GREENSBORO – Could North Carolina’s Haw River Valley become the next Napa Valley? According to researchers from The University of North Carolina at Greensboro and N.C. A&T State University, the potential is ripe.
Faculty from Greensboro’s two public research universities teamed up to examine the growth of North Carolina’s nascent grape and wine industry and ways the business side of the trade could be strengthened. Their results, published earlier this year, identified a burgeoning industry that’s already making an impact on North Carolina’s economy and has the potential to be a key crop as the trade develops and matures.
The wine industry has a history of being a job creator, producing economic waves that ripple through other business areas, including transportation, retailing and hospitality and tourism. “A bottle of wine sold is a lot more than just one bottle,” said Dr. Joyendu “Joy” Bhadury, the associate dean for graduate programs and research at UNCG’s Bryan School of Business and Economics. “You have to buy the bottle; a label needs to be made. There are wholesalers who’ll sell to retailers, hotels, bed and breakfasts, art museums. There are huge multipliers.”
A 2006 study, commissioned by the N.C. Department of Commerce and the North Carolina Wine & Grape Council, showed the industry’s economic footprint included 5,700 related jobs and a total economic impact of $813 million. “Studies show that grapes are the only cash crop that can replace tobacco,” said Victor Ofori-Boadu, a research assistant with the Department of Agribusiness, Applied Economics and Agriscience Education at N.C. A&T.
But struggles on the business side can hinder wineries and the growth of the industry. “If you look at it from the standpoint of a business, they are mini conglomerates,” said Samuel Troy, the Bryan School’s executive-in-residence. Winery owners are in charge of growing the raw materials, making and selling the wine, self-distributing and cross marketing their products, he said.
Key findings from the UNCG-N.C. A&T wine industry report show that winery owners:
• Are held back by a lack of time and capital
• Feel burdened by the state’s alcohol regulations
• Would benefit from using wine distributors instead of self-distributing their products, and
• Would profit from the proposed business development center dedicated to their industry at Surry Community College.
The report also identified an overall need for better education and marketing to promote North Carolina’s locally produced, hand-crafted vintage, as well as areas of opportunity, such as the state’s need for more grapes than are currently being produced.
The team of researchers is already compiling information to address one of the findings, conducting a benchmark study on the state’s alcohol regulations and how they compare to other states in the nation.
The seeds for the UNCG-N.C. A&T study were planted in the fall of 2007, when project coordinators Bhadury and Troy arrived at the Bryan School. While brainstorming industries they might be able to positively impact with local expertise, they quickly honed in on the state’s young but growing wine industry.
“We identified the fact that Greensboro was within driving distance of a majority of the wineries in North Carolina,” Bhadury said. “We found that the wine industry had help when it came to viticulture and oenology,” referring to the study of grapes and making wine, “but little evidence existed of similar help available from the business side. That’s where we came in.”
They teamed up with other academics from the Bryan School and the schools of business and agriculture at N.C. A&T who were versed in transportation, international export, marketing, research and agribusiness, and started the yearlong process of researching the wine industry. In addition to Bhadury, Ofori-Boadu and Troy, the team includes Dr. Osei-Agyeman Yeboah, associate professor and interim director of N.C. A&T’s International Trade Center; Dr. Nicholas Williamson, associate professor of business administration at UNCG; and Dr. Kathryn Dobie, professor and director of N.C. A&T’s Transportation Institute.
The group conducted multiple phone and face-to-face interviews and visited vineyards over the course of their study, logging miles from Boone to Duplin County. They found an industry that’s attracting attention, is in high demand and has great potential. “If you look at current trends, people are consuming less hard liquor and moving to wine,” Yeboah said. “This is not an enterprise that will fail. The demand is there.”
Wine isn’t all. Studies rank North Carolina third in wine-related tourism behind New York and California, Williamson said. And grape byproducts can be used to produce lotions and other commodities. “Even if grapes don’t become wine, they can become other products,” Dobie added.
But researchers also realized that the majority of the state’s wineries are young – less than 10 years old – and were not looking to export their products internationally yet. The help owners need at this point is more basic.
“We learned the grape industry, except for muscadine grapes, is not at the stage where it can think about exporting,” Bhadury said. “We are at the stage of thinking about business development.”
The researchers have been happy to oblige.
