Winepress - July 2020 by Winepress Magazine

THE OFFICIAL MAGAZINE OF WINE MARLBOROUGH

ISSUE NO. 307/ JULY 2020

STRANDED WORKERS

ECONOMIC IMPACT

Photo: Jim Tannock

wine-marlborough.co.nz

HEMP REPORT

WATER REGULATIONS

this issue...

REGULARS

FEATURES

3 4

10 An Unkind Cut

6 24 26 28 30 32

Editorial - Sophie Preece

From The Board Nick Entwistle TasmanCrop Met Report Rob Agnew Pioneer - Sioban Harnett Generation Y-ine - Cara Hayes

“There’s plenty of work for everyone in Marlborough and we know that most of you would rather be working than not,” Wine Marlborough’s Vance Kerslake told 200 vintage workers, after Government refused further leniency on visas.

14 Driving Recovery

Biosecurity Watch Sophie Badland Industry News Wine Happenings

Cover: Pruning at Rimapere Photo Jim Tannock

As the economic ramifications of Covid-19 roll through Marlborough, we speak to experts about how the region, and its wine industry, might fare. There’s bound to be pain ahead, but Sauvignon Blanc seems something of a saving grape.

22 Hemp Research

Growing hemp between grapevines has yielded unexpected results in the associated wines, with a greater diversity and number of native yeasts.

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General Manager: Marcus Pickens 03 577 9299 marcus@winemarlborough.nz Editor: Sophie Preece 027 308 4455 sophie@sophiepreece.co.nz Advertising and Subscriptions: Sarah Linklater 021 704 733 sarah@winemarlborough.nz Wine Marlborough Board: Ben Ensor ben.lisa@clear.net.nz Beth Forrest Beth@forrest.co.nz Callum Linklater callum@csviticulture.co.nz Jack Glover jack.glover@accolade-wines.co.nz Kirsty Harkness kirsty@mountbase.co.nz Nick Entwistle nick@wairauriverwines.com Stuart Dudley (Deputy Chair) stuartd@villamaria.co.nz Tom Trolove (Chair) tom.trolove@framingham.co.nz Tracy Johnston Tracy@dayvinleigh.co.nz Jamie Marfell Jamie.Marfell@pernod-ricard.com Designed by: Blenheim Print Ltd 03 578 1322 Disclaimer: The views and articles that are

expressed and appear in Winepress are entirely those of contributors and in no way reflect the policy of the Marlborough Winegrowers. Any advice given, implied or suggested should be considered on its merits, and no responsibility can be taken for problems arising from the use of such information. This document is printed on an environmentally responsible paper, produced using elemental chlorine free (EFC), third party pulp from responsible sources, manufactured under the strict ISO 14001 Environmental Management System and is 100% Recyclable.

From the Editor WINE MAKES up 19% of Marlborough’s GDP, and when the industry takes a hit, the ramifications are wide reaching. So, as wine companies face the extended hibernation of on-premise trade around the world, and grape growers face rising costs and the possibility of lower grape prices, other Marlborough businesses will tighten their belts in preparation (pg 16). But there’s no doubt that Marlborough could be facing a far worse scenario - if the harvest had been stopped due to Covid-19, for example, or if technology hadn’t enabled us to foil the tyranny of distance (and isolation). Another saving grace seems to be Marlborough Sauvignon Blanc. The reliable, affordable, and internationally beloved wine that put this region on the map, has proved mightily resilient in retail circles. Marlborough can count itself lucky that its Sauvignon Blanc “is what it is”, says wine broker George Geris on page 17, also noting the pull of the region’s good value Pinot Noir in tough times. ANZ food and beverage specialist Rob Simcic agrees that Sauvignon Blanc remains a winning hand. There’s no ignoring the hit to cellar door and onpremise sales channels, and the “genuine challenge to make that up”, but “the fundamentals” of the New Zealand wine industry in the medium to long term are “really positive”, with sustained investment in the industry, and “enormous opportunity” in becoming Covid-free, he says. “That’s a real positive in international markets.” On another positive note, Infometrics is revising its forecast for Marlborough, after a May report predicted there could be 2,600 job losses across the district by March next year, while noting that some industries - such as wine - are better-placed to weather the Covid-19 storm. Senior economist Alistair Schorn (pg 14) now views the outlook as “finely balanced” with a high level of risk and uncertainty remaining, but a starting position “possibly not as dire as we initially imagined”. Certainly, car dealerships seem happy, reporting strong sales as Marlborough consumers spend money earmarked for travel on big ticket items. “Travel is a big competitor to us every winter,” says Paul McKendry of McKendry Ford. Meanwhile, pruning is progressing well throughout the region, despite the absence of many of the winter Recognised Seasonal Employer scheme workers locked out of the country. Wine Marlborough, contractors, local Government and industry have been working hard to ensure there are enough people trained to do the job so vital to the success of future harvests. Some of their work has yielded excellent results, including a new training grant (pg 15) to set 200 people up for work in the vines. But some intense lobbying has gone unrewarded, and hundreds of stranded vintage workers, who’d been supporting themselves though pruning jobs, are no longer able to work in New Zealand, although many cannot travel home. “I don’t understand why they are keen to give people handouts when there is a really obvious solution. Extend their visas - problem solved,” says a winemaker on page 10. SOPHIE PREECE

Winepress July 2020 / 3

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From the Board NICK ENTWISTLE

COVID-19, that bastard that took the shine off one of the best vintages in recent history, with a sea of hand sanitiser and self-isolation, continues to provide challenges for wineries looking to bring their wines to market. We may well have eliminated it from our local communities, albeit with a few cases cropping up at the border at the time of writing. But in many of the overseas markets into which we sell our wines the pandemic continues to cause significant disruptions to people’s lives and livelihoods. The phrase ‘new normal’ is something we are all becoming more and more familiar with, a simple term outlining the realisation that things may never go back to the way they were before. But what does that mean for an industry whose traditional marketing and sales strategies are often closely linked to overseas travel, socialising, and storytelling? How are wineries continuing to engage with customers and consumers in this new age of travel restrictions and social distancing? It is not surprising that the biggest impact has been felt by those producers who rely heavily on on-premise wine sales, with the abrupt closure of bars and restaurants worldwide having an immediate effect on sales in many markets, whereas those producers selling through offpremise and online channels seem to be faring somewhat better. With overseas travel off the table for the foreseeable future, many wineries are now turning to the online world to maintain engagement with customers and consumers alike. Zoom and other video conferencing technologies have been rapidly adopted as a means of providing somewhat familiar wine experiences, such as winemaker led tastings, albeit via a computer screen rather than face to face. Speaking with a number of winemakers across the region, it sounds like many are embracing the technology and getting creative with the experiences offered, which range from wine and cheese pairings to virtual “long lunches”, and in one case even wine and yoga classes. This ability to interact directly with consumers, many of whom are still in lockdown and under quarantine conditions in the safety and security of their own homes, has resulted in many tastings being far better subscribed than if they had been held in market prior to lockdown. As one winemaker put it, “we had more people attend the online tasting than we ever would have if I had flown halfway around the world to present the wines in person; that being said, I did have to get up at 4am to do the tasting due to the difference in time 4 / Winepress July 2020

“Many are embracing the technology and getting creative with the experiences offered, which range from wine and cheese pairings to virtual “long lunches”. zone! The adage ‘it’s wine o’clock somewhere’ certainly rings true now more than ever.” Ongoing travel restrictions are also set to have a significant impact on flying winemakers who would normally leave Marlborough in the coming months for harvests in the northern hemisphere. Online tools have always been central to communication with winemaking clients overseas, but the technology can only go so far towards the skills and experience that can be provided in person. For most, the risk of illness coupled with the mandatory time spent in quarantine post travel makes the prospect of an overseas vintage this year unviable. Mind you, they say necessity is the mother of invention and us Kiwis have a long and proud history of getting stuck in to make the best out of a tough situation. I am sure that with the pool of creative and innovative minds who now find themselves local for the foreseeable future, in the coming months we will see many more new and exciting ways in which we can continue to take our unique wines and stories to the world. For the time being, online tastings may be the “new normal”, but eventually bars and restaurants will reopen, border restrictions will be removed, and we’ll be able to get back out in the trade again with bottles in hand to catch up with our wine friends around the world.

