Tuesday, November 11, 2008

Gallo plays the bad guy, again

The long view of Ernest & Julio Gallo is that they expanded the U.S. market for wine and kept vineyards operating in areas that could have been turned into almond or apple orchards.

That said, during their heyday they were hated and feared throughout the industry for their ruthless style.

For the last decade or so, after Julio's death and in Ernest's later years, we saw a kinder, gentler Gallo in many areas. But the company still holds unusual sway over the U.S. government -- Gallo was the main force behind trade negotiations with Europe in which our country's main position was defending Gallo's right to use "Burgundy" as a fanciful name, as well as Korbel's right to keep making "California Champagne."

Now, Gallo is using that power over government -- which increases with the Democrats in control, as Gallo is a major contributor to the Democratic party -- to screw small wine producers as well as U.S. wine drinkers.

The company has chosen the busiest time of year in Sonoma County to try to ram home an extension of the Russian River Valley AVA that would allow vineyards of much less quality in the door.

Russian River Valley is one of the best AVAs in America, and is a pretty good mark of quality. Diluting it benefits nobody except Gallo, which just happens to own 350 acres that it wants included in the AVA.

Winemaker Merry Edwards is trying to spearhead the fight against it, but she's a small independent businessperson who's busy overseeing her own new crop of wines -- as are all the other small producers who are the natural opponents of this move.

An excellent Wines & Vines article is here. Read it, then visit the TTB website here to post a comment. Consumers need to speak out to prevent Gallo from pulling this off.

8 comments:

Anonymous said...

Ok, now I understand about saving the small guy, I make wine, it is a one man show. But there are bigger fish to fry. Go after the Constellations and Fostor's who are going to commoditize wine in both valleys, forcing out the small wineries. The Martini's still work at Martini, MacMurray's at MacMurray. What good has constellation or fostors done for the industry? Homogenization of wine? Great...

Anonymous said...

I, too, am all about saving the small guy but if you're an independet grower I doubt you'll find a better partner than Gallo. This additionally helps those small growers in the region. Constellation, Foster's, and Diageo are far worse offenders of taking the personality and family out of the wine industry. The Gallo's seem to be the only one's that value the importance of family and respectful of the small guy. Get a clue.

St. Vini said...

The validity of your post is supported by an unwritten assumption that the AVA system has some validity as it currently exists. It does not. AVAs were created on arbitrary lines for political reasons, why is a modification of them any different?!? They don't correspond to soil types or climate now, who cares if the continue to not do so?

V

Anonymous said...

The world as we know it will not end if Dry Creek gets a little bigger. Politics always plays a role in delimiting a region.
Is there any appellation in the world that is not political to some degree? Is there a single one whose boundary is based purely on science without some degree of compromise or political consideration? The only difference between new world and old world appellations is that the turf battles in the old world(except for Champagne) were fought long ago.

Ask yourself it is possible on a consistent basis in blind tasting to tell the difference among Cabernet Sauvignons grown in Lodi, Lake County, Stag's Leap, Monterey, Howell Mountain and Russian River AVAs? Is it helpful to know and differentiate between Chardonnays if you see that one is from Carneros, another Sonoma Coast, and a third Calistoga? The answer is yes on all the above.

In a practical sense, though imperfect, AVA's work as well here in the US as anywhere in the world.

W. Blake Gray said...

Replying all at once here:
The Doctor -- You know the line about "two wrongs."
Anonymous -- I had dinner with an independent grower last weekend who complained about how badly Gallo is squeezing him and how much he wants out of a contract his father signed, but they won't release him. So they do respect the importance of family.
St. Vini -- I believe in purposely making things better, not worse.
Morton -- I think we're basically on the same page.

Anonymous said...

Odd isn't it that Merry Edwards is spearheading the fight against the expansion of the Russian River Valley appellation, yet she spearheaded the most recent alteration of the RRV back in 2005.

Anonymous said...

Not inly is this petition fradualent it is a perfect example of how money and power will get you whatever you want. I have lived on Westside Rd my entire life and my family actually owns vineyards on the RRV levy. Gallo's vineyards in the Petaluma Gap are NO where near the Russian River. They just want to use the RRV appellation designate to put on their label to make more money. Plain and simple. Small vineyard owners should not be afraid of the Gallos.

Natalie said...

St. Vini, how can you generalize AVAs to be political lines. Have you investigated into regions like the Willamette Valley of Oregon? The Dundee Hills have a definate soil structure. Vines grown in this region are grown on jory soils brought by the Missoula Floods and are rich iron oxide in color. If someone wanted to change the definite boundries of the Dundee Hills it would certainly be corrupt in my eyes and I would fight to defend any boundry. I don't think people will buy Gallo RRV AVA wine simply because it is RRV, but they might by one and give it a try. When they realize it's same old same old Gallo, they'll go back to the quality RRV wines they trust. Hopefully he won't destroy what is left of this AVA's integrity too.