We say “Chateau,” Europe says “Shut up!”
The spat between the European Union and American wineries flared up again last week, as a group of members of Congress teamed together to urge the U.S. Trade Representative, the nation’s top trade negotiator and principal advisor to the President, to clear the “traditional expressions” logjam with the European Union.
So-called “traditional expressions” are words on labels. They include chateau, clos, classic, noble, vintage, sur lie, champagne and ruby, among others. The E.U. long has objected to their use on American wines, claiming they poach on traditional European territory and mislead consumers. Back in 2006, the U.S. agreed to stop using the terms, but under a “peace-making clause,” wineries using them at that time were grandfathered in, and allowed to continue their use for 3 years.
That 3 year exemption ended in March. The expectation was that the E.U. would issue 2-year renewals, in order to further the peace-making period, while the hard issues were hammered out. “But they didn’t renew it,” says a source with close ties to the industry. It is this impasse that the U.S. Trade Representative is now being pressured to resolve by the politicians.
(For a good background story on this issue, see this Wines & Vines article.)
I asked the industry source what is likely to happen next. “It remains unresolved what the people with trademarks are supposed to do, like Chateau Montelena or Korbel [Champagne Cellars]. So we probably have a case for the World Trade Organization,” the international body that resolves trade disputes between nations.
My guess is that every winery currently using traditional expressions will be allowed to keep them. After all, nobody expects Clos du Val to change their name! I also suspect the list of words the E.U. objects to will be narrowed. I mean, sur lie? Come on.
Beckstoffer’s big Mendocino gamble
“Are we really too early?” That’s the question top grower Andy Beckstoffer asked rhetorically when he was quoted, in the Santa Rosa Press-Democrat, concerning his planting of 300 acres of organic Chardonnay vineyards by the banks of the Russian River in Hopland, which is in central Mendocino County.
Andy B. is one of the smartest guys in the industry, a veteran who came up through the ranks and bears the scars to prove it. (I have a chapter on him in my book, New Classic Winemakers of California: Conversations with Steve Heimoff.)
Andy’s question concerns, of course, when the Recession will end. Since nobody knows, it’s something of a gamble to be developing a big new vineyard at this time. Beckstoffer’s optimism runs in his genes, but it’s based also on his assumptions that (a) downturns always end, and (b) inland Mendocino County has been underrated as a source of premium wine.
I remember when I first tasted a Chardonnay from the old Jepson winery, which was made from the same area as Beckstoffer’s new vineyard. I thought it was one of the best I’d ever had. Chardonnay remains America’s favorite white wine, and there’s no reason to expect that will ever change. So, if Beckstoffer can keep his prices moderate — and if the wineries that buy his grapes don’t charge too much — his gamble is likely to pay off. I’d expect the Chardonnays to retail in the $10-$15 range.