Information about Spanish Wine

From http://www.wineclubshere.com/murcia-spanish-wine-country-with-an-old-world-flavor/

The region of Murcia in Spain is famous for its old world character, rich history and gorgeous weather. Connoisseurs know that Murcia is also synonymous with wine. Wine lovers who want a Spanish holiday with class and good taste, consider Murcia’s history.

Murcia’s wine is produced in the region of Jumilla. It covers the northern part of Murcia and the south-east portion of Albacete. It boasts 33,000 hectares of wine-producing grapes. Its vineyards turn out 220,000 hl of wine every year. In fact, the region actually comprises five separate denominations of origin. Each DO is closely regulated by the local government. It helps to ensure that only the best grapes are grown. In the case of organic wines (which are increasingly in demand), it ensures that growing regulations are followed. This provides quality assurance to consumers around the world. It is undoubtedly one of the reasons that Jumilla wines have been critically acclaimed in the last decade.

Superb cuisine and exquisite wine is as much a part of Spanish culture as language and heritage. This tapestry of culture is what fuels the wine industry in Spain, and Jumilla, Murcia in particular. Jumilla wines are acclaimed the world over. Thousands of tourists flock to the region annually to get a firsthand look at the production of Jumilla wine.

Archaeological evidence suggests that the production of Spanish wines dates back to 4000 B.C. An abundance of native species of grapes likely fueled interest in the production and consumption of wine in the region. Wine production in Spain pre-dates the establishment of Cadiz, the oldest port in Spain, by a few hundred years. However, it was upon its founding that Spanish wines began to be traded around Europe. Later, Jumilla’s wine industry took new shape under the settlement of the Romans. Although Roman rule has long since disappeared, its culture still influences the production of Jumilla wine today.

The Reconquest of Spain, which began in 722 A.D., saw locals reclaiming the wine industry. Wine was a key component in the rituals of the various orders of monks and friars of the time. After ousting previous conquerors, they began to take back wine production. Wine-making flourished for several centuries. Wines from Jumilla became distinguished on the world market, thanks in large part to those early monks.

Notwithstanding, the region has seem some challenging times. Phylloxera has plagued the Spanish wine-making industry at various points over the last several centuries. One of the most recent phylloxera attacks in 1989 led to the replanting of thousands of hectares of vineyards in Jumilla. The new vineyards produced a lighter variety of wine than had previously come from the area. Naturally, the phylloxera attack was financially devastating to the economy. However, the newly produced wines fueled new and greater public interest in Jumilla wines.

The Jumilla Wine Route is famous with locals and visitors alike. Travelers can book a wine tour through their travel agent, online or in person in Murcia. A wide range of accommodations is available in the area to suit any budget. Rental villas, condos and hotels in variety of price ranges are abundant. There are also a number of hostels in Murcia. Several all-inclusive resorts in the area, including the world-class LaManga Club, attract many visitors each year. Other resorts are currently under development. When finished, Spain tourism officials predict a healthy boost to the local economy.

Wine lovers may find themselves enthralled and dazzled by the exotic and fruity wines of Murcia. In fact, connoisseurs find themselves returning again and again to the lure of the vineyards of Jumilla. It may be the wine-lover’s ultimate Spanish holiday.

Jake Nieminen

This is a link to the article from the Wall St. Journal: http://bit.ly/9QCtFi

Jake Nieminen

From: http://www.sanchez-vicente.es/?p=2670

“The Great Match” is a series of tastings of wines and serves to show the wide variety of quality Spanish wines currently available in the U.S. market and recent vintages have come to the country and its versatility as a perfect combination for all types of cuisine. In a complementary fashion seminars and tastings are conducted in Spanish products whose proceeds go to charities in the cities where it is celebrated.

The event is aimed exclusively at professionals and provides a unique opportunity for importers of Spanish wines widely available in exclusive products to the media and wine professionals and so increase their distribution.

Spanish exports to the United States in 2009 exceeded 5,800 million euros, of which 170 million came from sales of wine.

Supporting the sector

ICEX, since its inception, has considered the wine industry as a priority, both for its economic importance for their contribution to the creation of country image abroad.

To bring the promotion to the market reality, since 2004 is in progress General Plan for the Promotion of Wines from Spain. The plan has achieved the integration of activities under the umbrella of Wines from Spain (“Wines from Spain”) with an integrated campaign at international level. In this way it is conducting a more effective promotion, developed from the perspective of an integrated campaign of wines from Spain, where promotional gain significant synergies. There are currently office “Wines from Spain” in Germany, USA, Ireland, Italy, Japan, Netherlands, United Kingdom, Sweden and Switzerland.

In addition, since 2009 the ICEX is implementing the Plan Made in / by Spain with the aim to consolidate the good image of Spanish products in the United States. As part of this campaign, which also includes other sectors such as industry and technology, we have searched our food industry project on the values of quality, innovation and art that represent the most renowned Spanish chefs and positioning the food products segment high quality.