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MET REPORT Table 1: Blenheim Weather Data – June 2020 June June 2020 2020 compared to LTA GDD’s for month -Max/Min¹ 20.3 105% GDD’s for month – Mean² 36.5 105% Growing Degree Days Total July 19 to June 20-Max/Min¹ 1441.9 107% July 19 to June 20 – Mean² 1520.3 103% Mean Maximum (°C) 14.4 +0.6°C Mean Minimum (°C) 5.3 +1.8°C Mean Temp (°C) 9.8 +1.1°C Ground Frosts (<= -1.0°C) 3 9 less Air Frosts (<0.0°C) 0 5 less Sunshine hours 115.1 76% Sunshine hours – lowest Sunshine hours – highest Sunshine hours total – 2020 1285.9 103% Rainfall (mm) 77.6 119% Rainfall (mm) – lowest Rainfall (mm) – highest Rainfall total (mm) – 2020 203.4 66% Evapotranspiration – mm 32.8 99% Avg. Daily Windrun (km) 181.2 82% Mean soil temp – 10cm 7.6 +1.6°C Mean soil temp – 30cm 9.8 +1.5°C

June LTA

Period of LTA

June 2019

19.3 34.6

(1996-2019) (1996-2019)

8.2 28.3

1346.9 1473.9 13.8 3.5 8.7 12.1 5.1 151.9 91.8 205.2 1241.8 65.0 8.0 154.9 308.3 33.2 222.3 6.0 8.3

(1996-2019) 1599.0 (1996-2019) 1660.6 (1986-2019) 14.2 (1986-2019) 2.8 (1986-2019) 8.5 (1986-2019) 15 (1986-2019) 7 (1986-2019) 170.1 1981 1959 (1986-2019) 1428.9 (1986-2019) 18.0 1974 1943 (1986-2019) 259.6 (1996-2019) 32.7 (1996-2019) 186.0 (1986-2019) 6.3 (1986-2019) 8.9 1

¹GDD’s Max/Min are calculated from absolute daily maximum and minimum temperatures ²GDD’s Mean are calculated from average hourly temperatures

Temperature and Frosts June’s mean temperature of 9.8°C was 1.1°C above the long-term average (LTA) temperature of 8.7°C. As June is mid-winter one can hardly describe temperatures as being warm. However, when compared with the previous three years (2017-2019), the June 2020 mean temperature was between 1.0 and 1.3°C warmer. Why? The very overcast weather in June 2020 meant that the average overnight minimum temperature in June was 1.8°C above the LTA; i.e. there were very few ground frosts. Cloud cover traps heat and stops the overnight temperatures dropping as low as on cloudless frosty nights. June 2020 is the seventh warmest June on record for the 89 years 1932 to 2020. Six of the seven warmest June’s have been since 2002 (Figure 1). The red trend line in Figure 1 indicates how much warmer June is now in 2020 compared to the 1930s and 1940s. June has warmed by about 2.3°C over the past 89 years.

Table 2: Weekly temperatures, rainfall, sunshine and frosts recorded in Blenheim during June 2020 Mean Max Mean Min

Rainfall Sunshine Total Total (mm) (hours) Ground Air Mean. Diff Frosts Frosts

1-7 June

14.8

5.1

10.0 (+1.3)

35.2

28.6

8-14 June

15.2

3.3

9.2

0.0

48.0

15-21 June

14.7

7.1

10.9 (+2.2)

37.8

13.1

22-28 June

13.6

6.2

9.9

(+1.2)

2.4

17.1

29-30 June

11.5

3.4

7.4

(-2.4)

2.2

8.3

1-30 June

14.3 5.3 (+0.5°C) (+1.8°C) 9.8 (+1.1°C)

LTA 1986-2019 13.8

6 / Winepress July 2020

(+0.5)

3.5

7.6 115.1 3 0 (119%) (76%) 9 fewer 5 fewer

8.7 65.0

151.9

12.1

5.2

Figure 1: Mean June temperatures for Blenheim over the 89 years 1932 to 2020

Table 3: Ground and air frosts in Blenheim during June Year Ground Frosts Air Frosts (<=-1.0°C) (<0.0°C) 2020 3 0 2019 15 7 2018 13 5 2017 10 1 2014 2 0 2012 15 7 L.T.A. 12.1 5.2 Three ground frosts in June 2020 is in marked contrast with 15 recorded in June 2019 (Table 3). Only June 2014, with two ground frosts, has recorded less in the 89 years 1932 to 2020. The coldest ground frost in June 2020 was -1.4°C. Quite remarkably -1.4°C was recorded on three consecutive days 13th, 14th and 15th June. In contrast the coldest ground frost last year was a chilly -5.4°C on 2 June 2019. No air frosts were recorded in June 2020. This is only the second time in 89 years that June has not recorded an air frost. The only other year is 2014. Rainfall Total rainfall in June 2020 of 77.6 mm was 119% of the LTA. January to June 2020 recorded 203.4 mm, 66% of the LTA of 308.3 mm. January to June 2019 recorded 259.6 mm, 84% of the LTA. January to June 2018 recorded 492.2 mm, 159% of the LTA. Rainfall for the 12 months July 2019 to June 2020 One year ago I detailed how the monthly rainfall totals over the 12-months from July 2018 to June 2019 varied from very low to very high. The same is true for the 12 month period

July 2019 to June 2020. In the past 12 months, five months recorded low rainfall (October, January, February, March and April). Four months recorded close to average rainfall (August, September, November and June). Three months recorded well above average rainfall (July, December and May). Total rainfall for the 12 months July 2019 to June 2020 was 604.8 mm, 94% of the LTA of 641.8 mm. July 2018 to June 2019 = 577.0 mm (90% of LTA) July 2017 to June 2018 = 740.6 mm (115% of LTA) Although the 12-month rainfall total was only slightly below average, the rainfall distribution over the 12-month period was very uneven (Figure 2). The first six months, July to December 2019 recorded 401.4 mm rain, 120% of the LTA. The second six months, January to June 2020 recorded 203.4 mm rain, 66% of the LTA. The four month rainfall total from January to April 2020 was only 44.2 mm, 24% of the LTA. Sunshine Total sunshine for June 2020 was 115.1 hours, 76% of the LTA of 151.9 hours. This is the tenth lowest June sunshine total on record for Blenheim for the 91 years 1930 to 2020. June 2020 recorded 55 hours less sunshine than June 2019. Total sunshine for the first six months of 2020 was 1285.9 hours; 103% of the LTA (1241.8 hours). One year ago I highlighted that the 12-months from July 2018 to June 2019 had recorded the second highest sunshine total on record. Despite June 2020 recording a very low sunshine total, the 12-month period July 2019 to June 2020 has recorded the sixth highest total for the 90 years 1930-31 to 2019-20. Remarkably, of the six highest 12-month July to June sunshine totals, four of these have occurred since 201415 (Table 4). Winepress July 2020 / 7

Figure 2: Blenheim rainfall for the 12 months July 2019 to June 2020 compared to the long-term average

Table 4: Highest July to June 12-month sunshine totals for Blenheim for the 90 years 1930-31 to 2019-20 Year Sunshine hours Rank 2015-16 2781.0 1st 2018-19 2713.3 2nd 2014-15 2691.8 3rd 1972-73 2687.4 4th 2002-03 2655.9 5th 2019-20 2653.3 6th L.T.A. 1930-2019 2463.0 Although the 2018-19 and 2019-20 years were both very sunny there was a marked difference between the two years. The 2018-19 year was very sunny in the six months from January to June 2019 whereas the 2019-20 year was very sunny from July to December 2019. As detailed earlier this

8 / Winepress July 2020

year the 2019 calendar year was the second sunniest on record. Wind Average daily wind run for June 2020 was 181.2 km, with an average wind speed of 7.6 km/hr. This was well below the long-term average wind-run for June of 222.3 km and wind speed of 9.3 km/hr (1996-2019). June has only recorded above average wind-run in one year out of the last 10 years (2011 to 2020). Rob Agnew Plant & Food Research â&#x20AC;&#x201C; Marlborough Research Centre

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Unkind Cuts Vintage workers plucked from pruning jobs as visas expire SOPHIE PREECE

HUNDREDS OF cellar hands have been left stranded in Marlborough without work, as the Government refuses further leniency on their visas. On a grey and rainy June evening, Wine Marlborough advocacy manager Vance Kerslake informed 200 young foreigners that the organisation had been “working incredibly hard” to get the Government to change the rules around working visas, including repeated pleas to senior officials, Government ministers and a Parliamentary Select Committee. “We think it makes a lot of sense that they should support you,” Vance told the group. “There’s plenty of work for everyone in Marlborough and we know that most of you would rather be working than not, so we are very disappointed that the Government hasn’t made those changes.” Wine Marlborough general manager Marcus Pickens opened the Temporary Vintage Workers seminar by thanking the audience for all their work over vintage 2020 – “a vintage like no other, as you all know firsthand”. He said the meeting had been organised to ensure that those who flew across the world for the Marlborough vintage have a good understanding of where they stand now, with input from Immigration New Zealand (INZ), Emergency Management Marlborough and Temporary Accommodation Services representatives. “This session is all about you guys here tonight”, Marcus said to the assembled cellar hands, many of whom have been working as pruners in recent weeks, following a dispensation on visas that allowed them to work outside their original visa constraints (see sidebox) until June 24. The stranded workers were given reassurance that Civil Defence would ensure no one went hungry, cold or without accommodation, but that it was important they contact embassies and travel agents and make plans to return to their own countries. That drew bemused laughter from the audience, including dozens of South Americans with absolutely no way of returning home. An INZ representative said visas for vineyard pruning work were issued to Recognised Seasonal Employer scheme (RSE) workers, via international relationships with Pacific Island countries. Many summer RSE workers were stranded in New Zealand and needed work and support, they heard. 10 / Winepress July 2020