“Part of the concept that they’ve brought forth is to assist smaller wineries and vineyards with understanding basic business practices, providing some resources from the business school in order to help them generate or improve their business plan and educating the industry in supply chain partnerships,” said Margo Knight Metzger, executive director of the N.C. Wine & Grape Council. “It can be overwhelming as a small winery understanding the complexities of doing business through a wholesaler and the benefits as compared to selling everything yourself. That’s their goal, to educate our industry about supply chain, which is helpful.”
The state’s wine industry has experienced exponential growth in the past five years. Since 2004, the number of wineries has grown from 35 to 85, Metzger said. “I would say by the end of this decade, we’ll have 100 at least,” she added.
“Our wine industry ranks 10th in the nation in terms of size and it continues to grow every year at a pretty impressive clip. We’re happy to have the university system here in North Carolina involved with our burgeoning industry.”
To read the full report, visit http://www.uncg.edu/bae/or/WIBDC_Results_Final_Report.pdf.
Wednesday, August 26, 2009
Thursday, July 30, 2009
New vineyard opens, wine industry flourishes
he wine industry continues to flourish in the Yadkin Valley.
Five vineyards have opened since the first of the year, and a sixth one will hold its grand opening Saturday.
For airline pilot David Blackwell and his wife Pamela, their Brandon Hills Vineyard is a dream come true.
"By planting a vineyard here, we ensure that for at least another generation this will remain farming land," said Blackwell.
Industry consultant Sean McRitchie said winemaking is still an experimental industry in North Carolina as vineyard owners try to determine what varieties of wine grapes will grow best here.
"You put grapes in the ground and you pull some out," said McRitchie, who owns McRitchie Wine Company. "The goal is obviously to have some good wine in the bottle."
Next to finding the right varieties, the climate poses the biggest challenge.
"With the weather patterns," said Blackwell. "Atlantic storms coming in at the wrong time or like we had this year an unseasonably wet spring, so it's going to be different year to year."
A native of Oregon, McRitchie has spent more than 30 years perfecting the art of winemaking.
He said there's been a steady improvement in the quality of North Carolina wines.
"And I think that's just from time," said McRitchie. "It's a very slow industry to develop and to find its niche and balance within the climate that it's in."
Blackwell said unlike many other industries there's a true camaraderie among vineyard owners.
"The North Carolina Wine Growers Association is a very close knit group," he said. "People open up. They're willing to help you in any way they can to get you started."
As he looked out at the fruits of his labor, Blackwell said he saw the promise of the future but remains focused on his craft.
"You see what we've done and I see what's left to do," said Blackwell. "And on a broader scale, it looks nice but I still see the flaws and I want everything to be perfect."
Brandon Hills Vineyard is located at 1927 Brandon Hills Road in Yadkinville.
Saturday's grand opening begins with a ribbon cutting at 11:50 a.m. and runs till 6 p.m.
Read the rest of the News 14 article here.
Five vineyards have opened since the first of the year, and a sixth one will hold its grand opening Saturday.
For airline pilot David Blackwell and his wife Pamela, their Brandon Hills Vineyard is a dream come true.
"By planting a vineyard here, we ensure that for at least another generation this will remain farming land," said Blackwell.
Industry consultant Sean McRitchie said winemaking is still an experimental industry in North Carolina as vineyard owners try to determine what varieties of wine grapes will grow best here.
"You put grapes in the ground and you pull some out," said McRitchie, who owns McRitchie Wine Company. "The goal is obviously to have some good wine in the bottle."
Next to finding the right varieties, the climate poses the biggest challenge.
"With the weather patterns," said Blackwell. "Atlantic storms coming in at the wrong time or like we had this year an unseasonably wet spring, so it's going to be different year to year."
A native of Oregon, McRitchie has spent more than 30 years perfecting the art of winemaking.
He said there's been a steady improvement in the quality of North Carolina wines.
"And I think that's just from time," said McRitchie. "It's a very slow industry to develop and to find its niche and balance within the climate that it's in."
Blackwell said unlike many other industries there's a true camaraderie among vineyard owners.
"The North Carolina Wine Growers Association is a very close knit group," he said. "People open up. They're willing to help you in any way they can to get you started."
As he looked out at the fruits of his labor, Blackwell said he saw the promise of the future but remains focused on his craft.
"You see what we've done and I see what's left to do," said Blackwell. "And on a broader scale, it looks nice but I still see the flaws and I want everything to be perfect."
Brandon Hills Vineyard is located at 1927 Brandon Hills Road in Yadkinville.
Saturday's grand opening begins with a ribbon cutting at 11:50 a.m. and runs till 6 p.m.
Read the rest of the News 14 article here.
