The current state of the wine business is enough to drive anyone to drink. Consider, for instance, this report from France:
French wine and spirits exports fell by almost a quarter in the first half of 2009…Champagne sales plummeted by 45% in value with Bordeaux declining 24%...Burgundy exports fell 30%
That last number might also be slightly elevated by the ongoing, and as yet not convincingly solved, premature oxidation issue affecting some of the region’s whites, but I suspect the majority of it is a simple matter of (over)supply vs. (under)demand.
In Champagne, however, they have a plan:
With sales falling, producers may be ordered to leave up to half their grapes to wither on the vine in an attempt to squeeze the market. Merchants are pushing for an historic reduction in yield as they seek to ensure that champagne remains an expensive luxury. “Everyone agrees that production has to be cut because no one here wants to see prices fall,” an industry insider said.
I suppose some might be moved to a fair bit of offense at the naked avarice of the folks who make Champagne, but I’m afraid I’m too cynical to be upset at this sort of thing anymore. And it is a good business/marketing decision, given what they sell is no longer wine (more on that in a moment).
But the news isn’t all bad. Referring once more to French wine:
The vin de pays category was less badly affected, while vin de table grew by 1.2%.
This matches what I’ve heard from retailers and restaurateurs: people are still buying alcohol, they’re just spending less when they do. But still, those drops in Champagne, Bordeaux, and Burgundy are dramatic. Aren’t these in-demand luxury products, with a worldwide audience and a steady stream of new buyers?
Yes. Therein lies the problem. Champagne, and to a slightly lesser extent Bordeaux, are not – in the market’s imagination – wines any longer. They’re luxury goods. They’re sold on their names and admired for the same reason, probably more than they’re admired for the contents of the bottles. Don’t believe me? Heed the source:
“Champagne is the drink of dreams and of parties,” [Patrick] Le Brun [chairman of the Syndicat Général des Vignerons de la Champagne] wrote in La Champagne Viticole, the trade magazine. “Its image, its universe are endangered when the term ‘crisis’ is associated too often with it.”
Note the absence of any talk of Champagne’s gustatory qualities. It’s all about the image, the prestige, the “event.”
This is a situation certain regions have engineered themselves. In boom times, it helps their sales, and – especially in Champagne – it neatly separates desirability from quality, making the former rather than the latter the driver of popularity (were that not so, people wouldn’t buy so much mediocre Veuve Clicquot). But as we’re now seeing, there’s a downside. People might remain true to a beloved beverage during hard times. But a status symbol? Those can be replaced, or abandoned, with ease.
On the other hand, not everyone suffers in a downturn:
The South African wine industry could face wine shortages within five years if sales continue to rise at the current rate, a leading South African producer has warned. In 2008, total exports increased 12% to a record 405 million liters but vineyard planting has not kept pace with increasing demand. Merwe Botha, financial director at Distell told decanter.com, “We need to look at the demand and supply situation. There are signs that in the next five years the industry could face shortages in supply. Producers have been under severe pressure because of margin and cash flow problems so they have not planted as much as they should have,” he added.
This was a topic of much angst last year when I visited South Africa. The ten-rand-to-the-dollar exchange rate that made the trip a ridiculous bargain has, for a while now, helped the wines make significant inroads into territory that once belonged to Australia, New Zealand, and California. But the too-cheap prices received by the producers have a significant downside, one that’s been plaguing South American countries as well: the money to plant (or replant, a significant issue facing a good number of South African growers), the money to upgrade facilities, and the money to work the market simply doesn’t materialize, even though the bottles themselves might be flying out the cellar door.