Argentinian cellar hand Pablo Cordero, photographed by Jim Tannock for the cover of the June Winepress

They also noted that INZ had a responsibility to prioritise employment opportunities for the increasing number of unemployed New Zealanders, including in Marlborough. Those factors meant the likelihood of any kind of change in the current situation is “extremely small”, the audience heard. Vance says with some of the winter RSE workforce shut out of New Zealand - stripping the industry of many skilled and experienced pruners - vintage workers, summer RSE teams and New Zealand pruners had been key to getting pruning underway. Now there is an increasing likelihood that summer RSE workers will be able to return to their own countries, with the first repatriation flights leaving last month, carrying around 1000 Central Otago summer employees home to Vanuatu. “That’s fantastic, because

Vis-à-vis visas Many winemakers and cellar hands in New Zealand for vintage 2020 had their visas automatically extended to September 25 by an Epidemic Management Notice. As winery work ran dry at the end of vintage, some were then able to tap into a Temporary Relaxation of Visa Conditions, which allowed them to do a different job for the same employer for six weeks after New Zealand went into Alert Level 2, taking them through to June 24. Wine Marlborough advocacy manager Vance Kerslake says that meant hundreds of cellar hands could become pruners, helping fill the shortfall in workers caused by Covid-19, because some of the experienced workforce of Recognised Seasonal Employer scheme (RSE) winter workers, who come in from Pacific Islands for pruning work, are unable to enter the country.

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they’ve been here far longer than they intended, and want to get home,” says Vance. “But it does mean that we need more people on the ground who know how to prune, and Government has just told hundreds of them - many of whom are ready, eager, experienced and actually quite desperate - that they need to drop loppers and sit at home until they find a flight.” Without fail, the cellar hands at the meeting preceded their questions with gratitude for the care and kindness they had been shown to date. “I have to admire that New Zealand is doing a really good job in terms of taking care of the immigrants, even though it doesn’t look like it to everybody,” said a man from the Czech Republic. But faced with no flights, no job opportunities and dwindling savings, many questioned how they could be left out in the cold when there was clearly work in Marlborough. Some vintage workers come every year, to “fight for every vintage”, said Caterina Rossi from Chile. “We work hard… We really fight to have a good economy for the country. We want to feel like you will take care of us, like we take care of you.”

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Vavasour production winemaker Susan Van Der Pol felt largely the same way, talking of the responsibility owed to vintage workers who are only stranded because they were invited to work in New Zealand. “I have a real concern that if we don’t look after the people in this room at the moment, we are going to be facing a really huge issue in Marlborough next year,” she said at the meeting. “If we let some of these people go home, what are we going to do? We’re going to have no vintage because no one will come into the country, because you kicked everyone out.” Speaking after the meeting, Susan said Vavasour had 16 vintage workers for the 2020 harvest, including four Kiwis - one in their second vintage with the company (“which was great”), two Marlburians who’d just finished university, with no experience (“which was pretty stressful”), and one recent winemaking graduate from New Zealand. The other 12 were experienced vintage workers from overseas, including six returnees and one on their ninth consecutive vintage with the company. Having that level of skill gave her team confidence in having the green Kiwis on board, says Susan. “We had already invested a lot of training into those staff members… they know where the spanners live. They know where everything is, and they know how we operate.” They

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Winepress July 2020 / 11

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also know to expect the hard work of vintage, she adds. “One of the comments from one of the first timer (New Zealanders) was, ‘I had no idea it was such hard work’.” Susan kept some of the overseas vintage workers on in the winery after harvest, which gave her the opportunity to rest full-time staff after the pressure of harvest, giving everyone fewer hours. Other cellar hands went on to

“There’s plenty of work for everyone in Marlborough and we know that most of you would rather be working than not.” Vance Kerslake

work for Vavasour in the vines, helping with the shortfall in pruners. As of June 24, she could keep on a couple of winemakers to help with blending, but was no longer able to maintain the pruning jobs, which has left her feeling upset for her crew. “We have the work. We have people who want to work. I don’t understand why they are keen to give people handouts when there is a really obvious solution - extend their visas; problem solved.” Licensed immigration advisor Megan Rosene, speaking at the information evening, said it was disappointing Government hadn’t yet used the Immigration Amendment Act to apply blanket solutions, including for workers who came to Marlborough for vintage and were filling a current labour need in the vineyards. Speaking since the meeting, she says unemployment figures appear unreliable for the region, and she has seen retail positions close with no applications from New Zealanders. “I don’t think you can take a number of unemployed and assume those people would be willing and available and ready to do any job.”

12 / Winepress July 2020

Pruning at Rimapere, Photo Jim Tannock

Vintage 2021 Wine companies are worried about getting vintage staff for the 2021 harvest, says Wine Marlborough advocacy manager Vance Kerslake. “And it’s certainly not going to be easy bringing in cellar hands from overseas.” Increasing levels of unemployment in New Zealand, and the need for a Labour Market Test before work visas can be issued, means there is likely to be more scrutiny on the wine industry in the lead-up to the next vintage, says Vance. “The expectation will be that wineries will look to train New Zealanders for winery roles wherever possible.” Wine Marlborough held a webinar on preparing for Vintage 2021 on July 1. To see a recording of the webinar, email advocacy@winemarlborough.nz to request a link, or read more in the August edition of Winepress.

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Megan says dealing with people personally, on a case by case basis, reveals the stress and uncertainty being caused as visas reach expiry and work rights disappear. “When you live in Blenheim it’s pretty hard to not know someone affected.” She is also very concerned about those in New Zealand on visas not captured by the Immigration Epidemic Notice. As of July 10, some visas will start expiring, so she and other immigration professionals planned to hold a free session in early July, to advise foreign workers on the risks of becoming unlawful, and options for avoiding that situation. Catherine Coates, the group welfare manager for Marlborough Civil Defence Emergency Management, told the group that any stranded overseas vintage workers who need help should contact the organisation. She said the expectation was that people will tap into their own resources first, including savings that are not required for flights home, but there is a safety net to supply the likes of supermarket vouchers and give advice on temporary accommodation services. Catherine said she could not imagine how lonely some people in the audience might be, away from family, friends and contacts while their own countries were in troubled times. It was an important time to stay in touch with the networks they had made while working in Marlborough. “You will support each other in a way that I can’t.” Marlborough Winegrowers board member Nick Entwistle also attended the meeting, and says it is “very disappointing” that despite concerted efforts from Wine Marlborough and New Zealand Winegrowers there has been no action from Government to temporarily extend visas for stranded harvest workers. “The fact that during these unprecedented times, compassion and common sense are being ignored at the expense of people who contribute so much to our industry and communities is heart-breaking, as in many cases wine companies and vineyards could be in a position to support stranded workers but are unable to do so due to the potential legal ramifications”.

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For updates from Immigration New Zealand, check the Covid-19 tab at immigration.govt.nz or contact Vance Kerslake at advocacy@winemarlborough.nz. On July 1 the process for overseas vintage workers to seek help changed. For information on emergency welfare, go to foreignnationals.services.govt.nz or call 0800 REDCROSS.

