 1975 Bordeaux. He left the BCLDB for the private sector becoming involved in the opening of Kelowna’s first private specialty wine store, Waterfront Wines. You can reach Jim at 778-484-5656 or email jim@metroliquor.com.

Okanagan grape growers It has been said that to make decent wine you need to start with great grapes. Or another wine saying is “farming for flavours”, while a winery owner in the south Okanagan is fond of saying “it’s all about the dirt”. All of these tag-lines, if you will, point to the people behind the extraordinary wines of BC. And I’m not talking about our great winemakers. I’m talking about the people that toil in the vineyard, the unsung heroes of BC wine; the growers. Some are new to the Okanagan and some are the pioneers that, through trial and error blazed the trail and found what grows and what doesn’t and where it should be planted. Last month I had the chance to chat with three of BC’s more prominent growers; Rod King from King Family Farms and Dick Cleave from Phantom Creek Vineyard. Actually I was assigned the article by Tari DiBello, Canadian Grapes to Wine editor but that’s great. I have a rudimentary knowledge of grape growing but talking to these two really opened my eyes to the vagarities of growing grapes.

our Pinot Gris, which has done exceptionally well. ”Now, the majority of the vineyard is planted to Merlot, Cabernet Franc, Chardonnay and Pinot Gris. They also lease older brother Richard’s adjacent property, which makes up the 40 acres of contiguous land. The trellis system they use is unique in BC in that, while it is a Scott Henry trellis, it is double what a usual Scott Henry system is. However, it is only able to be used in soil that has great drainage retention and is a high vigour site. They talked to Dr. Andy Reynolds at the Summerland Research Center who had just completed an eight year trellis systems trial comparing a tradition VSP (vertical shoot positioning), Umbrella and divided canopy. The double Scott Henry was found to be exceptional for their vineyard site.

However, the trellising is extremely labour intensive. Because of the extra cordons, the divided trellising system and the steep grade of the vineyard site, there is no way of mechanizing it. The advantage is it produces more fruit, 7-8 tons King Vineyards’ Rod and Don King per acre for the reds and 8-9 tons per acre for the whites, about 30% more than a regular Scott Henry and still yields quality fruit. Rod King and his brother Don have been farming grapes on the 40 acre King Family Farms since 1992. Their Grandfather bought the property in One consideration that Rod mentioned is that the balance for production 1929 and their Dad was born in Naramata in 1909 (one of only a few and sales. “Like any industry, I believe we are heading into a period of that can claim that; most are born in Penticton) and was the first white over production.” For 2011, the total production is about 22,000 tons, boy born in Naramata. Discouraged by the BC fruit industry in the late an increase of about 5,000 tons over 2010, “There are now 198 wineries ‘80s, they wanted to diversify their crop and looked at different ways of in BC which is 5% of the market with a further 40 licenses in the wings doing this, from planting Ginseng or raising Alpacas or Ostrich. Rod and waiting for approval, more than likely very small production wineries. Don eventually talked to neighbours down the road, the Irvine’s (the However, with an expected increase of 6,000 tons in 2012 and another Irvine vineyard sits beside Lake Breeze Winery). They convinced Rod and 2,000 in 2013, we could be facing a glut situation much like what the Don to plant vinifera grapes. rest of the world has seen over the past 4-5 years.” My question was, “Could this drive prices down?” The first couple of years were, you might say, a trial as they planted Chardonnay, Merlot and a bit of Pinot Auxerrois. They also planted Rod mentions that “the BC market place is not expanding fast enough some Cabernet and Syrah. However, in a good year the Cabernet and to pick up this slack.” That may suggest that there may be a correction. Syrah grapes and the resulting wine was okay with a comparative wine in Osoyoos being great. But in a poor year, the wine down south was good If Rod was to advise a potential grape grower at this time, it would be and the Naramata wine was terrible. The lessons learn was to plant what to buy BC wine, sit on your deck overlooking Okanagan Lake and enjoy your site can grow. To quote Rod, “we ripped out 6 acres of vines that had the wine. Now is not the time to buy property and get into the market. just come into full production because we knew it would be a struggle but one door closed and another one opened. That’s when we planted

King Family Vineyard

Page 18 Canadian Grapes to Wine • Summer 2013

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Ask Corrie 2. Skin Contact – White Grapes: The technique of skin contact on white grapes with enzymes is done for two reasons. The first is to increase both the quantity of good quality free run juice, as well as the overall quantity of juice per ton of grapes crushed. This second is to extract more varietal aromas from the grape skins and thus increase the aromatic potential of the wine. The grape quality and variety determine whether or not skin contact will be beneficial for wine quality. It is well documented that the use of specialized skin contact enzymes can increase juice yield and aroma extraction in shorter time. It is important to note that there can be significant differences between results obtained with different suppliers’ enzymes. Laffort’s skin contact enzymes such as Lafazym® Press for direct pressing and Lafazym® Extract for cold maceration are concentrated pectinases with many additional wanted side activities and none of the unwanted side activities. One requires a more concentrated pectinase “blend” of enzymes, with additional activities to achieve complete de-pectinization and extraction of valuable compounds when doing skin contact as opposed to doing only settling.

masking effect on wine astringency. However wineries often do not have the capacity or time to allow for long periods on the lees to achieve the best results. The use of glucanase enzymes such as Laffort Extralyse® can speed up the process drastically, as they act directly on the glucan chains in the yeast cell wall and favor the release of mannoproteins and peptides. A process that would normally take months can be shortened to weeks, allowing for earlier processing of more stable wines - resulting from the action of released mannoproteins which increases tartrate and protein stability. Glucanases are usually combined with pectinases, and this combination is particularly effective in improving wine filterability. Botrytis and Saccharomyces secrete long chain glucans into grape juice and wine, resulting in poor filterability that can also be worsened by the presence of residual pectins. The best results in improving filterability are achieved with a glucanase/pectinase combination rather than glucanase on its own. As you’ve probably realized by now, there are tremendous benefits that can be derived from the use of oenological enzymes in your winemaking protocols. However, it should be equally evident that they are of a highly technical nature and should definitely be used with due care and attention. As with some of the other more technical aspects in winemaking, be sure to find a knowlegable supplier and don’t be afraid to ask lots of questions.

Cheers! 3. Skin Contact – Red Grapes: Besides increasing the yield, there are numerous advantages associated with the use of macerating enzymes in red winemaking: • Pectinases greatly facilitate color and tannin extraction, since anthocyanins and tannins are located in the skins of red grapes. • Improved tannin extraction promotes better color stabilization compared to wines produced without the use of enzymes. • It has been observed that press wine from musts treated with red wine macerating enzymes have a lower residual sugar than press wines made from musts without the addition of enzymes. This is very beneficial, as it can limit the potential growth of spoilage organisms such as Brettanomyces and spoilage bacteria. • Since pectinases reduce the size of the polysaccharide chains in red wine, wine clarity and filterability is greatly improved. • Chain length reduction also leads to a decrease in PRAG (polysaccharides rich in arabinose and galactose) and an increase in RGII (rhamnogalacturonan II). The result is an improvement in mouthfeel and “sweetness.” • Winemakers report enzyme treated wines to have more pronounced fruit and softer tannins. 4. Releasing Aroma Compounds: Aside from pectinases targeting chains of polysaccharides, there are glycosidase enzymes whose primary function is to cleave the bond between aroma compounds, called glycosylated aroma precursors and sugar molecules in white wines. The main glycosidase enzyme is a Beta-Glucosidase – an enzyme that removes glucose from the aroma compound. These enzymes are inhibited by high glucose concentrations and can therefore only be used towards the end of the alcoholic fermentation. They can significantly enhance the aromatic profile of grape varieties containing mainly terpene aroma compounds such as Riesling, Gewürztraminer and Muscat. 5. Aging on Lees and Filtration: The practice of wines after fermentation on either the gross or fine lees is very common. Scientists reported the release of various compounds such as amino acids, nucleotides, polysaccharides, mannoproteins and low molecular weight peptides into the wine. All these compounds have a direct or indirect positive influence on wine quality. Of particular interest are the peptides released as they have a profound effect on the perception of “sweetness” of the wine (umami taste), as well as a www.cdngrapes2wine.com

roviding p r o f m a ellartek te t the knowledge C e h t d n els bu rrie a r o r C a b o t f o s r n Chee lectio egion. e r s r t u h o ig r in it the to the fru not only m e h t ly app in how to Roger Wong

Winemaker: Gray Monk Estate Winery Owner: Intrigue Wines

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Canadian Grapes to Wine • Summer 2013 Page 17


Ask Corrie Corrie Krehbiel

Corrie Krehbiel is a Canadian winemaker currently working as the technical winemaking consultant at Cellar-Tek. She heads up the technical wine making products portfolio.

