August 2009

Wine: Cheaper than Water

Call it what you will; a recession, an "economic downturn," a depression, whatever it is, table wine sales don't seem to be suffering quite so much. In

September of last year, California restaurants were already struggling, and hence depleting their wine cellars instead of buying more wine, but retail and direct-to-consumer sales were doing slightly better. University of California at Davis wine industry economist Robert Smiley recently released the results of a study he did of 73 California winery and vineyard businesses. High-end wines sales are hurting, according to Smiley, but producers of "moderately" priced wines in the $10.00 to $14.00 dollar range might actually have seen an increase in sales.