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TEAM Effort A long way to go to rebuild CATHIE BELL

THREE MONTHS after the country was plunged into lockdown because of Covid-19, it’s still not clear what the future will hold. Economics agency Infometrics produced a forecast for Marlborough in May, and predicted there could be 2,600 job losses across the district by March next year, many of them in hospitality, tourism and retail. The firm predicts that young people and Māori will be more heavily affected by job losses than other age demographics. Some industries - such as Marlborough’s wine industry - are better-placed to weather the Covid-19 storm, it says. Infometrics senior economist Alistair Schorn - based in Marlborough - says in the weeks since that initial forecast, the agency has been revising its estimates, and views the economic outlook as “finely balanced” with a high level of risk and uncertainty remaining. Actions taken by the Government in its May Budget and the ongoing wage subsidy, as well as steps taken by the Marlborough District Council (MDC) to support local businesses, have all helped to soften the impact. “The move down the alert levels was faster than we had imagined, and there has been no going back up a level. As a result, the starting position is possibly not as dire as we initially imagined.” However, he is still cautious. The international situation is getting progressively worse, which is likely to have flow-on economic 14 / Winepress July 2020

effects here, Alistair says. “There is still going to be a long tail to this… in Marlborough, we haven’t seen the worst of it yet.” MDC strategic planning and economic development manager Neil Henry was the lead official on The Economic Action Marlborough (TEAM) group. He says the Covid-19 pandemic has caused the worst economic impact in 100 years. TEAM, a working group across industry and government, was set up quickly in March, and in May published a report on steps that should be taken in the first three months of the crisis - the “recovery” phase. The wine industry’s labour needs are an ongoing priority for the region, with TEAM looking to advance projects to keep employment up in the region and fill workforce gaps. Border closures mean experienced workers may be unavailable for at least the next year, and Kiwi workers will be needed to fill the gap, Neil says. “We’re partnering with the Government’s activity in this area, led by the Ministry for Social Development.” Steps taken for the wine industry as part of TEAM’s Phase One work have seen MDC put $75,000 into a domestic tourism marketing campaign to help bring visitors to cellar doors and local restaurants, with the Government also contributing extra funding to regional tourism operators, including Destination Marlborough. The council is also pushing the

“There is still going to be a long tail to this.” Alistair Schorn Government to fund three “shovel ready” projects for the wine industry. One is a $34 million multimodal logistics hub at the Riverlands Industrial Estate, which would deliver a state-of-the-art supply chain and logistics hub to reduce wine industry freight costs and improve transport resilience. The second would provide new facilities for the Marlborough Research Centre, and the third is the development of the Flaxbourne Irrigation Scheme. Neil says Phase Two’s work is beginning now, covering the “resilience”, “return” and “reimagination” phases, to be carried out over the next two to three years. It will be more in-depth than Phase One, engaging more heavily with the wine industry to find new ways of keeping businesses going, people employed, and developing the Marlborough economy. “It’s still unclear what’s happening, locally and particularly internationally. We want to know what the critical factors for success are. We want to hear from the wine industry businesses in this work.” Cathie Bell wrote the report for TEAM, called “Marlborough’s Economic Recovery Response Plan for Covid-19 Phase One: May to June 2020”.

EDUCATE

Great Scott Don’t fear a career change CATHIE BELL

BEING MADE redundant from broadcasting was one of the best things that ever happened to Scott Radovanovich, who’s loving life in the vines. “Every single day of this job brings new experiences for me,” says the machinery operator at Wither Hills, who is also training through Primary ITO to further upskill. He urges others who might also find themselves without jobs to check out opportunities in the wine industry, saying he had never even driven a tractor before he took on casual work over harvest last year. “I’d never done anything like it in my life. They want someone who has a good work ethic and turns up, they can teach you the rest.” Scott was the familiar voice on radio in Marlborough, presenting regular shows and voicing advertisements. He’d

“They want someone who has a good work ethic and turns up, they can teach you the rest.” Scott Radovanovich worked in broadcasting for 23 years before being made redundant in November 2018. Despite his skills, he found it hard to get work, until he was offered a harvest role by Matt Ham at Wither Hills. “I was on nightshift; I loved it. I couldn’t get enough.” After last year’s harvest, Scott tried other jobs but says they “just weren’t me”. Wither Hills got back in touch with him in October last year, and he was thrilled to join their team. His past career in radio “doesn’t really” come up anymore and Scott says he doesn’t miss it. He was doing 65-75 hours a week on radio, on salary. The hours are much better in viticulture, and he gets paid for extra hours in summer. “In hindsight, redundancy was the best thing that could have happened to me,” he says. “There’s plenty of opportunities in viticulture for men and women from all backgrounds, so don’t limit yourself by thinking ‘it’s not

for me’ if you want to work outside with great people, drive vehicles that you only dreamed of driving when you were a kid, do an honest day’s work and have fun while doing it, then viticulture could be the start of your new career.”

Viticulture training provides 200 opportunities in Marlborough The wine industry has joined with its Primary Industry Training Organisation and Government to bring viticulture training and job opportunities to Marlborough. Wine Marlborough, New Zealand Winegrowers and New Zealand Master Contractors worked with industry representatives and the Primary Industry Training Organisation (PITO) to design the training and fund its development. The Ministry of Social Development (MSD) will provide the funding for 200 training placements for New Zealand-resident job seekers whose employment has been affected by Covid-19. The funding is specific to Marlborough, where the pandemic has resulted in a skills shortage for winter pruning. The training will cover unit standards in vine training and pruning along with pre-employment theory work. “Covid-19 has had a huge impact on our industry and the availability of our usual workforce,” says Vance Kerslake of Wine Marlborough. “By coming together with our training organisation and MSD we’re meeting the industry’s needs at the same time as creating employment opportunities for our local community.”

Winepress July 2020 / 15

GROW

Capital Cuts Growers prepare for turbulent times SOPHIE PREECE

MARLBOROUGH GRAPE growers are cutting capital outlay, as they face rising costs, delayed returns, and the prospect of lower grape prices. Leslie & O’Donnell Accountants director Alex Barton says her clients are relieved to have a successful 2020 harvest under their belts, “but the pressure is coming on from an increasing cost base and the potential for payment terms being stretched out”. Growers had a tense lead-up to the Covid-19 lockdown, as they considered the possibility of the industry being shut down mid-harvest, leaving grapes to rot on the vine. Having escaped that outcome and navigated the complexities of an Alert-Level 4 vintage, they are now working to shore up their businesses for the next few years, says Alex. That includes preparing for a potential drop in grape returns, as the global recession puts downward pressure on wine prices. With grape contract negotiations looming at a time when some wine companies are awaiting late payments from restaurants and even some supermarkets, “they may be looking to stretch out their payment terms”, says Alex. Growers were already facing declining profits, with the 2019 Viticulture Benchmarking report revealing a 13% decline in profitability on 2018 - 31% down on the five-year average - largely due to a 10% increase in working expenses. The 2020 pruning season was expected to be more costly again, with the minimum wage upped by $1.20 to $18.90 per hour on April 1. Now, closed borders have exacerbated that situation, with labour scarcity resulting in an unskilled work force, lower productivity and higher costs, says Alex. Despite tightening their belts, many growers are taking open-ended contracts to ensure the work is done, she adds. In the meantime, vineyard owners are reducing drawings and distribution, and cutting capital expenditure to keep balance sheets in better health. That will have 16 / Winepress July 2020

“Wine companies may be looking to stretch out their payment terms.” Alex Barton ramifications for the region at large, as less money filters down through viticulture service companies. “They will have to look at their businesses too,” says Alex. “Like the wine companies and growers, they will be looking to defer capex, assess their business structures, and make sure they are prepared for the next 18 months to two years, which could be difficult.” The lower profit margins are also likely to impact on the value of vineyard land, although the low cost of borrowing remains a saving grace, says Alex. “Lower interest rates mean that even with lower returns, vineyards remain quite an attractive investment.” Borrowing rates will also help growers survive the tougher period, reducing the cost of their debts, she says. However, it is vital that companies prepare for tighter times ahead, with a strong balance sheet “to weather the turbulent times” (see top tips sidebox). The industry will also require some give and take from growers and wine companies, to share the burden of cost pressures, Alex says. “Once we are through this, the future is bright. It’s a good outlook, as long as we are not complacent.”

Top tips from Alex Barton • Prepare a cashflow forecast – test different scenarios • Consider the decisions to make in each scenario – be prepared to act quickly • Strengthen your balance sheet – it’s easier to talk to your bank sooner • Consider deferring capital expenditure – how long until the project will be cashflow positive? • Review your cost base – run through each cost category • Consider your drawings – retain funds in the business • Review capital structure – lower interest rates create opportunities

GROW

Saving Grape Marlborough Sauvignon Blanc helps cushion the blow SOPHIE PREECE

MARLBOROUGH’S WINE industry has fared better than other regions in recent months, thanks to strong sales through retail channels and a proportionately lower reliance on wine tourism, says ANZ food and beverage specialist Rob Simcic. Regions like Central Otago - more deeply wed to on-premise sales - had a double blow from Covid-19, when tourists stopped coming and restaurants stopped serving, here and around the world. “That’s not to say Marlborough wine companies have not been affected immediately as well,” he says. “Cellar Door and on-premise sales channels are taking a hit and there’s a genuine challenge to make that up.” It’s likely a portion of overseas food service and hospitality providers will drop off the landscape in the next six to 12 months, limiting the onpremise recovery, Rob says. And while retail sales have been buoyant, there are anecdotes of some price pressure creeping in from offshore buyers. “There’s definitely some hurt out there and I suspect it may get worse before it gets better.” On the flipside, “the fundamentals” of the New Zealand wine industry in the medium to long

Rob Simcic

term are “really positive”, says Rob. The stellar growth of the Sauvignon Blanc sector – and in particular Marlborough Sauvignon – remains a winning hand. And there is sustained investment in the industry, adds Rob. “We are seeing existing players looking through the next 12 to 18 months and saying, ‘the fundamentals are still good in the long term’.” Meanwhile, there’s “enormous opportunity” in becoming Covidfree, he says. “That’s a real positive in international markets. New Zealand has received some fantastic global publicity through this whole process. It’s not over, but it all helps when the overwhelming majority of our product is being exported.” Rob says wine companies have had to respond swiftly to the challenges in recent months, with operational and marketing solutions tailored to their own offering and markets. “In these challenging times, businesses are having to be much more hands-on and much more deliberate about how they produce, how they sell and where they sell; and knowing exactly who their customers are.” There has been a “big shift in focus to increase sales direct to consumers via

mail lists and e-commerce”, and some companies are doing that well and others are struggling to get their share”, Rob says. “Without a doubt a sharp digital sales strategy is vital for any business.”

