Washington wineries sold 6.4 million cases

Wines & Vines, April, 2007

Wineries in the U.S.'s second biggest wine state sold the equivalent of 6.4 million cases of wine in 2006, including 937,000 case equivalents of bulk wine. They crushed 120,000 tons of grapes, and paid an average of $984 per ton. Those are highlights of the first-ever Preliminary Washington Winery Report, presented during the Washington Association of Wine Grape Growers (WAWGG) annual convention in February.

It was the first time the Washington Field Office of the United States Department of Agriculture's National Ag Statistics Service (USDA NASS) surveyed wineries for statistics that went well beyond crush numbers. The agency also totaled winery inventories by vintage, variety and wine type, and counted sales by variety, destination and wine type.

Chardonnay remains Washington's king of the grapes, but Riesling is not far behind, and has doubled in vineyard acreage since just 2002. Washington wineries couldn't find as much Petit Verdot, Pinot Gris and organically grown grapes as they would have liked, said Christina Messer, director of the Washington field office of the USDA NASS.

The number of wineries within the state is growing rapidly, with 427 in this count, crushing 120,500 tons in 2006. That makes an average of 282 tons crushed per winery.

Chardonnay was the most widely crushed grape, with 28,600 tons, but at an average of $783 per ton, it was far from the highest priced variety. Among the top 10 varieties in volume, Cabernet Sauvignon fetched the highest average at $1,261, followed closely by its parent variety, Cabernet Franc, at $1,243.

In the survey, wineries listed issues they consider their biggest business challenges. Shipping out of state and direct to consumers were high on the list, as were concerns with laws, compliance and paperwork. The cost of doing business; handling cash flow; growth and marketing; and working with distributors also were frequently mentioned.

Messner said a twice-a-decade agriculture census will be taken later this year, and that growers can help provide an accurate picture of the status of Washington farming by making sure the agency knows how to contact them for the census. Visit nass.usda.gov to sign on.

Washington growers and vintners are in a good position regarding bulk wine sales, said wine broker Joseph Ciatti of San Rafael, Calif., in the same conference session. Ciatti observed that Washington has a good supply of the varietals that are hot on the bulk wine market, including Riesling and Pinot Grigio. White Riesling acreage has doubled to 4,404 acres since 2002. Ciatti warned, however, that a surplus of bulk wine still exists in the U.S., due largely to California's huge harvest in 2005. "Be very careful about how you plant," he said. "Stay focused on what you do best, and stay with these hot varieties."