Question: I’ve been hearing more and more about the use of oenological enzymes in winemaking protocols but I’m not really sure how & when to go about using them. Can you shed some light on this for me? Answer: As always, great topic and one that I’m finding more and more winemaker’s asking me about, especially in poor vintages. What Are Enzymes? Let’s start with the basics so we can understand enzymes a little better. Enzymes are proteins which act as biological catalysts. They can facilitate as well as accelerate reactions, without being changed through the process. Enzymes are highly specific, acting on one substrate, or a limited number of substrates under mild conditions. Oenological enzymes are predominantly used for breaking down complex polysaccharides and glycosylated aroma precursors. Let’s take a look at the most common polysaccharides that oenological enzymes are selected for.

When Botrytis cinerea infects grape berries, it secretes a specific glucan into the grape juice. This polysaccharide is highly viscous. The same type of glucan produced by Botrytis is also found in wine yeast cell walls. It is released by wine yeasts during and post fermentation. The amount of glucan produced differs from strain to strain. As with pectins, the glucan chain length and structure determine its effect on wine filterability. Treatment of the wine with glucanase containing enzymes can reduce the glucan chain length and thus improve the wine’s filterability. An enzyme preparation from Laffort known as Extralyse® has been specifically developed for this application. What is Hemicellulose? Hemicellulose is a generic term for polysaccharides related to cellulose. They make up approximately 20% of most plants. They differ from cellulose in that they are much shorter chains of not only glucose, but various other sugars too. Hemicellulose is found together with pectins and cellulose in grape cell walls. Together these three structural components of grape cell walls form a physical barrier around the grape cell, and therefore need to be hydrolyzed during the winemaking process in order to release the juice, aroma, color etc... Why Purified Enzymes? Purification is one of the major advances in winemaking enzymes in recent decades. During enzyme production, the fungi produce a whole cocktail of enzymes, including various wanted and unwanted side activities. It is especially important to remove the cinnamyl esterase during purification since it catalyzes the first reaction in the production of vinyl-phenols. Vinyl-phenols are famous for causing the loss of fruity character and medicinal aromas in white wines. The use of cinnamyl esterase contaminated enzymes in red winemaking can lead to increased substrate for Brettanomyces off-flavor production.

What is Pectin? Pectin is a polysaccharide, a chain of various sugar molecules. It’s found in the cell walls of plants, including grapes. It has various functions, the most important one being the integrity of the plant tissues. Pectin consists of a main chain of specific sugar molecules, composed mostly of galacturonic acid units, with side chains of different sugar molecules such as arabinose, galactose and rhamnose. Together with other polysaccharides such as glucans, cellulose and hemicellulose, grape pectins play a role in the viscosity, clarity and filterability of wines. In general, the longer the pectin chain – the lower the filterability of a wine. There are at least six different enzymes (pectinases) responsible for the breakdown of the pectin molecule that have different pH and temperature optima and affect different parts of the pectin chain. What is Glucan? A glucan molecule is a polysaccharide (sugar chain) consisting of D-glucose units. Cellulose is the most well-known and prevalent glucan in nature (making up approximately 33% of all plant matter on earth) and is found in grape cell walls. Page 16 Canadian Grapes to Wine • Summer 2013

While Beta-Glucosidase enzymes can be highly desired for the release of aromatic compounds in white wines, their side activity in the use of enzymes on red wines can have an equally detrimental effect. Unwanted beta-glucosidases in red wine remove the glucose molecule responsible for stabilizing anthocyanin, thus forming an unstable aglycon that spontaneously changes into a colorless form which in turn, dramatically lessens the wine’s color intensity.

Applications of Enzymes in Winemaking 1. Settling and Flotation of Musts: Settling and flotation are very important processes in white and rosé winemaking as they enhance the aromatic finesse of wines. Grape macromolecules such as polysaccharides affect the colloidal make-up of wine by keeping grape solid particles in suspension. Degradation of pectins with pectinases will greatly diminish the colloidal load and lead to agglomeration of the particles. In the case of settling, sedimentation then follows since these compounds become too big to stay in suspension.

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Winemaking

Co-Inoculation of SeleCted Wine Bacteria Sibylle A. Krieger-Weber - Lallemand

Co-inoculation refers to the increasingly popular practice of adding selected malolactic bacteria (MLB) early in the winemaking process. Properly implemented, co-inoculation provides multiple advantages in achieving the goal of a successful malolactic fermentation (MLF). Interestingly, when co-inoculation is practiced, the activity of the bacteria is suppressed by the yeast during alcoholic fermentation (AF). As the ethanol level is rising, however, the selected bacteria are acclimating incrementally. The acclimated bacteria then transition from their lag phase into their logarithmic growth phase at the same time as the process of yeast cell death. The result of this is known to be highly beneficial to bacteria and to malolactic fermentation itself. The following discussion will highlight the practicalities of co-inoculation in different pH environments compared to the traditional practice of introducing bacteria at the end of alcoholic fermentation. Advantages And Risks Of Co-Inoculation Strategies Lactic acid bacteria and acetic acid production are common concerns when considering co-inoculation. Traditionally, inoculation with selected wine bacteria starter cultures has occurred after all fermentable sugars have been consumed. This is due to the desire of winemakers to avoid possible production of acetic acid and D-lactic. Over the past decade, however, co-inoculation has been applied with success around the world. Further, research has demonstrated that when correctly adhering to basic principles, these problems can be avoided. Volatile Acidity Production Strong bacterial growth can inhibit yeast growth and lead to the production of excessive amounts of volatile acidity (VA). A study done by Rader (1963), however, puts this concern into perspective. Bacteria will begin to consume sugars and impact VA only when the degradation of organic acids is complete. Malic acid is consumed first, followed in by citric, fumaric and other organic acids. (See Figure 1). The degradation of sugars at this point will result in a significant increase in volatile acidity, but this is strongly influenced by the pH. Concerns About pH LOW pH WINES (pH < 3.5): For over a decade, research on low pH Fig 1. Metabolism of sugars and organic acids wines (<3.5) conducted by Lallemand during MLF In wine (in collaboration with respected research groups worldwide) have shown that acetic acid will not be produced from sugars during growth of MLB or during the active MLF. In these experiments the selected bacteria showed no propensity to consume sugar. The limited acetic acid production (0.1 g/L) was noted only when almost 1/2 of the malic acid was degraded and the bacteria began to utilize citric acid. Trials conducted in <3.5 pH wines using co-inoculation versus post AF bacterial inoculation showed no difference in the final acetic acid concentration. Also notable is the fact that different MLB strains exhibit different abilities to degrade citric acid. Co-inoculation of yeast and MLB into Riesling juice showed that the co-inoculation had no influence on the AF. In fact, the co-inoculation MLF completed much faster than when the MLB inoculations were post-AF. The timing of inoculation also had an important impact on the sensory profile of the finished wines. In the co-inoculation experiment, the reductive environment generated by the yeast prevented the formation of buttery or lactic aromas. Wines were fresher and retained more varietal character. The results below derive from a research collaboration with Ramón Mira de Orduña at Massey University, New Zealand. The experiment was conducted with Chardonnay grapes from Hawke’s Bay in New Zealand. The fruit was pressed, no SO2 was added and the must was cold settled at 4°C for 24 hours. At that time 300 mg/L of DAP was added. Vinifications were carried out in triplicate. Initial must analysis was 20.7° Brix at pH 3.28. An ML compatible yeast strain (Lalvin CY3079) was used and two malolactic bacteria strains were trialed. For each yeast/bacterium combination, the MLB were inoculated either together with the yeast (co-inoculation) or post AF. The results presented in Table 1 show that post-AF inoculation always resulted in prolonged malolactic fermentation when compared to co-inoculation. Table 1: Time until end of malic acid degradation during vinification of Chardonnay must with co-inoculation and post-AF AF/MLF.