A Sauvignon Save Marlborough can count itself lucky that its Sauvignon Blanc “is what it is”, says George Geris of Winebrokers New Zealand. “It’s a special and unique wine internationally.” That could have a strong influence on the outcomes for the region’s wine industry going forward, says George, who has not experienced downward pressure on wine prices to date. “We may even see an increase in interest in Marlborough Sauvignon,” he says, noting the good value and reliability of that segment, putting it in a reasonable position to replace other higher priced options in consumers’ shopping carts. “That could be really good for us. And it may also be the case with our very good value Pinot Noir.”

Winepress July 2020 / 17

PROTECT

Healthy Waterways Reprieve for grape growers in new regulations SOPHIE PREECE

THE GOVERNMENT’S revised water regulations package is less onerous for low-impact sectors like viticulture, says Wine Marlborough advocacy manager Vance Kerslake, who welcomes the change. “We didn’t want burdensome and expensive regulations imposed on grape growers to fix something that wasn’t a problem in the first place.” The Ministry for the Environment released the new Action for Healthy Waterways package in May, after receiving more than 17,500 submissions on its original proposals. They included submissions from Wine Marlborough, emphasising the low impact of grape growing on water quality, and the success of existing regulations under Sustainable Winegrowing New Zealand (SWNZ), says Vance. He says the original reforms “seemed to be have been written with dairy in mind”, but grape growing has not contributed to the degradation of waterways, “with 98% of Marlborough’s rivers and 100% of our lakes deemed swimmable”. Groundwater under vineyards meets the Government’s drinking water standards, “with very low levels of fertiliser and irrigation used, compared to other kinds of farming”, he adds. The original proposal’s measures to limit intensification meant any development of more than 10 hectares, which required irrigation, would have needed resource consent and a certified Freshwater Module of a Farm Plan. “We were worried that would duplicate the existing and successful SWNZ programme and create a whole cottage industry of farm management consultants,” says Vance. The revised regulations allow vineyards to be developed with irrigation, and while vineyards more than 5ha in size will require a farm management plan with a water module, “the Government specifically identified SWNZ as a potential way of dealing with that, which is really good news for the industry”, says Vance. Another positive, from Wine Marlborough’s perspective, is a “more pragmatic approach” to fencing waterways, with sheep excluded in those rules, “because sheep do not like to stand around in creeks and streams”, says Vance. “One of the points we made about sheep in vineyards is that it is an organic solution to grass and weed control through the 18 / Winepress July 2020

Tracey Marshall at Pernod Ricard’s flourishing 9-hectare Kaituna Wetland. Photo by Jim Tannock

Wetland protected in perpetuity Pernod Ricard Winemakers has stepped up its awardwinning commitment to the Kaituna Wetland in Marlborough, by putting it under a QEII National Trust covenant. This will protect the significant natural area in perpetuity, regardless of changes in ownership or management, says the wine company’s New Zealand sustainability manager, Tracey Marshall. Pernod Ricard has spent the past decade restoring the 9 hectare wetland through weed and pest eradication, and planting thousands of trees. QEII Trust Marlborough representative Tom Stein says Kaituna, which is one of the largest areas of raupo wetland on the Wairau Plains is one of the first wetlands in a Marlborough vineyard to have a QEII covenant. There’s opportunity for other vineyards to follow suit, “because they often have areas that are not suitable for planting”. Anyone interested in knowing more about a QEII Covenant can contact Tom at tstein@qeii.org.nz or go to qeiinationaltrust.org.nz/ protecting-your-land/

PROTECT

winter months, that adds natural fertiliser to the soil and removes the need to burn carbon by mowing.” The regulations, which come into force this year, will work to protect wetlands identified in council plans, which is something already addressed in Marlborough, says Vance. “Many of our growers work hard to enhance and restore wetlands, with weeding, trapping and planting programmes.” Marlborough District Council (MDC) environmental scientist Peter Hamill says the new Marlborough Environment Plan has already identified significant wetlands in the region, and put in place regulations to protect them, in discussion with landowners. The council also requires electronic records of water use from irrigators, meeting another requirement of the new regulations. However, Peter notes that in a few select cases, users in Marlborough do not report daily, as required by Healthy Waterways, due to connection issues. When it comes to sheep in vineyards, they should be fenced out from streams, he says. “We know that bacteria from manure causes water quality issues when sheep are not fenced from waterways in vineyards. Also many vineyards like to spray the edges of banks, and when sheep walk on these sprayed areas, they disturb sediment that gets into the streams.” Ideally, those banks will be planted with natives, reducing run off and the need for sprays, Peter adds. In announcing the package, Minister for the Environment David Parker said the primary sector and other groups will be financially assisted with the implementation of the new clean water standards through a $700m fund that would create jobs in riparian and wetland planting, removing sediments and other initiatives to prevent farm run-off entering waterways. Peter says the MDC has submitted bids for funding from the $700m pool, including for riparian plantings, biodiversity programmes, and protecting Significant Natural Areas.

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Winepress July 2020/ 19

EDUCATE

The BRI research winery opened in February

BRIght Future Research boosts wine productivity and national economy SOPHIE PREECE

THE CREATION of the Bragato Research Institute contributes $8 million to the New Zealand economy each year, including a $2.2m boost to Marlborough. That’s one finding from a new report by the New Zealand Institute of Economic Research (NZIER), which assesses how New Zealand wine research and development benefits the economy, including the impact of the Bragato Research Institute (BRI). According to the report, which was commissioned by the BRI, total wine research and development translates to a $41m increase in exports each year and a $64.5m lift in the size of the national economy, driven by enhanced productivity, with an $8.9m increase in Marlborough’s GDP alone. It is also responsible for a $37.2m boost in household consumption, and 258 new jobs, including 121 in regional economies. When it comes to Marlborough, that’s 17 jobs, $1.51m in wages and $2.43m in household consumption. The report’s authors use three historical industryfunded research projects principally undertaken by Plant & Food Research - mechanical shaking, timing of pruning, and trunk disease - to examine the contribution of research to annual economic growth of the wine industry. Using that information, as well as past studies, they concluded that research led to at least 20% to 25% higher annual economic 20 / Winepress July 2020

growth of the industry, and a $64.5m boost to the national economy. The wine sector accounts for 19% of Marlborough’s economy, so its fortunes are well supported by the productivity benefits of wine research and development, says BRI chief executive MJ Loza. The region also benefits directly from having the new research institute, with a $2.2m injection in jobs and spending in the region. There are further positive impacts not measured by the report, such as the introduction of more scientists and researchers to the region, many of whom are then actively involved in the wider community, says MJ. “It’s also hard to quantify the benefits of having more researchers and innovators together in a place,” he says. “It leads to the cross fertilisation of ideas.” BRI, which opened its research winery in Blenheim in February this year, is owned by the industry and aligns its research with the sector’s needs. BRI-funded research has included everything from climate change modelling to exploring nanotechnology for use in crop protection, says MJ. It has received total funding of $12.5m from the Ministry of Business, Innovation and Employment over five years. Between 2018 and 2022, BRI will manage a total value of $22m in research, funded by New Zealand Winegrowers and Government funds. On average, BRI spends $4.5m on its own research activity per year, with another $1.3m spent on research contracted to other organisations within the next four years, says the report. The NZIER report also looks at the risks of not investing in research and development. (R&D) “The wine sector will be competing with other primary sectors over factors of production, particularly labour. Our expert advice is that the only solution for the wine sector in the medium term will be to improve the productivity of labour, land and capital,” the authors conclude. “The challenges to the industry vary over time and innovative solutions will be required. The risk management aspect of R&D will require proactive and preventative research to ensure that the capability to extend the shelf life of research will be maintained and grown.”

