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Howard W. Hewitt

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Howard W. Hewitt

Tag Archives: Immigration

Vineyard workers’ thinning ranks

01 Sunday Oct 2017

Posted by Howard in Napa/Sonoma, Newspaper Column 2017, Oregon, Wine Education/News/Updates

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Immigration, Napa Valley, vineyard harvest labor shortage, Willamette Valley

Earlier this year Grape Sense featured a look at the potential of a labor crisis in Napa/Sonoma during this fall harvest season. The potential has become a reality for many in the nation’s premier wine region.

grape-sense-logoFor the past several years farm labor was paid $15 an hour. Napa has built dormitory type buildings over the recent past for housing as well. This year wages have jumped closer to an average of $18 an hour with some stories that big name wineries are paying more, much more. One unsubstantiated report had a $300-bottle of wine producer paying $45. Top pickers in Sonoma have been commanding up to $30 an hour the past couple of years.

The labor shortage covers a lot of issues. Federal immigration enforcement increased under the Obama administration. Additionally, as the largely Hispanic workforces ages their children are going to college and finding less physically stressful jobs. Sonoma County Winegrowers have more than 5,000 full time workers but hire an additional 2,600 seasonal workers for harvest. So it’s not a small problem.

 

HARVEST

Harvesting at Indiana’s Hubers a couple of years ago.

There are lots of anecdotes about husband and wife picking up their kids and moving to Napa. But after a few harvests, the married team learns they can work various positions in the thriving hospitality industry for more money and no back-breaking, long days of labor.

 

When harvest is complete, it will be interesting to see if there is actual fruit that got left on the vine because of worker shortages.

I’ve written several times lately about things going on in Oregon. The Willamette  Valley continues to be one of the more interesting regions to follow. The area’s Pinot Noir is now considered world class and is a hot commodity.

Family ownership of Silver Oak Vineyards, known for their outstanding Napa Cab, just recently completed purchase of Dick Erath’s last vineyard near Archery Summit and Domaine Serene – pretty fancy company. Erath, now in his 80s, was one of the valley’s pioneers. He long ago sold his ground-breaking winery to St. Michelle of Washington State.

The new money is being found from great Oregon Pinot Noir. It won’t be surprising to see more Napa names turn up there.

Speaking of Oregon, the vintners continue to kick up production. Sales grew by 12 percent last year from acreage of more than 30,000. In 2016 alone, 23 new wineries opened across the state. Cabernet grapes are the nation’s most expensive but Oregon Pinot grapes from top name vineyards can command more than $5,000 a ton. A ton of grapes will make about 60 cases of wine. There, you now can do some math.

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Mixing Wine, Politics Messy

22 Thursday Dec 2016

Posted by Howard in California, Newspaper Column 2016, Uncategorized

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harvest, Immigration, Migrant workers, wine sales

Mixing the world of politics and wine might be a bit like oil and water for some readers. But there comes a point, and it could come soon, that politically-based decisions could have a huge impact on wine and particularly the cost of wine.

President-elect Donald Trump’s repeated talk of deportation of some or all of the nation’s 11 million undocumented workers has thrown a scare into wine country.

grape-sense-logoAll across the nation many vineyard owners use mostly migrant or Hispanic workers to harvest the annual grape crop. While visiting upper state Michigan in 2010 winery owners talked about the lack of a strong labor market for harvest and the scare of immigration changes that could cost the industry dearly.

The numbers are big. The U.S. Department of Agriculture estimates 67 percent of people picking fruit each year are immigrants.  The Ag department reports that harvesting costs represent 72 percent of labor cost in making Napa Valley wines. The only crop with a higher percentage of labor cost in California is asparagus.

If the harvest workforce was substantially reduced the impact would range from more expensive end products to the reduction of product in the marketplace. Hiring legal workers would, frankly, be more expensive.

The other alternative is to make the switch to machine picking. The two negatives with machine picking is the cost of the equipment and a hit to wine quality. The top bottlings from any region are almost always hand-picked and sorted.

A big labor problem could soon get worse. Of course, this isn’t a wine problem only. The cost of fruits and vegetables could all increase with a big increase in labor cost. Some crops could just disappear from the market shelf.

On another front, the end of the year brings Top 10 lists, surveys, and sales numbers. Wine trends are evaluated every month of the year but it’s worth sharing for those who aren’t inundated in wine news.

It is no surprise that red wine blends continue to be one of the hottest categories in wine retail. Blends are turning up everywhere. The market for blends is moving toward bigger and bolder. Wine buyers want rich red wine with grapes like Malbec, Petite Sirah, and Petit Verdot.

Another interesting year-end chart really jumped off the page. Wine sales can be broken down many different ways. Recently I saw a list of the nation’s best-selling wines based on actual sales.

The top ten sellers for the year were: Brancott Estate Sauvignon Blanc, Veuve Clicquote Yellow Label Champagne, Trivento Malbec Reserve, Hara de Pirque Hussonet Gran Reserva Cabernet, Meomi Pinot Noir, Rombauer Chardonnay, Miraval Rose, Clos du Val Cabernet, Caymus Napa Valley Cabernet, and Borgo Scopeto Chianti Classico.

There is a real price range in those top ten sellers. The Brancott sells for under $10 while the Caymus Cabernet domes in at $69.99. Five of the top ten wines retail under $20.

 

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