Page 14 Canadian Grapes to Wine • Summer 2013

In the first two weeks of the experiment, no significant differences in the degradation of glucose and fructose were seen. The alcoholic fermentations were progressing at the same rate. After 20 days, however, neither glucose nor fructose was detectable in the co-inoculation tests, whereas glucose and fructose had a combined concentration of 700 mg/L in the post-AF inoculation trials. The complete absence of these two sugars in the co-inoculation samples was clearly a source of increased microbiological stability. Degradation of citric acid was also different. In the co-inoculation treatments, citric acid was degraded faster and slightly more acetic acid was produced. The differences in final acetic acid concentrations , however, were small and statistically insignificant (Table 2).

HIGH pH WINES (pH > 3.5): Co-inoculation can be an effective option when making wines with a pH greater than 3.5. It should be acknowledged that if the yeast fermentation becomes stuck or sluggish and this is not rectified, problems can arise. Bacteria can be opportunistic under such circumstances and populations can grow. Organic acid consumption will be followed by the degradation of sugars (resulting in the production of volatile acidity. These caveats aside, however, co-inoculation can be a very useful tool winemaking tool. In 2010 Zapparoli et al. published the results of their co-inoculation studies in red table wine production at >3.5 pH. Trials involved selected bacterial inoculations at the beginning of the AF using several grape varieties. In most of the microvinification trials, MLF was completed before or within one week after racking. The acetic acid content remained within an acceptable level (<0.60 g/L) as shown in Fig. 2 below. In addition to these trials, Zapparoli expanded tests to production scale (5,280gals/200hL) on highly structured (and ultimately high alcohol) Amarone wines in Italy. Again, the results were positive. The malolactic fermentation induced by co-inoculation was Fig. 2 Relationship between the pH and acetic acid concomplete before the wine tents in wines with co-inoculation with linear regression was racked. By contrast line relation coefficient (r2). (Zapparoli et al. 2010) the wine inoculated post AF took 33 days longer. The acetic acid levels in the co-inoculation wine were actually lower than the level in the traditionally made wine. The authors concluded that the decrease in time compared to traditional MLF offers winemakers a significant advantage. A d d i t i o n a l co-inoculation trials have been conducted on high pH red wines over the seven most recent vintages (northern and southern hemisphere). Massera et al. (2009) studied the comparative effects on fermentation performance, sensory and stability attributes on Malbec (see Figure 3). There were no observed negative effects on yeast population and alcoholic fermentation performance. Differences between the wine sensory attributes were not significant.

Fig.3: Sensory descriptors of Malbec wines fermented with S. cerevisiae strain (INTA MZA) and Oenococcus oeni strain (Enoferm alpha) in co-inoculation (CO) and post-AF (SEQ) inoculation.

Thus, in reviewing the science and practice of co-inoculation, we can say that under high pH wine conditions co-inoculation with a selected bacteria strain can be a viable alternative. As always, however, the winemaker must be attentive to the progress of the fermentations and the uniqueness of each lot of wine. Nutrition, temperature, turbidity, and choice of yeast and bacteria strains may each have an impact beyond the pH and the - Submitted by Scott Labs decision to co-inoculate. www.cdngrapes2wine.com


Wine Business David T. Braumberger CA David is a partner and Chartered Accountant at BDO.

tough talk

Communication is essential to any business or family relationship. Think about the number of people you interact with daily. Different personalities, communication styles and skills can affect how well you communicate. Operating a successful winery, while managing family and personal issues, can be challenging. Good governance and communication are keys to long-term happiness, both professionally and personally. Your family is a team, even more so when the family is helping run the winery. It is critical all family members communicate effectively to manage the winery efficiently. If you’re in the midst of transitioning the winery, good communication is even more important.

Promote regular, structured communication within the family and • business. Your communication vehicle should help you distinguish between family needs and business requirements. Merely having sound governance and communication strategies in place does not mean conflicts won’t arise. If your family needs to build better communication skills, but you’re not sure where to start, consider having an adviser from outside the family chair the first meeting. This is especially helpful when the discussion involves succession planning.

You may be thinking you and your family already communicate well, meet regularly, and deal with conflicts as they arise. However, that is usually the exception, not the norm.

Aim for success Research has shown families who follow these processes can manage conflict and achieve a positive outcome. Other studies show families who communicate well together are more profitable.

Establish a good system Often, communication problems are subtle and occur gradually over time. Establishing good communication skills takes time, patience and a willingness to try new approaches.

Some of the most successful wineries are managed by family members with very different skills and abilities. When your family is functioning effectively, your business will function more effectively, too.

If you grew up on a family farm you may be accustomed to holding informal family meetings. This method may have served you well over the years. However, it has its drawbacks. Your surroundings may not be the right environment to have frank, open discussions. As well, if other team members are not present, they may not know what is going on in the winery business.

BDO HELPS BUSINESSES RUN SMOOTHLY

For you and your family to derive the greatest value from your conversations, you need to first establish a safe place for honest discussion known as a ‘communication vehicle.’ This can help you open the lines of communication, define objectives and goals for the winery business and provide a guideline for future discussions. Effective communication can help you better understand a person or situation, resolve differences, build trust and respect and promote an environment where creative ideas, problem solving and affection can flourish. Once everyone is communicating well, it will be easier to define objectives, goals and expectations for the winery business. Here are some other key steps to build effective communication: • Develop a family governance system; • Provide clarity about your vision for the winery business; • Ensure policies and procedures are well understood;

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Canadian Grapes to Wine • Summer 2013 Page 13


Awards Canada’s Okanagan Spirits Craft Distillery wins 12 medals including “Distillery of the Year” and “Spirit of the Year”, and is awarded the coveted “World Class Distillery” designation at 2013 World Spirit Awards Okanagan Spirits Craft Distillery has achieved the pinnacle of achievement in the world of craft distillation by winning “Distillery of the Year”, and “Spirit of the Year” along with the “World Class Distillery” designation at the 2013 World Spirits Awards held in Klagenfurt Austria.