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Winepress July 2020 / 21

EDUCATE

VinHemp Research Hemp in vines boosts yeast diversity in wines SOPHIE PREECE

GROWING HEMP between grapevines has yielded unexpected results in the associated wines, with a greater diversity and number of native yeasts. A new research report shows “overwhelmingly positive” feedback on wines made from grapes grown amid a Marlborough vineyard hemp trial, compared to wines from grapes in a control area. “The juice from the hemp had very high diversity of yeast species based on microscopic examination and plating”, says the VinHemp report, commissioned by grape grower Kirsty Harkness, co-funded by Callahan Innovations and run by Dr Mark Krasnow of Thoughtful Viticulture. As well as looking at wines from the 2019 vintage, the report describes comparable grape yields in the trial and control sites in the 2019/2020 season, as well as increased organic matter in the soils and vineyard biodiversity around the hemp. This is the first stage of a three-year research programme, says Kirsty, who is the first grape grower in New Zealand licensed to grow industrial hemp, allowing lush lines of leafy cannabis to flourish amid her Sauvignon Blanc. The hemp is a far cry from marijuana, with miniscule levels of high-inducing THC, but an abundance of benefits for the soil and biodiversity of Marlborough vineyards, says Kirsty. “It’s also a potential second income,” says the entrepreneur, who is licensed to harvest hemp seed for food products, is developing a gin with hemp botanicals, and plans to launch a hemp oil cosmetic skin care range, “as it is a zero pore clogging oil”. Simon Yarrow, Callahan Innovations’ group manager agritech, is enthusiastic about the opportunities. “It’s great to be supporting research in this growing and high-value space. Callaghan Innovation’s Project Grant will enable VinHemp to progress their work on this novel production system.” Kirsty says wine company feedback was a priority in the study, because any negative impacts on the wine - such as a taint - needed to be ascertained early on. Mark says the analysis by Babich Wines found few differences in juice composition, indicating that the hemp did not greatly affect ripening of the fruit, but picked up an increased diversity in yeast species. On seeing the results, Babich conducted 22 / Winepress July 2020

Kirsty Harkness with the interrow crop

a native ferment on the hemp wine. “Compared with other native ferments, the sample from the hemp showed a greater diversity and presence of non-saccharomyces yeasts at least 72 hours into the ferment,” Mark notes in the report. The winemaking team was “very pleased” with the quality of the wine produced from the grapes around the hemp, which would have gone into the top tier label had it been estate fruit. Mark also sent juice to a lab for analysis, to ensure there were no cannabinoids in the grapes. The negative result means Kirsty will be able to mulch the hemp down after the next summer seed harvest, creating a weed mat that will save money and help enhance the soils. Covid-19 complications meant the wine trial results could not be replicated this year, but Mark continued VinHemp research in the vineyard, analysing yields, organic matter and cation exchange capacity in the soils, and biodiversity in the trial blocks, which expanded from 4 hectares in the first year to more than 50ha on a variety of Marlborough vineyard sites this summer. The 2019/2020 research was complicated by irregularities between the clones and soils of the trial and control plots, but the results were nonetheless compelling, says Mark. Soil samples showed that the presence of hemp did not greatly reduce mineral content of the soil, and “soils from the hemp treatment had higher organic matter, soil carbon, and cation exchange capacity”. The hemp plants were able to grow in compacted tractor wheel tracks in one of the driest summers on record. “Green hemp plants were growing in the midrow when all the other plant cover had dried off, indicating it is a resilient cover crop that can establish even in dry years when other cover crops do not thrive.” The report notes that bees from hives near the hemp collected much more pollen than hives located elsewhere on the property. “Presumably, hemp would serve as a ready food source for other pollen consuming beneficial insects as well, and so might indirectly help protect the vines from predators, parasites, and pathogens.”

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Winepress July 2020 / 23

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Industry Pioneer The challenge and privilege of mastering Marlborough vines BRENDA WEBB

Photo by Kevin Judd

MARLBOROUGH VITICULTURIST Sioban Harnett enthuses about the young people entering the wine industry today. “I’m impressed and invigorated by them - there is great heart in the industry with the calibre of people coming through,” she says. Sioban did her first vintage back in 1993 with John Belsham, who was “marvellous” to work with - “really encouraging and very smart”. In the years since, she has worked for long periods at Villa Maria, Cloudy Bay and most recently Whitehaven, until after the 2020 harvest. Sioban loves Marlborough and the wine industry. “People come into the industry thinking it’s romantic and glamorous, and parts of it are. But most of it is sheer hard work requiring steady patience and the ability to tune into your environment and your vines,” she says. “For me it is still very deeply satisfying and enjoyable even after 30 years.” Kaikōura born and raised, Sioban did an agricultural science degree at Lincoln University in the late 1980s and then won a reciprocal scholarship

24 / Winepress July 2020

to the US for the third year of her degree. She was unsure about which direction to head in, but one of her soil chemistry lecturers, Dr Rob Sherlock (a great wine enthusiast and formative contributor to the emerging postgraduate oenology/ viticulture course at Lincoln) offered sage mentoring. “He said the UC Davis faculty was highly regarded for oenology and viticulture and kind of pointed me in that direction,” she says. “I quickly and naturally gravitated toward the vineyards and my grades were good.” After doing a vintage at a sparkling wine facility in the Sonoma Valley, Sioban spent a year travelling around the States, working in a ski resort in Colorado and a summer on Cape Cod, Massachusetts. When she returned to New Zealand, it was back to Lincoln to do her Masters of Applied Science, after which she was approached by Villa Maria to take up a role as a vineyard cadet. Sioban did the 1994 vintage in Hawke’s Bay at Esk Valley, in both vineyards and cellar, and the following vintage in Gisborne before heading to

the Auckland cellar. “It’s wonderful to follow fruit right through from growing, harvesting, winemaking and finally blind assessment,” she says. “It’s such an opportunity to gather information and experience.” An opportunity soon came up in Marlborough. It was during challenging times, with phylloxera starting to take hold, and the young viticulturist turned her attention to both replanting with grafted vines and dealing with rapid vineyard expansion in new subregions. Part of her responsibility was managing Villa Maria’s “quite new” Seddon vineyards. “It was initially 40 hectares and was then a ‘big block’ in a rather untried location,” she says. “There was no cell phone coverage. It was all quite new and experimental at the time. I was working with Steve Smith and looking back, man, we fasttracked a lot of good work together.” Sioban spent seven years at Villa during which time the company expanded from having fruit processed at the Vintech site on Rapaura Rd, to opening its own large modern plant at Fairhall. She left Villa to do an MBA

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at Victoria University - “best decision ever” - and upon graduating learned that viticulturist Ivan Sutherland was leaving Cloudy Bay. Interest piqued, she applied for the job and was interviewed by winemaker Kevin Judd, founder David Hohnen and Ivan. “I was there with the ‘founding’ team … and, after a time, worked with Dr Tony Jordan too. I saw how they were not only good practitioners, but also such capable leaders, and could bring the best out in people who were so very differently put together. Tony was one of the most razor-tongued, ultra-direct managers I’ve ever had. You really needed your shoes on the right feet around that man and he taught me if I was going to make a proposal, I had to have my argument rigorously thought out.” Kevin Judd was the polar opposite, she says. “He would silently take everything in – scanning, reading a situation, processing, reflecting - then at some point he would burst out with a short statement that summed

everything up, setting the adjusted course, giving everyone an idea of what was important and where we were going. Kevin taught me the power of detail and how it can culminate in a wine to great effect.” Ten years ago, Sioban moved to Whitehaven, owned by Sue White. In recent months, Samantha and Josh (Sue’s daughter and son-in-law) have joined the business. “It’s genuinely exciting for them and for Sue - a real culmination and realisation - and again, another example of young people coming into the industry who will be genuine contributors. You’ve got to be excited about that,” Sioban says. After nearly 30 years in the job, she doesn’t feel any different. “I was the young cadet in the earlier years and now I’m part of the ‘mature’ crowd. I try hard not to sound like an old fart when I explain that 15 years ago we tried what they are suggesting and it didn’t work back then,” she says. “But really, age makes no difference. I work with a lot of young people and I’m

very impressed – so many of them are smart and well raised and pretty much guaranteed to help you with your tech issues. What’s not to love?” During her years in the industry, Sioban says one of the biggest changes she has noticed is the increasing professionalism and the giant leaps in technology. She enjoys the cohesive and positive atmosphere amongst viticultural professionals, describing it as a sharing and positive and very collegial group of people. Her role hasn’t essentially changed too much over the years, she says. “My job is to distil what the winemaker seeks for each variety and transform that into the right amount of fruit, with the right flavours, at the right price. I need to know what is desired and make sure we have the tools in the toolbox, get that information out to the team and growers and try to enhance and deliver year in, year out. It’s always a challenge but it’s also a real privilege.”

