Foreign cash pumps new life into Tokaj

Wines & Vines, March, 2002 by Susan Low

Free Elections

Finally, in 1990, Hungary saw the first free parliamentary elections in four decades. It was then that the groundwork was laid for a market economy in the country--and not a minute too early for Tokaji, which was on the verge of collapse. It was with the Wine Act of 1991, which effectively sought to re-privatize Tokaj's vineyards, that things began to change. The door was opened to private investment, local or foreign, and many investors jumped at the chance.

But the market for sweet wine isn't exactly booming. So, why invest in Tokaj? "That's a good question," Jean-Louis Laborde says. "I invested some funds from Bordeaux because it was an opportunity to be involved in a mythic wine. Tokaji was famous before WWII, and I know that it is a fantastic wine. And in 1990, white wine was a big market, and we thought it was an opportunity to invest."

Things have not been as smooth-sailing as Laborde originally imagined, with the market now favoring red wines over white and sweet wine remaining a hard sell. "In principle, it's a good investment," he insists. "The problem is that everyone drinks red, and in Tokaj we have only white and sweet."

They're not the only ones who have found things more difficult than they originally planned. In the case of The Royal Tokaji Wine Company, being an early mover into the region turned out to be a handicap when the recession hit in 1991. The company went through a rough patch, but fortunately for them, British investors were able to keep the company afloat.

Despite trials like these, the impact of this new wave of producers in Tokaji has been profound. In the past decade, quality of the wines has improved enormously. The industrially-made, over-oxidized, sometimes unclean wines are being replaced by clean, fresh, elegant wines with dried-apricot sweetness and racy, limey acidity. During my visit, I tasted a 1972 Oremus 6 Puttonyos, which, stylistically, was worlds apart from the modern styles. Brownish in color, with the tang of oloroso sherry, it was made in a more oxidative and much less fruity style. The wine, I was told, was fairly indicative of its era.

Modern Equipment

Much of the change, of course, is down to the use of modern winery equipment. Andras Basco, director of Oremus, says that he can tell the difference between the wines that are made at the company's brand new cellar, which was just completed last year and has all the latest equipment, and the older cellar that was used for previous vintages. The wines made here, he says, are cleaner and more fragrant.

Throughout the region, the vineyards have also seen the effect of the investment. Since 1991, many of Tokaj's vineyards have been replanted, mostly at higher density, with the emphasis placed on quality production, rather than quantity.

Importantly, the new-found freedom has inspired a fair amount of experimentation in the region, too. As Istvan Szepsy, says: "We came from Communism with the lowest quality. Now we want to make the best quality. Without experimentation, how can you do it?" Szepsy is recognized as one of the most dynamic winemakers in the region. One of his proiects is dry white wine. His 2000 Harslevelu, made from over-ripe but unbotrytized grapes, is fermented in new oak and combines flavors of white pepper and quince paste on an unctuous palate.