Jake Nieminen

By the wine economist:

This is the third in a series on initiatives to liberalize Washington’s alcoholic beverage laws  (click here to read the first and second segments). How would Washington Initiatives I-1100 and I-1105 affect wine makers and wine consumers? Let’s look at wine makers first.

Wine producers in Washington are not united either in support of or opposition to the initiatives. One industry group, The Washington Wine Institute, publicly opposes both initiatives, for example, while the Family Wineries of Washington State support them.

Winners & Losers

Both initiatives would create more avenues of competition for wineries by removing state restrictions that prevented discounted prices, negotiated payment schedules and so forth. Based on my conversations it seems that some wineries would welcome the opportunity to compete  using a fuller range of business strategies. They would like to be able to go after the business they want and to reward retailers and restaurants that carry the full range of their products or who make long term commitments.

Other wine makers are concerned that they may be disadvantaged in this new environment because they lack the resources or expertise to compete effectively. Interestingly, it is not just small wineries who want to avoid competition and not just large ones who embrace it. Obviously it is a complicated matter.

One wine maker candidly told me that it is hard to know if the gains will outweigh the losses.  This person saw obvious areas for new business expansion but realized there would be negative effects on margins and the need for more capital to accommodate extended payments. I sensed a very pragmatic attitude:  wine is a business and business people have to cope with whatever is thrown at them whether it is Mother Nature (a late harvest) or a change in state liquor laws.

My conversations reminded me of Olivier Torres’ discussion of the difference between French and American business strategy in his book The Wine Wars. American entrepreneurs, Torres says, look for new opportunities, taking risks, while the French business strategy is more about fending off threats. This is an oversimplified stereotype, of course, but it does seem to capture a bit of the wine war raging today in Washington state, where those with “French” attitudes are not necessarily from France.

Will Small Wineries Get Squeezed?

Television ads like the one I have inserted above suggest that small wineries would be especially hard hit by the new laws. A local news analysis of this ad raises some doubts about this claim (see  this King5 report). Will small local wineries get crowded off the shelf? Here’s my brief analysis.

I do think that large wine companies will have an advantage if the law is changed, but they have obvious economic advantages now, so this is nothing new. I would not be surprised to see big companies (Constellation Brands, Gallo, etc) increase their relative share of retail shelf space since they have the resources to offer discounts and incentives.

It is also possible that spirits companies and distributors will bring associated wine brands with them as they rush to fill their newly opened retail market niche if the initiatives pass, adding to the “crowding out” effect.  Retailers are trying to streamline their operations and reduced the number of suppliers they deal with, giving “drinks” companies that can supply wine, beer and spirits an advantage.

This effect will differ by type of retail account, of course, and be different for fine dining versus casual dining restaurant sales. In the supermarket segment, for example, you can already see differences in the relative incidence of the big producer portfolios in Fred Meyer (Kroger) and Safeway stores compared with regional chains like Metropolitan Market.

Although small wineries might get somewhat less shelf space, they certainly will not disappear from wine shelves and restaurant lists. Wine enthusiasts value diversity and smart sellers fill their shelves accordingly. That’s why a typical upscale supermarket offers 1500-2500 wine choices, at least ten times the number of options in any other product category. Retail wine margins are high and sellers profit by catering to their customers’ desire for a wide range of choices.

I think the competition among smaller winemakers will be more of a factor than between the big corporations and the small family wineries. There are hundreds of small wineries in Washington state all seeking a place at the retail table. Right now it is pretty difficult for the maker of a $40 Walla Walla Syrah to get shelf space (or distributor representation) and many producers are sensibly reconfiguring their business plans to focus more on direct sales. This will remain a good strategy if the initiatives pass, but makers who want to compete for shelf space will have more tools at their disposal.

And That’s A Good Thing?

Bottom line: small wineries will get squeezed by the big boys, but other small wineries are the real competition (hence the lack of a consensus among wine makers) and the initiatives will make this competition much more intense.

Is this a good thing? Well, it will probably be good for many consumers who will benefit from lower wine prices. They will likely have more (but different) wines to choose from too. Whether the new choices will be better is bound to be a matter of taste. If, as some have suggested, big box drinks retailers Bevmo and Total Wine open outlets in Washington it will change in significant ways the market terrain.

At the Ballot Box

How am I going to vote? The issue is complicated enough that I honestly haven’t decided yet. I am unlikely to vote for I-1105, however, since it seems like a stumbling half-step towards market liberalization.

I find the wine market aspects of I-1100 appealing and, as an economist, I am programmed to believe in the benefits of competition, but I am still concerned about the liquor law changes. I don’t know how making spirits cheaper and more readily  available will help solve the public health and safety problems associated with liquor consumption. Many will disagree with this view and I respect their opinions.

I guess I’m going to have to weigh the pros and cons before I cast my ballot just like everyone else.

http://bit.ly/b9SxbT

By Jake Nieminen

By Jake Nieminen

I just have to post this article since I find it quite funny how a frog could get into a wine bottle….

http://www.espanishwines.com/uncategorized/spanish-wine-maker-asda-sued-for-having-a-frog-in-a-wine-bottle