These awards and classifications add to Okanagan Spirits already comprehensive list of awards and accolades at this international spirits competition, but according to their Master Distiller, Peter von Hahn, “This level of recognition puts us along side a very elite group of world class distillers who are the superstars of the industry”. “It was an amazing honour a few years ago, when we became Canada’s only Master Class Distillery, but to surpass that this year with becoming North Americas only World Class Distillery, and being named the World Spirits Awards “Distillery of the Year”, is simply astounding.” In order to achieve this top honour at the 2013 World Spirits Awards, Okanagan Spirits Master Distiller Peter von Hahn needed a gold medal sweep across a full category, which would mean five gold medals out of five spirits entered in a particular category of alcohol production. But he didn’t stop there! In fact von Hahn went on to win Distillery of the Year, Spirit of the Year and medal with all 10 of his B.C. Fruit made spirits that he entered, claiming one double gold medal, four gold medals, and five silver medals for his products spanning Liqueurs, Eau de Vie Fruit Brandies, Aquavit and Absinthe. In fact, Okanagan Spirits Black Currant liqueur was given the highest points score ever given to a product at the World spirits event. “I had previously stated that we needed to dream big to achieve success at an awards event of this caliber, and I guess that big dream came true, placing us directly on top of the world stage of craft spirit production.” Said von Hahn. Okanagan Spirits Craft Distillery, with a portfolio over 25 different types of alcohol made from 100% BC fruit and grain, has over 50 World Spirits awards to their name,

and is now Canada’s only Master Class Distillery, North America’s only World Class Distillery, and this years World Spirits Awards Distillery of the Year. List of Awards for Okanagan Spirits 2013 World Spirits Awards for CANADA Classification: World-Class Distillery 2013, First-Class Distillery 2013 & Distillery of the Year GOLD (Bitter & Liköre) Double-Gold Medal: Black Currant Liqueur (Spirit of the Year 2013 und WorldSpirits Award 2013) Highest points score ever achieved at a World Spirits Awards event (97.7pts) Gold Medal: Absinthe Classic, Aquavit, Cherry Liqueur, Raspberry Liqueur Silver Medal: Pear Williams Yellow, Bradshaw Plum, Plum Wood Aged, Apple Wood Aged, Cherry Staccato

Shown above left: Master Distiller, Peter von Hahn at the awards, and shown right; Working at the Still.

Ontario wine industry’s top prOmoters recognized at brock The manager of the world’s highest wine cellar, the chair of the International Cool Climate Chardonnay Celebration, a popular wine writer and an LCBO product consultant were recognized at Brock University for their outstanding achievements and contributions in the promotion of VQA wines.

demonstrated significant leadership in starting the i4C which is now planning its third weekend-long event for this July.

• Media: Rick VanSickle, wine writer. Through his website winesinniagara.com, social media, and as a column writer for several wine publications, VanSickle is known as one of the The VQA Promoters Awards were announced Saturday, March 2 at the Experts Tasting references for Ontario wines, opening VQA wines to a much wider audience than ever hosted by Brock’s Cool Climate Oenology and Viticulture Institute (CCOVI). The awards before. acknowledge individuals who celebrate the Ontario VQA wine industry with unselfish • LCBO: Charles Ronzio, the LCBO’s product consultant in Waterloo, Ontario. He not only enthusiasm, constructive input and unsolicited promotion. promotes VQA Ontario wines, he truly believes in the product. Going beyond his normal This year’s winner in the hospitality category, James Muir, manages the wine cellar at the top duties, he brings Ontario wineries into the store for customer tastings and has received of the CN Tower. Muir provides local and international guests with a window into the array accolades for his high VQA sales volume in what is considered a non-traditional VQA and quality of wines made in Ontario. market. “A decade ago tourists were surprised we had a wine industry here,” Muir said, “but that’s all changed. Today they arrive knowing we have an industry, and have already had a positive experience with Ontario wine. It gives me and my team great pride to extend that experience.” For this year’s Promoter-at-Large, Harald Thiel, the success of the International Cool Climate Chardonnay Celebration “speaks to the power of co-operation in our industry. If we work together we can do things that are exceptional.” “If we (Canada) want to have a place in the wine world, we have to carve our own place,” Thiel said while accepting his award. The 2013 winners in each category are: • Hospitality: James Muir, beverage manager and sommelier at CN Tower’s 360 the Restaurant. His restaurant lists a VQA wine in every varietal category, side-by-side with international labels. • Promoter-at-Large: Harald Thiel, vigneron and proprietor of Hidden Bench Vineyards and Winery and chair, International Cool Climate Chardonnay Celebration (i4C). Thiel Page 12 Canadian Grapes to Wine • Summer 2013

The 2013 VQA Promoters Award winners (from left) Rick VanSickle, Harald Thiel, James Muir and Charles Ronzio. www.cdngrapes2wine.com


Wine Business

SIN TAXES FAIL TO TACKLE SIN, REPORT FINDS Claims that Drinkers, Smokers, Overweight Impose Huge Costs on Society Not Based on Facts. From alcohol to tobacco to sugary or caffeinated foods and

beverages, price increases known as “sin taxes” that target politically incorrect products do little to limit their use and nothing to reduce alleged societal costs. That’s the finding of a newly published study, The Wages of Sin Taxes, by scholar Chris Snowdon.

despite having promised a year earlier that, “no family making less than $250,000 a year will see any form of tax increase.” Largely as a result of the president’s U-turn, the federal government’s sin tax revenue—including tobacco, alcohol, guns, and ammunition—leapt from $14 billion in 2008 to over $20 billion.

Most remarkably, Snowdon, a fellow at the Adam Smith Institute in States and cities levy sin taxes, too. As the recession deepened, state London, demonstrates that financial burden supposedly placed on society governments raised taxes on gasoline, tobacco, soda and bottled water. through the consumption of alcohol, tobacco, high-calorie foods, has little Colorado started taxing candy, Texas introduced a tax on lap dancing clubs basis in reality. The myth that these “sinners” cost the rest of us money is (the“pole tax”), and several states contemplated a tax on pornography (the perpetuated in large part because “government has no incentive to tell the “skin tax”). Phoenix, Arizona, levied a 2 percent tax on all food to help pay public that these groups are being exploited, and the affected industries off the city’s $277 million debt. When the policy encountered opposition dare not advertise the savings that from citizens, politicians considered come from lives being cut short The myth that these “sinners” cost the rest of taxes on tattoo parlours, strip clubs, by excessive use of their products.” and escort agencies, instead. This type of tax is actually a us money is perpetuated in large part because People are fooled. A 2008 poll of regressive “stealth tax” that allows Yorkers found that 52 percent lawmakers to take money from government has no incentive to tell the public New would support a soda tax, but this their constituents with the lowest rose to 72 percent when told the incomes without the pushback an that these groups are being exploited... money would be used for “obesity upfront tax would provoke. prevention.” In reality, it is rare for Certainly, many of those proposing price increases on so-called unhealthy the spoils of a sin tax to be spent as intended. Typically, the money raised products genuinely wish to improve the health of their fellow man and goes toward routine government projects and debt payments. Of the $25.3 view these taxes as a means to that goal. Snowdon demonstrates that, billion the U.S. government collected from state tobacco taxes in 2011, for regardless of their intended purpose, such taxes rarely produce the desired example, less than 2 percent was spent on smoking cessation. outcome many cases cause greater harm to those they are meant to help. Oft-cited statistics are wrong. The most commonly cited U.S. cost-of“Where most cost-of-sin studies merely examine the supposed costs smoking estimate is $193 billion per annum. This figure appears to drinking, smoking and eating fatty foods impose on society, The Wages of have no foundation in the academic literature and the calculations Sin Taxes takes a look at both costs and benefits to public finances,” said on which it is based have never been published in a peer-reviewed Michelle Minton, CEI Fellow in Consumer Policy Studies. journal. The only source for the figure is a page on the Centers for Disease Control and Prevention’s website dating from 2008. “In fact, the vast majority of such costs are invented or are borne by the No details are provided except that $96.8 billion is attributed to lost ‘sinner’ himself-not the public,” said Minton. productivity and $96 billion is attributed to medical costs. The dearth of From “The Wages of Sin Taxes”: information makes it impossible to ascertain what proportion of these “Sin taxes” are tax increases. Faced with his own budget deficit in 2009, costs are private. President Barack Obama raised the federal cigarette tax by 156 percent,