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Winepress July 2020 / 25

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Generation Y-ine Taking it step by step in the wine industry KAT DUGGAN

FROM FREEZING worker and farmer to petrol station attendant, Cara Hayes explored a few different career paths before finding the wine industry. The Constellation Brands New Zealand viticulture technician has also made short work of moving up the ranks within the company, since joining it in 2018. Her journey with Constellation Brands began at their Riverlands Winery, with a six month cadetship. This led to time spent working in one of their vineyards, Awarua, where she quickly realised she would like to remain. “I’ve always liked the outdoors,” Cara says. Following her cadetship, Cara took a full-time role as a vineyard operator with the company and has most recently earned the role of viticulture technician at Constellation Brands’ Brooklands Vineyard in central Wairau Valley. She took the role in December 2019, and alongside her work has also begun studying towards a Bachelor of Viticulture and Winemaking at Nelson Marlborough Institute of Technology (NMIT). Cara has come a long way in the wine industry in two short years, before which she was working at the Z petrol station on Blenheim’s busy Grove Rd. “I used to see people coming in in their Constellation gear and I talked to a few people about it,”

26 / Winepress July 2020

she says. “One of them sent me some information about the cadetship, so that set me on the right path of where to apply.” Born and raised in Milton, South Otago, the majority of Cara’s working life was outside, prior to her role at Z. She spent five years working in the sheep yards at the town’s freezing works, and in the off-season worked on dairy and sheep farms. It didn’t take long living in New Zealand’s wine capital for a career in the wine industry to become a no-brainer. “With vineyards and wineries everywhere, I thought I may as well give it a go and see what it’s all about,” Cara says. She is grateful for the encouragement she received to join Constellation Brands, as well as for the ongoing support since she began work at the company. “There’s a lot of supportive people and a lot of opportunities at Constellation,” she says. Last year, Cara took part in New Zealand Wine’s Women in Wine mentoring programme as a mentee, and says it provided great insight into the industry, one she sees as being a fantastic choice for young women to consider. It was through the Women in Wine programme that Cara gained the confidence she needed to take on the three-year

EDUCATE

“I would love to have my own wee vineyard one day but I am taking it step by step.” Cara Hayes bachelor’s degree with NMIT, which she started last July. “My tutor at Women in Wine was awesome. She helped me gain confidence in myself and to do study. I have gained a friend [in her] as well,” she says. While the degree will give her a taste of winery experience, Cara envisions the vineyard will remain her first choice of workplace. “I love being outdoors and all the different operations of the vineyards. Working with the teams is awesome and there is so much to learn off each other.” Long term, Cara hopes to use the knowledge she has gained through both her studies and experience at work to pursue her own winegrowing operation. “I would love to have my own wee vineyard one day but I am taking it step by step and trying to learn as much as I can for now,” she says. “I definitely see myself staying in the vineyards as opposed to the winery.”

Young Vit and Winemaker Competitions The Corteva Young Viticulturist of the Year 2020 will be held in Marlborough on July 23, with the national final held in Wairarapa on August 7 and 8. Marlborough’s Tonnellerie de Mercurey Young Winemaker of the Year 2020 will be held at Nelson Marlborough Institute of Technology on September 16, with the national final on in Hawke’s Bay on November 6. Both competitions were postponed due to ramifications of Covid-19, and New Zealand Winegrowers’ Leadership and Communities Manager Nicky Grandorge says the events are needed more than ever, “to come together, work together, strengthen our industry’s future and have some fun”. Corteva Agriscience is the new naming rights sponsor for the Young Viticulturist of the Year Competition, and will share the knowledge of its viticulturists with the contestants at the education days, at the six regional Young Viticulturist competitions, and at the national final. Tonnellerie de Mercurey is embarking on its sixth year as naming sponsor for Young Winemaker of the Year, which has three regional competitions before the national final. For more information and entry forms, please contact Nicky Grandorge, at nicky.grandorge@nzwine.com or 021780948

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Winepress July 2020 / 27

PROTECT

Biosecurity Watch Compensation in a biosecurity response SOPHIE BADLAND

Biosecurity Responses - When a new agricultural or horticultural pest or disease outbreak occurs in New Zealand, the Ministry for Primary Industries (MPI) is the government agency charged with leading the response to eradicate or control the outbreak. MPI will first undertake an investigation to assess the risk, and then decide how to respond. For those pests or diseases where an operational agreement is in place with industry via the Government Industry Agreement (GIA), industry representatives will be involved with decision-making. A response team will be formed to plan and carry out the response. The Coordinated Incident Management System (CIMS) is used to provide the guidelines and protocols for the response team’s activities. It is worth noting that MPI may also form response teams for other significant events such as food safety problems, trade issues or adverse events like drought or flood.

disposal of goods, which has caused loss, and; • The loss must be able to be verified, and; • Claimants must have taken all reasonable steps to mitigate their losses (growers can also ask MPI to look at options for helping to reduce their losses), and; • Compensation claims must be lodged within 12 months of the loss occurring.

Powers under the Biosecurity Act - When a response is declared, MPI is able to use certain powers under the Biosecurity Act 1993 to assist in the eradication or control of the pest or disease. Exercise of these powers may result in loss or damage to growers’ property or business - for example, vines or fruit may have to be destroyed, or movement restrictions may be placed on affected properties, preventing sale and disposal of fruit. Section 162A of the Biosecurity Act allows for growers to claim compensation in some situations where this type of loss or damage occurs.

There are also situations in which growers would not be eligible for compensation under the Biosecurity Act: • The loss is caused by the unwanted pest or disease, as opposed to the exercise of powers by response staff. • The loss was suffered before the exercise of powers commenced. • The claimant fails to comply with biosecurity law in a serious or significant way, or in a way that contributed to the presence or spread of the unwanted pest or disease. • The goods are unauthorised (illegally imported; not cleared for release under the Biosecurity Act) • The claim is submitted more than 12 months after the loss is incurred. • Growers decide to take action above and beyond what is directed by MPI (for example, they destroy more vines than instructed). • The claimant is not directly affected by the exercise of powers.

Circumstances in which compensation can be claimed For compensation to be claimed by growers, certain conditions have to be met: • The loss must be caused by an MPI response, and; • The loss must be a direct result of damage or destruction of property, or; • Restrictions must have been imposed on the movement or

Reimbursement for response operational costs Sometimes growers may be instructed or contracted to assist MPI with response activities, such as providing labour to remove and destroy affected or at-risk plants. The cost of labour would not form part of a compensation claim; instead, growers should provide an itemised GST invoice to the MPI response team for reimbursement. Circumstances in which compensation cannot be claimed

IF YOU SEE ANYTHING UNUSUAL

CATCH IT . SNAP IT . REPORT IT . Call MPI biosecurity hotline 0800 80 99 66 28 / Winepress July 2020

EDUCATE

Claiming compensation â&#x20AC;&#x201C; the process - For growers believing they meet the criteria to claim compensation, the first step is to complete a claim form and submit it to MPI along with any supporting documents. This must be done within 12 months of the loss occurring. Claimants may want to submit a single claim once the response has concluded or can submit multiple claims throughout the response. The claim form can be downloaded from biosecurity.govt.nz/dmsdocument/39746-compensationclaim-form-general-20-feb-2020-pdf. To complete the form, growers will need to provide details about the losses they are claiming for, actions they have taken to reduce their loss, and their normal business operations. Supporting documentation can include destruction/removal records, stock valuation records, financial statements showing profit and loss/expenses for the previous three years, agreements, contracts, quotes, and invoices.Once MPI has received the claim, it will check for completeness and the claim may be sent back to the grower for further information. Once the claim has been assessed, MPI may recommend complete or partial payment. Payment then needs to be authorised; claims larger in value may need to be authorised at higher levels within MPI, or by the Minister or Cabinet, so may take longer. Once a payment has been authorised, a letter of offer will be sent to the grower. Once the offer is accepted, payment will be issued, and the claim will be closed. Where the offer is not accepted by the grower, a review can be requested.

Review of decision - Even if a grower accepts and receives full or partial payment of their claim, they still have the ability to seek a re-assessment of their claim, provided they do so within 12 months of receiving payment. To request a review, growers must submit a review application form, with supporting documentation, to the compensation team at MPI. This form can be obtained by sending an email to CompensationCoordinator@mpi.govt.nz. Ex gratia payments - Where a loss falls outside of what can be compensated under section 162A of the Biosecurity Act, an ex gratia payment may be considered by the Crown. These are assessed on a case-by-case basis and growers should contact the compensation coordinator if they think they have a case for this. Biosecurity Act review - It is worth noting that the Biosecurity Act 1993 is currently under review, with compensation one of the areas where there are likely to be changes made to the legislation. New Zealand Winegrowers have participated in industry consultation sessions and will keep growers updated with any significant changes arising as a result of the Act review. Do you have specific questions about compensation in the event of a biosecurity response affecting your property? Email us at biosecurity@nzwine.com and we can put them to MPI and get back to you.

