Friday, November 21, 2014

Southern Joaquin Valley in CA awash in hard-to-sell winegrapes

This is upsetting: Winegrapes from a huge portion of the southern San Joaquin Valley were sold this year for as low as $200 per ton. That is only $0.10 per pound. A lousy price for a grower.

To be sure, these aren't your upscale vineyards--these are factory-farmed grapes on vineyards thousands of acres big. Those grapes go into cheap wines. But the growers are switching to nut crops, which produce more revenue.

So the cheap-wine market may find a shortfall in grape supply. An ongoing pendulum shifting in grape/wine economics.

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