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8,000 7,000 6,000

Hot Topic

5,000 4,000 3,000 2,000 1,000

Geoff McIntyre CA

0

Start

Year 1

Year 2

Year 3

$1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 -­‐$200,000 -­‐$400,000 -­‐$600,000

Sales (cases) Producaon (cases) Inventory ($) Cash ($)

Geoff McIntyre is a Business Advisor to the Agri food industry and Chartered Accountant Sales are increasing but production is increasing at a faster rate. This leads to a build up of inventory, for MNP LLP. and inventory eats cash. By the end of Year 3, the winery has over $1,000,000 tied up in inventory. For most businesses, the response would be to cut prices in order to increase sales and work through the backlog. But in the wine industry, price and perception are closely linked, and putting your wine on sale may cause irreparable damage to your brand.

a critical balancing act

But what if the winery modified its production based on a more realistic forecast of sales, keeping production and sales volumes more closely in sync? Suppose after increasing production in Year 1 to 6,000 cases, you recognize that while sales have increased, they have not kept pace with the increased production volume. You decide to keep production at 6,000 cases until sales catch up. Now the numbers look like this:

Why it’s so important to keep sales and production volumes in sync Your estate winery has survived the start-up stage. Your winery is built and fully operational and your sales volume has just hit 5,000 cases. Most of your sales are from your cellar door, so your margins are good. Your facility has a production capacity of 7,500 cases. Your vineyard is just coming in to full production after planting five years ago. Everything is looking good – you’re thinking it’s time to ramp up production in order to take advantage of those increasing grape tonnages and make more money. You calculate that you can increase your production to 7,500 cases over the next three years without having to invest in any additional fixed costs. It’s time to grow!

3,000 2,000 1,000 0

Start

Year 1

Year 2

Year 3

Sales (cases)

$400,000

Producaon (cases)

$200,000 $0

2,000

-­‐$200,000

1,000

-­‐$400,000 Start

Year 1

Year 2

Year 3

Inventory ($) Cash ($)

-­‐$600,000

It takes time to produce great wine, and as a result, wineries must invest much more in their inventories than many other types of businesses. This why it’s so critical to keep sales and production volumes in sync with each other. Making wine in not cheap, and making more than you can sell can put a profitable winery out of business in a couple of years. The lesson? Spend your time accurately and realistically projecting future sales volumes and dollars, then let those numbers drive your production budget. Don’t fall into the trap of producing more just because sales have grown and you have the capacity. Doing so will save you money and possibly your business.

Sales (cases)

The perfect blend of services and experience.

Producaon (cases) Inventory ($) Cash ($)

Sales are increasing but production is increasing at a faster rate. This leads to a build up of Sales are increasing but production is increasing at a faster rate. This leads to a build up of inventory, inventory, and inventory eats cash. By the end of Year 3, the winery has over $1,000,000 tied up in and inventory eats cash. By the end of Year 3, the winery has over $1,000,000 tied up in inventory. For inventory. For most businesses, the response would be to cut prices in order to increase sales and most businesses, the response would be to cut prices in order to increase sales and work through the work through the backlog. But in the wine industry, price and perception are closely linked, and backlog. But in the wine industry, price and perception are closely linked, and putting your wine on sale putting your wine on sale may cause irreparable damage to your brand. may cause irreparable damage to your brand. But what if the winery modified its production based on a more realistic forecast of sales, keeping But what if the winery modified its production based on a more realistic forecast of sales, keeping production and sales volumes more closely in sync? Suppose after increasing production in Year production and sales volumes more closely in sync? Suppose after increasing production in Year 1 to 16,000 to 6,000 cases, you recognize that while sales have increased, they have not kept pace with the cases, you recognize that while sales have increased, they have not kept pace with the increased increased production volume. decide to keep production at 6,000 casescatch untilusales catch production volume. You decide You to keep production at 6,000 cases until sales p. Now the up. numbers look like this: Page 10 Canadian Grapes to Wine • Summer 2013

$600,000

a bank overdraft at the end of Year 3 of $215,000 compared to $405,000 in the first example – a difference of $180,000 and enough to fund next year’s crush. The winery has some breathing room on its line of credit. More importantly, sales and production are now perfectly in sync at 6,000 cases. If sales continue to grow in Year 4, the winery may experience some inventory shortages, but this is a much better platform for growth than simply producing more and hoping sales keep pace.

The chart below illustrates what happens when sales fail to keep pace with production:

4,000

$800,000

The winery still has challenges, but they are much more manageable because of the decision in Year 1 to Now thefuture numbers look like this: increases to more closely match sales growth. The result is a bank restrict production volume overdraft a t t he e nd o f Y ear 3 of but $215,000 compared to $405,000 in the first example – a difference of The winery still has challenges, they are much more manageable because of the decision in Year $180,000 and enough to fund next year’s crush. The winery has some breathing room on its line of 1 to restrict future production volume increases to more closely match sales growth. The result is credit. More importantly, sales and production are now perfectly in sync at 6,000 cases. If sales continue

But maintaining sales growth is tough. Visitors to your winery have levelled off, so you focus on selling more through the other channels. With government imposed discounts, the margins aren’t as good as selling direct to consumer. Selling to private stores and licenced restaurants is time consuming, so you need to add to your marketing costs by using commissioned agents to promote your wine. Sales volume does increase by 500 cases in Year 1, but then slows somewhat to 250 cases for the next two years.

5,000

6,000

0

You plan to produce another 6,000 cases next year and to grow your production by 500 cases per year until you reach your 7,500 capacity. Your brand is growing in popularity and your winery is in a great location for attracting wine tourists.

6,000

$1,000,000

3,000

Your current gross profit (sales less direct cost of sales) is 65%, pretty good by industry standards. Your grape cost is about $2.50 per bottle and your cost of finished and bottled wine is $8.08 per bottle. You currently have 6,000 cases in inventory, or about 573 days of sales.

$1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 -­‐$200,000 -­‐$400,000 -­‐$600,000

7,000

4,000

Let’s start with the following assumptions: Current sales volume is 5,000 cases, with an average selling price of $24 per bottle. You sell about 70% of your wine from your winery and the rest to licensees and government stores at discounts ranging from 10 to 16%.

7,000

$1,200,000

5,000

Over the next three years, sales continue to grow but in that same time your business went from having over $80,000 in the bank to having a bank overdraft of more than $400,000. The bank won’t increase your limit and you are wondering how you are going to finance your next vintage. So what went wrong?