Thursday, June 25, 2009
Amid a tough market, wine execs see opportunities
The wine industry is in the middle of a cyclical downturn, but Central Coast vintners have some advantages that will help in recovery.
That’s the view of Rob McMillan, chief of the wine industry lending unit at Silicon Valley Bank. He told the Central Coast MIT Enterprise Forum on June 17 that industry revenue growth has plunged from 20 percent to zero during the past two years amid a sharp pullback in buying, particularly among restaurants.
Richard Sanford, a Santa Barbara County wine pioneer, described the downturn as a “reset” for wine industry pricing. “We are finding that people will buy whites at under $20 per bottle and reds at under $30,” he said, adding that the days when restaurant goers and retail buyers would pay more than $50 for a bottle of wine are over — at least until the next industry upswing.
Sanford, owner of Alma Rosa Winery & Vineyards in the Santa Ynez Valley and founder of Sanford Winery, said there still is a lot of opportunity for Santa Barbara and other Central Coast regions to make a profit from premium wines that sell for more than $15 per bottle. McMillan said that because land prices on the Central Coast are much lower than in Napa and Sonoma counties, the region remains an attractive location for wine grape growing.
Sanford also said the future of the industry may lie in sustainable practices that grow better-tasting wines that attract buyers who want organic products.
(source: pacbiztimes.com)
Wednesday, May 27, 2009
Tenn. wine shipping measure headed to governor
NASHVILLE — A proposal that would allow Tennessee consumers to have wine shipped directly to their homes is headed to the governor for his consideration.
The measure passed the House earlier this week and was approved by the Senate last month. The proposal was sent to Gov. Phil Bredesen on Thursday after the Senate agreed to technical changes made by the House.
The bill would allow wineries that acquire a $300 license to ship up to three cases to Tennessee consumers per year.
Tennessee is one of 15 states that bans direct shipment of wine, according to the Wine Institute, which represents California wineries and wine businesses.
Bredesen spokeswoman Lydia Lenker says the governor will review the legislation once it reaches his desk.
(source: winebusiness.com)
The measure passed the House earlier this week and was approved by the Senate last month. The proposal was sent to Gov. Phil Bredesen on Thursday after the Senate agreed to technical changes made by the House.
The bill would allow wineries that acquire a $300 license to ship up to three cases to Tennessee consumers per year.
Tennessee is one of 15 states that bans direct shipment of wine, according to the Wine Institute, which represents California wineries and wine businesses.
Bredesen spokeswoman Lydia Lenker says the governor will review the legislation once it reaches his desk.
(source: winebusiness.com)
Wednesday, April 29, 2009
Trellis Supplies
We carry all of the trellis supplies you need to setup and maintain a trellis system. First decide on what type of trellis system you want to make (we have books to help with this). Then determine the type of vineyard post, vineyard wire, gripple or wirevise fastener, and anchor system. If this is all new to you, we are glad to help guide you through the process.
Some of our Trellis Supply products:
Thursday, March 26, 2009
Getting SB 607 Passed Into Law....
WinePress.US and its members are instrumental in bringing out of date CA law to light, and getting SB 607 passed into law. In an initial inquest for a permit for the 2008 WinePress.US Winefest to the ABC, the ABC notified that the wine competition and wine swap would be illegal. I sent dozens of emails to the ABC to find a way to host the Winefest legally. Each one came back stating that what I wanted to do was illegal.
The law in place at that time prohibits home winemakers from transporting wines from the place where it was made, as well as giving it as a gift. I sent out emails to nearly 20 winemaking clubs in CA, notifying them of the law. Many of the WinePress.US members, especially Andy Coradeschi sent emails to local congressmen / women, wine clubs and more. Andy has been instrumental as our point of contact with Senator Wiggins' and Senator Boyd's offices.
Find the rest of the story here at www.winepress.us
Tuesday, February 24, 2009
About Orchard Valley Supply
Welcome to Orchard Valley Supply! Since 1986 we have been the wholesale vineyard supply and orchard supply choice of America (we ship coast to coast). Orchard Valley Supply has all the vineyard supplies and vineyard equipment you need for the vineyard in addition to winery supplies, orchard supplies, and nursery supplies.
Orchard Valley Supply, Inc. is focused on proving the same high level of customer service, quality products, and low wholesale prices that customers have become accustomed to over our 20+ years. We pride ourselves in quick service by providing same day shipping for in-stock items. Contact us today or call Toll Free 888.755.0098
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