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Winepress July 2020 / 29

EDUCATE

Industry News Wine Marlborough Update The mood is cautiously optimistic that winter pruning will be completed on time, according to feedback from a webinar held by Wine Marlborough and New Zealand Winegrowers. There were Recognised Seasonal Employer (RSE) scheme repatriation flights in June, with 60 workers from Marlborough returning to Vanuatu for humanitarian reasons. Over 200 vintage cellar hands stuck in Marlborough packed the Marlborough Convention Centre on June 17 to hear about their fate (see story Page 10). We will continue to support these members of the Marlborough wine community until they are able to return home. Marlborough Winegrowers joined as a Section 274 party against Fish & Game, the Environmental Defence Society, and by Te Rūnanga o Kaikōura and Te Rūnanga o Ngāi Tahu, who are appealing parts of the Marlborough District Council’s (MDC) decisions on the proposed Marlborough Environment Plan. The Environment Court process is likely to take several years and begins with a case management conference in August to determine how the appeals will progress. Wine Marlborough’s advocacy manager, Vance Kerslake, has been appointed to the Marlborough interim-Regional Skills Leadership Group (i-RSLG). The purpose of the groups is to identify the workforce and skills needs and priorities in their region, both now and in the future, and advise government on actions to cultivate these. These interim groups will provide a focus for drawing together labour market information, and offer valuable labour market intelligence to central Government and regions to support the Covid-19 response. The next Marlborough Winegrowers meeting with the MDC is on August 25. If you have any issues you want us to raise with council, email advocacy manager Vance Kerslake at advocacy@winemarlborough.nz

Six day vintage week Wine Marlborough is holding a six-day vintage week seminar on July 29. The event will look at the advantages of a six or seven-day vintage roster and how to make the change. Speakers include Patricia Miranda-Taylor (pictured) and Andrew Petrie from Wither Hills, Courtney Morse from Delegat, and Spring Timlin and Lee Williams from Matua. Wednesday July 29, 3pm, at the MRC Theatre 85 Budge Street. RSVP to advocacy@ winemarlborough.nz

as all the news and events updates the industry requires. “We’re a world class wine industry, and it’s important that Wine Marlborough’s website reflects that.” Check it out at winemarlborough.co.nz

Matariki

Website refresh Wine Marlborough’s website refresh provides an inviting view of the region’s wine industry, including an invitation to visit and indulge in a Marlborough Escape. Marketing and communications manager Sarah Linklater says the site is easier to navigate, cleaner to view, and designed to appeal to both industry and consumers, with a ‘visit’ page that showcases cellar doors, as well 30 / Winepress July 2020

New Zealand Winegrowers plans to be a little star struck this month, with a series of stories to celebrate Matariki, the Māori name for a star constellation that rises into the sky in mid-winter and marks the Māori New Year. Traditionally, Māori used Matariki to determine when to harvest and plant crops for the next season. Nowadays Matariki is still seen as an important time to celebrate the end of harvest and show respect for the land on which we live. New Zealand Winegrowers will be sharing stories on how wine companies mark Matariki on nzwine.com throughout July.

Grape Days 2020 Due to the uncertainty caused by Covid-19, including the complexity of inviting international speakers, Grape Days will not be held as physical events this year. As an alternative, New Zealand Winegrowers and Bragato Research Institute are exploring ways to bring members research, news and vineyard extension through online platforms or smaller regional workshops in the coming months. Anyone with ideas for these webinars or workshops can email info@bri.co.nz

Sydney International The Sydney International Wine Competition will proceed with its 41st event this year, with the entry period and judging schedule moved back a month due to increased logistical issues associated with coronavirus. The entry date for wines is July 27 and entries close on October 26. Judging will take place in mid-November, with a judging panel reduced to 11 to meet the New South Wales social distancing regulations, while entries will be restricted to a maximum of 1,300. Because of international border closures, judges will largely come from Australia this year, but may include New Zealand judges if restrictions

CELEBRATE

ease in time to finalise arrangements. sydneywinecomp.com

Bastille Day Clos Henri is celebrating Bastille Day at its Wairau Valley cellar door on July 19, from 11am to 3pm. Entry is free, and

Five NZW board vacancies In September this year New Zealand Winegrowers will hold elections to fill five Member Class director vacancies on its board. Any voting members of NZW may nominate a candidate from July 13 to August 14. Because of the Member Class voting system, every member – large or small – will have an equal chance to influence who is elected to the board for these five positions. In 2016, when NZW held its first election for the board of the newly restructured organisation, there was low diversity amongst the candidates who were nominated to, and eventually elected to, the Board. In 2020, NZW really hopes to see a diverse range of talented candidates standing – across gender, ethnicity, age, regions and industry roles. What is NZW looking for in candidates for the Board? The Board exists to provide governance and direction to the activities of your industry body; to ensure that your levy funds

there will be wine and food available to purchase, including French cuisine and vin chaud. There’s also pétanque to play and kids activities. If the day is wet, the Bastille Day celebrations will be held under cover, in the winery. are well spent on enhancing the industry’s reputation, and in providing winegrowers with the information, support, research, market access, profile and forward thinking that will best support the industry’s success. To do this most effectively, the full board of 12 directors should ideally be made up of a mix of individuals who bring a range of different strengths, perspectives, skills and experiences. All of them must be willing to ask perceptive questions, listen thoughtfully and respectfully to answers, and to help ensure that NZW maintains the right focus. Whatever their affiliation and personal interests, once elected each Director must be prepared to “leave their hat at the door” and focus collectively on the interests of the entire industry. All five Member Class directors elected in September will hold office for a term of four years. There are seven other directors, and all 12 are equals on the board. As a director you will be required to attend board meetings (normally six per year),

and also be on two board committees. How are candidates nominated? If this interests you or someone you know, you can find more information about becoming a candidate and being a director in the Candidate Information and Election Guide, which also includes the nomination form. This is available from www. electionz.com/nzwine2020resource or you can request information from the Returning Officer, Warwick Lampp of Electionz.com on 0800 666 042 or email iro@electionz. com. If you want to talk directly with someone about what is involved in being a director, you can make contact with any of the current directors, with details available at nzwine.com/members/about-us/nzwinegrowers-board/, or call NZW’s chief executive officer Philip Gregan on 09 306 5555. Nominations for Member Class Directors open officially on Monday, 13 July 2020 and will remain open until noon on Friday, 14 August.

Winepress July 2020 / 31

Wine Happenings A monthly list of events within the New Zealand wine industry. To have your event included in August’s Wine Happenings, please email details to sophie@sophiepreece.co.nz by July 20. Due to uncertainty around Covid-19, there may be changes to some of these events. For more information, please use the contact supplied or email sarah@winemarlborough.nz

JULY

19 23 27 29

Bastille Day at Clos Henri. 11am to 3pm. (see pg 31) Corteva Young Viticulturist of the Year Marlborough competition. Giesen House, 47 Stump Creek Lane, Rapaura (nicky.grandorge@nzwine.com) Entries open for Sydney International Wine Competition. (sydneywinecomp.com) The six-day vintage week seminar. MRC Theatre, 85 Budge St, 3pm (see pg 30)

AUGUST

18 31

Pinot Noir Day (toolkit at nzwine.com – members) Entries open for the Marlborough Wine Show sponsored by QuayConnect

SEPTEMBER

3 4 16 21 -23 25

The Marlborough Health and Safety Forum (marlboroughsafetyforum.com/expo-2020) Closing day for entries in New Zealand International Wine Show 2020 (NZIWS.co.nz) Tonnellerie de Mercurey Young Winemaker of the Year, Marlborough (nicky.grandorge@nzwine.com) Judging for New Zealand International Wine Show 2020 Entries close for the Marlborough Wine Show sponsored by QuayConnect

OCTOBER

7-8 Corteva Young Viticulturist of the Year 2020, National Final. Wairarapa (nicky.grandorge@nzwine.com) 14-16 Judging for Marlborough Wine Show sponsored by QuayConnect 30 Marlborough Wine Show Celebration Lunch NOVEMBER

5-8 6

Rapaura Springs Garden Marlborough (gardenmarlborough.co.nz) Tonnellerie de Mercurey Young Winemaker of the Year, national final. EIT, Hawke’s Bay

Bastille Day - July 19

32 / Winepress July 2020

Pinot Noir Day - August 18

Marlborough Wine Show - October 30

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Winepress - July 2020

Articles inside

Generation Y-ine - Cara Hayes

Biosecurity Watch Sophie Badland

From The Board Nick Entwistle

Pioneer - Sioban Harnett

Industry News

Wine Happenings