8,000

8,000

Each winery is as unique as the wine they create. That’s why MNP’s business advisors offer a wide range of industry-specific services beyond traditional accounting and tailor them to your needs. By working closely with you, we help identify inefficiencies, control costs and enhance the performance of your operation to help you keep opportunities flowing. Find out what MNP can do for you. Contact: Okanagan Valley Geoff McIntyre, CA 1.877.766.9735 geoff.mcintyre@mnp.ca

Vancouver Island Marsha Stanley, CA•CBV, CGA 1.888.854.8567 marsha.stanley@mnp.ca

www.cdngrapes2wine.com

8,000

$1,200,000

7,000

$1,000,000


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Conference/Trade Shows

WINE INDUSTRY GATHER IN PENTICTON Over 300 participants will gather to learn and share ideas at the 14th Annual Enology and Viticulture Conference and Tradeshow held on July 15-16 at the Penticton Trade and Convention Centre. The Conference offers an exciting mix of formal presentations and informal workshops covering a wide range of topics on practical enology and viticulture procedures. “The wine industry in British Columbia continues to grow,” said Hans Buchler, Chairman of the BC Wine Grape Council. “This conference and tradeshow provide many opportunities for grapegrowers, winemakers, experience or new to the industry to learn the newest technologies and practices.” The agenda will allow growers, winemakers, students, and researchers to learn and share ideas with international speakers from France, the United States, as well as our very own local experts. The Viticulture day on Monday, July 15th will see talks on assessing vineyard temperatures, grapevine virus diseases, understanding soils, vascular function of vines and presentations from our BCWGC researchers. th

BC Wine Grape Council 14 Annual Enology & Viticulture BC Wine Grape Council th & Trade Show 14Conference Annual Enology & Viticulture Monday, July 15 & Tuesday, July 16, 2013

Conference TradeCentre Show Penticton Trade Show &&Convention Monday, July 15 & Tuesday, July 16, 2013 Penticton Trade Show & Convention Centre

The Annual Enology & Viticulture Conference & Tradeshow is a premier wine industry event which brings hundreds of wine and grape togetherConference to discover &new products isand Theindustry Annual professionals Enology & Viticulture Tradeshow a services, learnindustry about the latest technologies and research, well premierto wine event which brings hundreds of wineasand grape industry professionals together to discover new products and as to network. services, to learn about the latest technologies and research, as well as to network.

Highlights

Highlights

Rhone Research for winemakers in France – Patrick Vuchot, Inter-Rhone, France TheRhone Self-Sustainable Winery – Anita Oberholster, PhD, UC DavisInter-Rhone, Extension France Research for winemakers in France – Patrick Vuchot, The Self-Sustainable Winery – Anita Oberholster, PhD, UC Davis BC Extension Marketing BC wine in today's sales climate – Scott Davis, Kelowna, Assessing Vineyard Inversion Machine Marketing BC wineTemperatures: in today's sales climate Conditions, – Scott Davis,Wind Kelowna, BC Performance, and Vine Training Height Considerations – Mark Battany, University Assessing Vineyard Temperatures: Inversion Conditions, Wind Machine of California Farm Advisor, San Luis Obispo,Height CA Considerations – Mark Battany, University of Performance, and Vine Training California Farm Advisor, San Luis Obispo,– CA Updates on Grapevine Virus Diseases Dr. Maher Al Rwahnih, University of Updates on Grapevine Virus Diseases – Dr. Maher Al Rwahnih, University of California, Davis, CA California, Davis, CA Using Soil and Climate Data in Vineyard Development – Dr. Daniel Roberts, Using Soil and Climate Data in Vineyard Development – Dr. Daniel Roberts, Integrated Winegrowing, Sebastopol, CA Integrated Winegrowing, Sebastopol, CA Rhones Variety Sensory tastings, health and safety, panels and workshops, PAC Rhones Variety Sensory tastings, at health and safety, panels and workshops, PAC points… Complete agenda available www.bcwgc.org points… Complete agenda available at www.bcwgc.org

Visit thethe Tradeshow - Over 100100 exhibitor floor displays Visit Tradeshow - Over exhibitor floor displays Sponsored byby Sponsored

For more information contact BC Wine Grape Council, Tel: 250 767 2534

For more information contact BC Wine Grape Council, Tel: 250 767 2534 E-mail: BCWGC@telus.net or visit: www.bcwgc.org E-mail: BCWGC@telus.net or visit: www.bcwgc.org Page Page88 Canadian Canadian Grapes Grapes to to Wine •Spring Summer 2013 2013

Simultaneously the Enology workshop schedule is once again jam-packed, with sessions on flotation for clarification, the ABC’s of filtration, turbidity testing, enzyme use, a hands-on pump repair workshop and many more. Tasting sessions featuring Rhone varieties will be offered both morning and afternoon. On Tuesday July 16 the day kicks off with the Annual General Meeting for the BC Wine Grape Council just prior to the start of the enology plenary session. All industry members are invited to join in these proceedings. The Enology lectures will focus on the varieties of the Rhone, with guest speaker Patrick Vuchot from Inter-Rhone, their research organization, and a winemaker from Washington specializing in Rhone varieties. Other speakers will address the self-sustainable winery, winery sanitation, and marketing BC wines. The Viticulture workshop schedule will include a vine disease clinic, a virus workshop, as well as the all speakers Q&A session. Can’t be away too long from the vineyard? Then visit the tradeshow for only $10. It will feature over 100 exhibit booths showcasing a wide range of products related to the wine and grape industry during this two-day event. Why not stop in for a chat with the suppliers? Visit www.bcwgc.org or contact Louise Corbeil at bcwgc@telus.net for more information or to register for the conference so that you don’t miss a thing!

100th Calgary Stampede Commemorated With Award-Winning Whiskey Bottle Highwood Distillers, a Canadian distillery helped the city of Calgary mark the 100th anniversary of its most important historical event—the Calgary Stampede Rodeo—by selling its finest 25 year old Canadian Rye Whiskey in a commemorative bottle created by TricorBraun Design and Innovation. The eight-sided, chamfered, super-premium glass bottle won a Bronze Award in the Beverage Category of the National Association of Container Distributors annual competition. The NACD’s annual packaging awards program recognizes the most innovative packages released during the prior year. TricorBraun, one of North America’s largest suppliers of bottles, jars and other rigid packaging components, provided Highwood Distillers with bottles that were a representation of an early 20th century premium whiskey bottle. A pewter label distinguishes it as a celebratory item. A classic red paper “excise tax strip” crosses the wood and cork bar-top closure as well as the sides of the bottle’s bulbous neck. Highwood Distillers is the only independent distillery based in Alberta and is one of the largest independent distilleries in Canada. It was founded in 1974 and is located in High River, Alberta. Its sales office is domiciled in Calgary. www.cdngrapes2wine.com www.cdngrapes2wine.com


If You Go

About Milan www.milano24ore.it Milan, a city for business, shopping, cultural and fashion events: All information about Milan, also an hotel and restaurant guide.

www.corriere.it/vivimilano Current affairs, shows, a useful guide to live in Milan: music, shows, restaurants, cafes and pubs, shopping.

www.comune.milano.it The official portal of Milan town: living in the city, services, useful links and information .

www.mondomilano.it Milan restaurants.

www.rcs.it/mimu Milan museums.

www.lascala.milano.it Official site of the theatre La Scala.

www.sea-aeroportimilano.it Malpensa and Linate: All information about the two Milan airports.

www.ferrovienord.it/webmxp/ Malpensa Express, a shuttle train to Malpensa airport.

www.trenitalia.it Italian Railways site, trains, timetable, etc.

www.atm-mi.it Milan public transports (bus, tram or underground).

www.CityLightsNews.com Milan tourist site.

ORGANIZED BY

25 TH EDITION INTERNATIONAL ENOLOGICAL AND BOTTLING EQUIPMENT EXHIBITION

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WORLD LEADER IN WINE TECHNOLOGY Canadian Grapes to Wine • Summer 2013 Page 7


Conference/Trade Shows simei celebrates its 50 years and aims at sustainability SIMEI, the International Enological and Bottling Equipment Exhibition, the most important reference point in the panorama of exhibitions dedicated to the wine, oil and beverage supply chains, scheduled to take place from 12 to 16 November 2013, will celebrate its 25th edition this year. This is an important anniversary as it marks a real turning point.

