Issue link: http://read.dmtmag.com/i/230154
NORTHWEST WATCH SEAN P. SULLIVAN David Beck, owner of Crawford Beck Vineyard in Eola-Amity Hills, said he has already started to see some of the impacts of 2013's flurry of transactions, with an upward pressure on grape prices and wineries looking to deal. "Wineries now are willing to negotiate longer-term agreements and make sure that the purchase of grapes is a win-win for the winery as well as the vineyard," he said. "That's pretty well started already." No one expects the increased interest in Oregon to end any time soon, even as prices go higher. "When you think of a land rush anywhere, you go pretty far into overspending before it stops," said wine writer W. Blake Gray of The Gray Report, adding, "There's probably never been a better time to own vineyard land in Oregon." BRAND OREGON Another anticipated effect of outsider investment is an increased prominence for the state's wines. Oregon has firmly established its reputation among wine lovers, yet bottles remain scarce. Three quarters of the state's wineries make less than 5,000 cases annually, and Oregon produces only 1% of the nation's output, at a mere 2 million cases per year. "We're fourth (in terms of production) and fourth by a substantial distance behind California, Washington and even New York," Beck noted. "So the kind of marketing reach that folks like Jadot and Jackson Family have will be tremendously valuable to the Oregon brand broadly defined, and I don't just mean pinot. I mean all of it, northern Oregon and southern Oregon as well." Added Thomson: "Across the country now, we're going to see major wholesalers have two or three big driver Oregon brands. That's going to be really important to creating greater brand Oregon categorization. "It's a whole new ballgame now. I think this is a really important tipping point for us, and we all need to take advantage of it. I'm sure we (King Estate) will." Sean P. Sullivan is the founder of Washington Wine Report and a contributing editor for Wine Enthusiast magazine. He has written for a variety of publications including Seattle Metropolitan, Edible Seattle, Decanter and Wine Press Northwest. Sullivan lives in Seattle. Comments? Please e-mail us at feedback@vwmmedia.com. Crimson Cabernet Grown across the USA from VA to California World Class Wine ~ Virus Free Disease Resistant, Winter Hardy Self Rooted, Long Lived Call us 618-946-3517 or 618-946-7008 Davisvines.com Large or Small...to us you are just right! Local Bank. Local Lenders. www.exchangebank.com 707.524.3000 w w w. v w m m e d i a.com We have a wide variety of loan products available for a business your size J a n - Feb 2014 | V INE YA RD & W INE RY M AN A G EM EN T 29