Pierre Gimonnet Champagne Cuis “1er Cru” Brut Blanc de Blancs (Champagne) – Striking nose of rainforest rocks and humidity. Huge lemon brioche (sprinkled with grapefruit shavings) on the palate. There’s excellent balance between bitterness and acidity. Massively long and frankly gorgeous, with skins dominating right now, and a very trebly midpalate that I expect to mellow with a little age. (12/08)
Jean Milan 2002 Champagne Oger “Grand Cru” Brut Blanc de Blanc “Sélection Terres de Noël” (Champagne) – Beautiful. Soft golden complexity, with a hint of curry dusting exotic flowers and heirloom apples. Very pure and gentle. Extremely long, eventually getting around to showing apples in every possible form, from flower to juice. Gorgeous. (12/08)
René Geoffroy Champagne “1er Cru” Brut Rosé “de Saignée” (Champagne) – Sweet-glazed biscuit, fresh red fruit (strawberry, mostly…including the seeds). Pure and complex. There’s a fine foundation of stones ground into gravel, and a lovely, drying, mineral component to the finish. Very, very good, but far from its peak. (12/08)
Pierre Peters Champagne Le Mesnil sur Oger “Grand Cru” Blanc de Blancs Brut (Champagne) – Sharp, vivid and highly mineralized. A clean stroke of a very sharp sword slashes the palate with finely-honed metal and only the brightest of sun-reflecting lemon and apple. Yet there’s a firm, cold sort of generosity here, as a stern father loving with discipline rather than hugs This is a wine with something to say. (6/07)
Jacquesson 1996 Champagne Avize “Grand Cru” Extra-Brut (Champagne) – Gorgeous fino-reminiscent esters on the nose, with a satiny texture (despite great acidity) and preserved lemon on the finish. This still has a ways to go, but it’s a terrific Champagne. (6/07)
Chartogne-Taillet 1996 Champagne Brut “Fiacre” (Champagne) – Geranium and sand, with funereal white flowers obscuring the nose. Eventually, the palate struggles through, showing tangerine, bleached cherries and a vanilla/marshmallow thickening on the finish. Interesting. (6/07)
Roger Pouillon Champagne à Mareuil sur Aÿ “1er Cru” Brut Rosé (Champagne) – Overwhelmed by volatile acidity, so that the fresh strawberry fruit that would otherwise dominate turns awkward and clumsy. (3/07)
(The original version, with more photos, is
Laurent-Perrier Champagne Brut (Champagne) – Sharp and ungenerous, with dried lemon extract, apple skin, and a papery texture. (3/07)![[German wall art]](http://www.myspeakerscorner.com/forum/user_images/tci_pa06_german_drawing.jpg)
Roederer Champagne “Brut Premier” (Champagne) – Heavy on the brioche, setting a sort of dark brown mood. Traces of lusty red and orange fruit linger in the background, slightly timid in the presence of such dominant pastry. A good, if particular, Champagne. (1/07)
Boulard Champagne Mailly “Grand Cru” Brut (Champagne) – This is an older release, perhaps 1999/2000 or so. Deep, almost animalistic red fruit and black chanterelle aromas with a spicy, bready, brown-toned aura of brooding antagonism. It’s as forcefully flavorful as a fine red Burgundy, stronger-willed than most Champagnes, and seems fully mature. Striking wine. (9/06)
Chapoutier 1989 Hermitage (Ermitage) “Le Pavillon” (Rhône) – Medium-well leather and slow-cooked meat in a silky, sensuous, almost creamy wine full of soft, mouthfilling meatfruit and Provençal herbs. There’s so little structure than the creaminess turns somewhat flouncy on the palate, and one longs for a little muscularity, or at least assertiveness. Perhaps more importantly, there’s nothing about this that suggests any of the masculinity of great Hermitage. It’s a very good wine, but I’m not sure it’s a good representative of its appellation. (9/06)
Chapoutier 1994 Châteauneuf-du-Pape “La Bernardine” (Rhône) – Corked. (9/06)
Yalumba “Y Series” 2005 Viognier (South Australia) – Simple, relatively clean stone fruit with floral enhancements. It lacks exoticism and complexity, but neither is it heavy. A decent wine. (8/06)
Texier 1998 Côtes-du-Rhône Brézème (Rhône) – Extremely sweaty leather and beef juice with sun-charred rocks and spiky, jarring acidity. It smells terrific, but the acid – even when one is expecting it, which anyone familiar with this wine should be – is occasionally shocking. Still, it appears to have reached some sort of peak, and with the inconsistencies introduced by its synthetic cork I wouldn’t dare hold it any longer. (8/06)
Guigal 2000 Côte-Rôtie Brune et Blonde (Rhône) – Solid and dependable, showing mild animalistic funk smoothed over by dark, earthy, baritone fruit and a few alto incursions of blackberry residue. Everything is very strictly in place here, and the wine is aging nicely, but one perhaps wishes for a bit more verve, and certainly for a good deal more aromatic enticement. Nitpicking, I know. (8/06)