The focus in 2013 will be on sustainability, which is an essential asset, in particular for the wine sector, from production technologies to the finished product. The attention to sustainability in the supply chain will be the underlying theme of the whole event: from the vine to the wine on the table, in every passage quality matches with sustainability and becomes a distinguishing and rewarding element. During SIMEI an important international conference will be organized that will involve the active actors on the theme of worldwide sustainability and that will contribute to define the guidelines for the future in this field. It will be supported by a very busy schedule of workshops and in-depth seminars. Therefore the visitors of SIMEI, besides finding a wide and comprehensive display of technological excellences, will be able to attend conferences, meetings, opportunities for study and exchange among the protagonists of this fascinating, as well as complex sector, that is bearer of the Made in Italy abroad and makes up a substantial part of our export, while considerably determining the trends of global economy. In this evolution process of SIMEI, Unione Italiana Vini as the organizer of the event proves itself to be an authoritative source in the production of contents, but especially as a facilitator of professional relationships at any level and target. SIMEI is indeed a real meeting platform between demand and supply. An important novelty that will be introduced in the 2013 edition, never used before during an exhibition, is Join Tag, the new technology in support of the relationship exhibitors-visitors which will revolutionize the transfer mode of contents and of contacts’ creation. At the same time as the 25th edition of SIMEI there will also be the 9th edition of Enovitis, the International Vine and Olive Growing Techniques Exhibition. In the halls dedicated to Enovitis, equipment, machines and products for the wine-growing sector will be displayed. SIMEI and Enovitis together are thus making up the complete technological itinerary for the whole wine-growing supply chain, from the vineyard to the production and packaging of wine. The “Innovation Contest SIMEI ENOVITIS 2013” will be dedicated to the exhibitors of both trade shows. The initiative has the aim to enhance and promote the works of equipment, product and service manufacturers showing product and process innovation, which may lead to technical progress. The evaluation of candidate innovations will be entrusted to a technical-scientific Committee. Page 6 Canadian Grapes to Wine •Fall Summer 2012 2013

Fifty years after its first edition, SIMEI is today the internationally most eagerly awaited biennial event, worldwide leader in the wine-technologies sector: a meeting place, an in-depth opportunity, where the market trends are defined and where new technologies are presented. Unione Italiana Vini Unione Italiana Vini, the most ancient and most representative Association of wine-growing Italian enterprises, organizes SIMEI. Created in 1895, today its associated companies are about 500 and cover 70% of the value of the sector’s Italian export. Trade union, information, promotion in Italy and abroad, laboratories have always been UIV’s tools in support of the wineries since more than a century. UIV indeed protects their interests in political matters; it ensures the development of the wine sector in Italy according to the rules of transparency and open market; it promotes the culture of vine and wine in Italy and abroad. Besides being an association, Unione Italiana Vini is also and mainly a firm of advanced services tailored to the needs of the wine-sector enterprises. Its laboratory network, with head office in Verona, recognized as one of the state-of-the-art structures in Italy with regard to employed technologies and instruments, guarantees on the genuineness and sensorial quality of products every day. Consistently with its mission, - to protect and enhance enterprises, products and territories - Unione Italiana Vini is also promoting Tergeo, a project of collection, qualification and spread of innovative technological and management solutions, to improve the sustainability of wineries. Information The 25th edition of SIMEI will take place from 12 to 16 November 2013 in the halls 9-11-1315 of the Fiera Milano Fairground at Rho, which will also host, in conjunction, the 9th edition of ENOVITIS, International Vine and Olive Growing Technics Exhibition. The figures of SIMEI in the 2011 edition: • 700 exhibiting companies coming from 27 countries • 48,000 visitors coming from 90 countries • 12,000 tons of exhibited equipment and products • 80,000 sq m of exhibition surface www.cdngrapes2wine.com


Hot Topic

could bc WINERY restaurants serve beer one day soon? With the busy summer tourist season fast approaching, many visitors to the Okanagan Valley will stop at their favourite winery restaurant or lounge, seeking to enjoy not only a glass of the proprietor’s latest vintages, but also to sample other locally-produced alcoholic beverages, including spirits and beer. Unfortunately for consumers, the Winery Lounge Endorsement set up by the B.C. Liquor Control and Licensing Branch (LCLB) currently restricts the sale of other alcoholic drinks within restaurants that occupy space on the Agricultural Land Reserve (ALR). In order to provide a greater spectrum of alcoholic beverage choices, a winery restaurant would have to receive a Food Primary license, which would act as an exemption to the Agricultural Land Commission (ALC) Act. After pursuing the issue for more than a decade, Kelowna’s Summerhill Pyramid Winery is poised to receive its Food Primary License for their onsite Sunset Organic Bistro. In order to achieve this unprecedented move forward, the ALC has granted the winery a ‘Non-Farm Use’ exemption to the ALC Act, to which most BC wineries are subject. This exemption does not constitute an overall shift in the mandate of the ALC, which prohibits commercial activities that are not ancillary to agriculture on the ALR. Summerhill has offered to include 0.2ha of land not currently within the ALR in order to support the Non-Farm Use allowance. Most recently, Burrowing Owl, Tinhorn Creek Vineyards and Hester Creek Winery, have together applied for a Non-Farm Use utilizing the precedent set by Summerhill. Their application is also currently before the ALC. Changes in liquor laws in BC are notoriously slow to change. In 1997, Summerhill was granted one of BC’s first ‘J’ licenses, which allowed them to provide food service during lunch only. Prior to this, liquor laws would not allow seats at the tasting bar, or even sliced bread served as a palate cleanser. The ‘J’ license was a new precedent that founder Stephen Cipes worked to attain. It was this license that became the template for the ‘Winery Lounge Endorsement’ that currently allows numerous wineries in the Okanagan Valley to operate onsite food service, with restrictions.

Instead of a more dramatic shift, many of the winery restaurants in the Okanagan would likely support a simple amendment to the current Winery Lounge Endorsement, rather than seeking Food Primary License. The amendment would selectively update the definition of products on offer, provided that those beverages were locallyproduced. Ezra Cipes, CEO of Summerhill Pyramid Winery says “This was a long, hard process of getting all parties on board, and summoning the political will to start reforming our industry for the future. I believe we will be successful because the ALC recognizes how the wine industry in BC is developing. We are becoming a world-class wine tourism destination, and we have to be able to provide our guests with a world-class dining experience that shows our wines in context. That includes having options for aperitifs, digestifs, and locally brewed beer.” He went further to suggest, “Maintaining a land base for agriculture in BC is the core mandate of the ALC, so including new land into the agricultural reserve was what made it possible in this case for the committee to say yes.” At time of writing, ultimate approval rests with the LCLB in Victoria, who will not make a final decision until a new government has been sworn in. With the City of Kelowna, the ALC, and consumers in support of this change, it is hoped that approval will be granted in time for the 2013 season.

modernize wine issues Aside from any featured current issues that MWA is addressing, MWA has also identified the following issues as ones that need attention: 1. Allow Educational Wine Tastings. Current BC liquor law and policy does not permit the sampling of wine during wine education classes (such as WSET or ISG classes). 2. Allow Wine Orders at Tasting Events. BC wineries and wine importers often participate in wine tasting events. Although people tasting the wines may love what they are tasting, current BC liquor policy does not permit retail stores to take orders for wine at any location other than their licensed premises. This simply makes it difficult for consumers to purchase wine. 3. Allow Secondary Tasting Rooms. BC wineries are currently only permitted to operate a single tasting room at the site of their winery. Many other jurisdictions permit secondary tasting rooms which encourages the growth of towns focused on wine tourism (e.g. Walla Walla, Woodinville, Healdsburg). 4. Allow Off-Site Storage for Restaurants and Retail Stores. Current BC liquor policy requires that all wine and other alcohol must be stored within the licensed premises for restaurants and retailers. Off-site storage would make it much easier for stores and restaurants to manage their inventory and supply. 5. Allow Restaurants to Purchase Wine from Private Stores. Currently, restaurants must buy all of their wine from a designated government liquor store which often has a limited selection or may be out of stock on particular products. www.cdngrapes2wine.com

Canadian Grapes to Wine • Summer 2013 Page 5


Hot Topic Mark Hicken Mark Hicken is a Vancouver lawyer providing a full range of legal services to the wine industry through his own law practice, Vintage Law Group, located in Vancouver, BC. Mark believes that effective legal advice must be provided in the context of a client’s business objectives. This is critical in the Canadian wine industry where regulatory structures affect every aspect of the business from conception to consumption.

