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Blending rule changes to save disaster-hit wineries in Australia
September 30, 2009
By Chris Snow in Adelaide
A lifeline could soon be available for South Australian wine businesses threatened by natural and other disasters.
Proposed changes to the state's Liquor Licensing Act will allow disaster-struck producers to buy fruit and wine from other producers and to make and sell the wine under their own labels.
Disasters include crop failure caused by drought, pest plagues, disease, bushfires or by irrigation water crises.
The changes will allow producers to apply for exemption from the law which says that 'a substantial proportion' of blended wine must be their own.
'This will allow producers to continue to operate, reducing the financial and other impacts of the circumstances on wine production,' the Minister for Consumer Affairs, Gail Gago, said.
The amount of wine that could be produced or bought under the exemption would be limited to the producer's own production capacity.
Ms Gago has also introduced amendments to the Act to liberalise the licensing system for the state's 620 wineries which produce about 42% of Australia's wine.
The changes are aimed at cutting red tape and are estimated to save producers an estimated AUD$4m.
At present, producers need a separate licence for each cellar door and venues such as restaurants, farmer markets and wine tastings including comparative tastings involving other producers' wines.
A single licence, restricted to the region in which the winery is located, will now cover all venues.
Cellar door outlets will be limited to one at a producer's winery and one elsewhere including a collective cellar door with other producers.
'It will save costs and give opportunities for some businesses to get into the market in a cellar door for example where they might think going it alone wouldn't work,' the chief executive of the SA Wine Industry Association, Brian Smedley, said.
Footnote: Ms Gago's husband is Penfold's chief winemaker, Peter Gago.
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So much then for Australian terroir! At least the trade will know what has always been suspected about Australian wines, there never was any real terroir, mostly state-wide importing and blending.
And what's next, allowing imports from Argentina to sort out the problem? Why not just give up the pretense and start farming with watermelons instead...
James Cooke
James Cooke hinted that he was part of the wine trade (presumably in the UK). I can only hope that such a ridiculous, generalised and ignorant opinion isn't shared by the majority of the UK trade. The article clearly states that wineries would need to apply for a special exemption making such cases the exception and not the rule. The vast majority of small and medium sized wineries in Australia are passionate about and committed to producing high quality, terroir driven wines and recent initiatives such as the First Families of Wine and Landmark Australia tasting will reinforce our commitment to quality and help change the misperception that all Australian wines are cheap and homogenous.
This article by Chuck Hayward is an intelligent and well written counterpoint to the 'Australian wines show no terroir' argument.
Lachie Storen, Manager, Booze Brothers Online
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