Stateways

StateWays Jan/Feb 2016

StateWays is the only magazine exclusively covering the control state system within the beverage alcohol industry, with annual updates from liquor control commissions and alcohol control boards and yearly fiscal reporting from control jurisdictions

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33 StateWays ■ www.stateways.com ■ January/February 2016 SPANISH WINE RED GRAPES BY VINEYARD AREA 37% Tempranillo 12% Bobal 11% Garnacha 10% French Grapes 30% Other BY THE NUMBERS A whopping 22% of Spain's total vineyard area, or half of all its white vineyards, is planted to a lowly white grape called Airén, often distilled into brandy. By comparison, Spain's most famous white grapes, Albariño and Verdejo, make up only 0.6% and 2% of total area, respectively. Some wine companies are re- sponding by rethinking the tradi- tional Old World / New World division on which the trade has been organized. The Winebow Group formed MundoVino in summer 2015, a separate import portfolio that groups its wines from Spain with those of Argen- tina, Chile, Portugal and Bra- zil. Why? "Spain's history and culture are more strongly linked to these nations than to Italy, France or Germany," says Frank Paredes, Mundo Vino's vice presi- dent for portfolio management. "Marketing these wines collectively is the logical step to drive growth. Retailers across the United States would be wise to group these fi ve nations together as well." cooler Atlantic areas to warmer Mediterranean zones." For example, white wine was not originally among Spain's strengths in the U.S. market, but the explosion of interest in Spanish white wines like Albariño and Verdejo has helped position Spain as a global wine leader rather than a one-hit wonder. From near obscurity twenty years ago, Albariño has now joined the ranks of the world's top white wines. Exports of Rías Baixas wines to the U.S. have grown seven-fold since 2001, and account for 45% of the region's exports, while exports from Rueda have tripled over the same period. Big players in the trade are also look- ing upmarket and beyond Spain's classic regions as they plan for the future. It's telling that in August, the Stoli Group chose Manuel Louzada, the former estate manager of Toro icon Bodega Numanthia, to serve as CEO of its new luxury wine group and that its fi rst Spanish acquisi- tion was from well off the beaten track. Arinzano, located within the DO region of Navarra, is the fi rst single-estate Vino de Pago to be established in northern Spain. Another factor sustaining Spain's resilient market share is shifting American demographics. "Spain appeals to younger consumers seek- ing new wine regions to explore," explains Javier Pages, the global CEO of Codorníu-Raventos, "while continuing to satisfy more mature palates that have already been richly rewarded by Spanish wine trial and discovery." And, age is not the sole factor. Spanish is a fi rst or second language for a growing number of wine consumers in some of the largest wine markets – not just Miami and Los Angeles, but also in places like New York, Houston, Chicago and Boston. SPANISH WINE EXPORTS TO THE U.S. 57% Table Wine 22% Sparkling Wine 17% Fortified Wine 4% Flavored (i.e. Sangria)

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