PST/HST Transitions Cause Major BC Revenue Loss on Liquor According to the latest financial figures from the BCLDB, the transitions back and forth between the PST and HST will cause major losses to the total revenue that the provincial government generates from liquor sales in the province. By my estimates, the losses are at least $185 million over the time period. The losses were caused because BC raises liquor revenue through a complicated mix of “liquor board markup” and taxes which mixture was upset by the PST/HST transitions as well as by missed LDB revenue targets and a significant increase in LDB operating costs. The losses are not immediately obvious from looking at the LDB documents because LDB financial statements do not include sales tax revenue. However, once you factor in sales tax revenue from liquor sales, the losses become apparent. Here is a summary chart (in millions of dollars): 2009/10 (PST)

2010/11 (HST intro'd)

2011/12 (HST)

2012/13 2013/14 (HST) (HST removed)

2014/15 (PST) Change

Total LDB Sales

2854.1

2820.5

2889.9

2922.1

2891.3

2932.9

+2.7%

LDB Operating Expenses

275.9

281.5

291

305.7

307.3

312.2

+13.1%

Net LDB Revenue to Govt

877.3

890.4

911.1

906.1

850.9

860.4

- 1.9%

Approx. Sales Tax Rev. (est.*)

285.4

218.5

202

204.5

289.1

293.2

Approx. Total Liquor 1163 Rev.

1109

1113

1110

1140

1154

Loss to Govt

- 54

- 50

- 53

- 23

-9

0 (base)

the transition years because the LDB failed to meet its revenue targets and LDB operating costs increased substantially during the years in question, eating up some of the higher liquor board markups and preventing the intended increase in LDB revenue to government which was supposed to offset the decrease in sales tax. This can be seen from the numbers above: • In the fiscal year 2009/10 (pre-HST), the government received $877.3 million from LDB revenue. It would also have received the 10% PST charged on all liquor sales - $285.4 million for a total of $1.16 billion. • By contrast, in the fiscal year 2011/12 after the HST was introduced, LDB revenue jumped due to the liquor board markup increase, but only by $21 million, to $911.1 million (well short of the projected number noted above). The corresponding sales tax revenue would have dropped by over $60 million to about $202 million, giving government total liquor revenue of $1.13 billion, a $50 million decrease overall. • As of April 1 2013, the liquor board markup rates went back down and the sales tax went back up but liquor revenue in BC is still not meeting pre-HST expectations (even though liquor sales and revenues were up across Canada during this time period). • If we look at the LDB projection for 2013/2014 and 2014/15 with the PST returned, the revenue loss is confirmed. In these years, the LDB is forecasting LDB revenues which are significantly less than the amounts from 2009/10 even with higher overall sales numbers.

*Sales tax numbers would likely be greater than 10% or 7% of the total LDB sales numbers since some of the product would be sold through licensees who charge higher prices than the LDB but for ease of calculation and to be conservative, I have just used the base number.

As has been noted here earlier, when the HST was introduced, the combined federal/provincial sales tax rate on alcohol went down from 15% (10% PST + 5% GST) to 12% (5% Fed portion + 7% Prov portion). This would have created a reduction in consumer prices ... except that the government raised “liquor board markup” rates (e.g. the markup on wine went up from 117% to 123%) at the same time to eliminate any savings and with the intention of keeping provincial government revenue constant. The plan was to increase net LDB revenue to government in order to compensate for the loss in sales tax revenue. So for example, in the LDB’s pre-HST service plan (page 19), one can see that LDB revenue was supposed to jump up following the introduction of the HST: for 2010/11 the projection is 973.7 (million) then 1013.5 for 2011/12 and 1039.2 for 2012/13. It is apparent from the above figures, that government revenue did not remain constant during Page 4 Canadian Grapes to Wine • Summer 2013

• The numbers are contained in the latest LDB Service Plan which is available from the BC Liquor Stores web site (earlier numbers are available from earlier service plans and annual reports). My estimate of the overall loss to government over the period looks to be at least $185 million. If nothing else, these major losses should cause BC’s next government to reconsider the current approach to raising money from liquor sales, which relies on the complicated mix of taxation and “liquor board markups” described above. By contrast, if the government simply raised its liquor revenue from straightforward taxes on liquor (such as a version of Alberta’s flat liquor tax) then none of the above would have happened ... and government would have been able to rely on a consistent and stable source of liquor taxation revenue. Please let me know if you have any comments or corrections to the numbers set out above. www.winelaw.ca 604-670-2075 www.cdngrapes2wine.com


Editors Note Summertime and the growing season is on. By the time this gets to everyone the vintners tasting rooms should be teeming with tourists, the canopy on every grower’s vines should be full and lush and everyone should be smiling. Summer is a “much looked forward to season” in Canada. In June, hundreds of wine bloggers will gather for a conference in Penticton BC. Then come July the wine industry will do the same for The Tari Di Bello 14th Annual Enology & Viticulture Conference. Triggs International Premium Vinifera Lecture Series returns this summer to Brock University. And if you would like to attend the largest International Enological And Bottling Equipment Exhibition held worldwide, Simei will be held this fall in Milan, Italy. We are featuring four wonderful growers in this issue, two from BC and two from Ontario. All four are fine examples of what makes the Canadian wine industry credible – fabulous fruit. Take a minute in between the vineyard monitoring, the planning of the upcoming crush, and winery bookwork to take a breath. Sit on a patio at one of our many winery bistros or restaurants and have a wonderful lunch or dinner. Take a good look at all the green, smell the fresh cut grass and place those two things in your memory bank so this winter when it is cold and gray you can remember those warm and colorful events of summer.

Happy Summer! - Tari

Advertiser Index 2 Bruni Glass Packaging 7 Simei 8 BC Wine Grape Council 9 Vinetech & Okanagan Viticulture 10 Myers Norris Penny (MNP) 11 AO Wilson, Tom Di Bello Consulting 13 Neal Carter Agricultural Nets & Fabrics, BDO 15 Scott Laboratories 17 Cellar • Tek 20 Nadalie, Okanagan Fertilizer Ripley Stainless 27 29 Larry Bilksto, IDL Process Solutions 32 Mori Vines, Raynox 33 Remco Products - Cellak • Tek 34 Artus Bottling, AMCOR 35 Superior Peat, Okanagan Barrelworks 36 Tricor Braun

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ISSN 1188 - 1348 Publications Mail Registration No. 41262017

ON THE COVER Judy Bishop - The Travelling Eye is a veteran photographer, world traveller, and writer and business marketer. She provides quality corporate and personal photo services and she is currently applying her deep knowledge of oenology and the Okanagan valley to a 3-year project. In collaboration with Canada’s leading wine writer, a photobook about the 4 seasons of the Okanagan wine industry will be published in 2013. Judy is a Getty Images featured photographer.

PM # 4126 2017

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2013

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Canadian Grapes to Wine • Summer 2013 Page 3


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