IN THE NEWS

What a difference a year makes.

That's the sentiment that has permeated California's wine sector this fall, as growers ship their final gondolas of grapes to wineries to be crushed.

Steve Fredricks of Turrentine Wine Brokerage in Novato sums it up this way: "At this time last year, especially on the North Coast, we were actually looking for sellers. We had plenty of buyers, the market was good and the prices were up for most of the major varieties. Now it is basically the opposite. We have all of the sellers we need and the buyers are mostly absent from the market."

Dec. 23 (Bloomberg) -- Producing vintages that delight the palate and impress the nose won’t be enough to make this a good year for California winemakers.

“People have money but they’re afraid about the future,” said Paul Hayashi, California sales representative for Grgich Hills Estate, whose Napa Valley wines retail for $30 to $135 a bottle. “When the mortgage thing hit, it was a sharp drop.”

On October 30, 2008, the Napa Valley Vintners released the Economic Impact of Wine and Grapes in Napa County report which states that the Napa Valley wine industry has increased 15 percent from the 2005 report for an annual value of nearly $11 billion on Napa County, and $41.9 billion nationwide.  The study conducted by top industry analyst Barbara Insel of Stonebridge Research concludes that, “While Napa Valley is uniquely suited for fine winegrowing due to its geography and climate, this value statement is also a reflection of the region’s reputation for quality and consistency...”