Tom thanks for explaining but please discuss the lower end of the market. What would happen to the floor stakes of French, Spanish and Italian wines at the super market. For example; a low cost Prosecco or a rose from Provence that maybe sells around $6 to $10/bottle. I believe that would open the door for American producers. Most of your discussion was concerning high end restaurant wines and while I agree that you can not replace a Barolo or Bordeaux over night, the fact is that there are 100's of unique wines grown in the US and maybe these should be sought out and enjoyed.
As you know the 3 tier system in the US is a major barrier for most small producers, might distributors be inclined to diversify their portfolios and allow a consumer to try a Teroldego Vermentino, Tempranillo etc.
Tom there is also another issue hurting US the domestic producers . Look into "duty drawbacks" That which large wineries are enjoying at the expense of American producers.
Doubtful. If there is anything to be learnt from observing the behaviour of distributors like, picking an example at random, Southern Glazers, over the past decades, is that the more monopolistic they become in a market place, they lazier and greedier they become. Effectively shutting the US market to European wines will just amplify this.
Besides it takes 3 years for a newly planted vineyard to start producing (if they can get the varieties to plant) and twice that to reach full production. The industry can no-more pivot to producing new varieties, than a super tanker at full steam can turn on a sixpench.
Moreover, if you think that the only thing that European wines brings to the American table are rare varieties, then you really have not been paying attention to wine.
This, if enacted, would be fatal to the sophistication of the US wine market. It will hollow it out, reduce quality and do nothing to protect consumers (and smaller producers) from the big, predatory distributors who will abuse their near monopolies.
Thanks, Mr Economist!
I can't comment without swearing...and I was raised better than to do that in public.
Tom thanks for explaining but please discuss the lower end of the market. What would happen to the floor stakes of French, Spanish and Italian wines at the super market. For example; a low cost Prosecco or a rose from Provence that maybe sells around $6 to $10/bottle. I believe that would open the door for American producers. Most of your discussion was concerning high end restaurant wines and while I agree that you can not replace a Barolo or Bordeaux over night, the fact is that there are 100's of unique wines grown in the US and maybe these should be sought out and enjoyed.
As you know the 3 tier system in the US is a major barrier for most small producers, might distributors be inclined to diversify their portfolios and allow a consumer to try a Teroldego Vermentino, Tempranillo etc.
Tom there is also another issue hurting US the domestic producers . Look into "duty drawbacks" That which large wineries are enjoying at the expense of American producers.
Those $10 Proseccos will log in at about $28-$30 after Tariffs.
Doubtful. If there is anything to be learnt from observing the behaviour of distributors like, picking an example at random, Southern Glazers, over the past decades, is that the more monopolistic they become in a market place, they lazier and greedier they become. Effectively shutting the US market to European wines will just amplify this.
Besides it takes 3 years for a newly planted vineyard to start producing (if they can get the varieties to plant) and twice that to reach full production. The industry can no-more pivot to producing new varieties, than a super tanker at full steam can turn on a sixpench.
Moreover, if you think that the only thing that European wines brings to the American table are rare varieties, then you really have not been paying attention to wine.
This, if enacted, would be fatal to the sophistication of the US wine market. It will hollow it out, reduce quality and do nothing to protect consumers (and smaller producers) from the big, predatory distributors who will abuse their near monopolies.