Peller spells out vineyard recovery strategy

Photo: Tinhorn Creek's Leandro Nossal

Like most wineries in the Okanagan and Similkameen, the five B.C. wineries owned by Andrew Peller Ltd. had to source grapes from elsewhere. The hard freeze in January 2024 reduced the production from the interior vineyards to between 1% and 3% of normal. The Peller wineries that traditionally make VQA wines in B.C. are Gray Monk Estate Winery, Red Rooster Winery, Sandhill Wines, Tinhorn Creek Winery and Black Hills Estate Winery. The group sourced grapes last year from Washington State, Oregon and Ontario to make wines selling under similar regulations as if all were made from B.C. grapes under the usual VQA rules.

The wine industry got a one-year waiver in 2024 to make those wines. It is obvious from a booklet recently published by Peller that B.C. wineries may need the same privilege for several years. Peller estimates that between 43% and 79% of the vineyards need to be replanted, or between 5,579 and 10,233 acres. This is a massive undertaking. Leandro Nosal, the Tinhorn Creek winemaker, points out that it may take a year or two even to get vines from plant nurseries (in France or in the United States). Those vines will only begin producing a reasonable crop in their third year and the wines from those grapes will not be released to market for another year or two.

“For vineyards that don’t require extensive replanting,” the Peller brochure continues, “we are concentrating on restoring key areas to full health by regenerating vines from the base. This is a slow recovery process that will take at least three years to complete.” The brochure continues: “We are replanting with more resilient grape varieties, adopting innovative farming techniques, and investing in climate-adaptive technology like upgraded wind machines and insulation methods. These measures aim to ensure the long-term health of our vineyards. Rejuvenation and replanting efforts will take several years. We anticipate yields to gradually increase, with full production potentially resuming by 2027. Due to aging requirements, these wines may not be available for another two-three years after that.”

The Liquor Distribution Branch appears to have anticipated a need for imported grapes for several years. In October, 2024, the LDB issued a memorandum to the industry setting out in detail the regulations. Included was this paragraph: “The temporary requirements permitting commercial wineries to produce and sell Replacement Wines as Products of their Licensed Establishment will terminate on March 31, 2028. As of April 1, 2028, commercial wineries must return to full compliance with the terms and conditions of their original Commercial Winery Agreement.”

It might be a delicate matter for the BC wine industry to negotiate the right to keep making wines for several more years under the same favourable terms as exist this year. There is always a risk of a trade action against BC by the American wine industry. The reason: The provincial government pulled all American wines and other alcoholic products from BC liquor stores in March. Now the BC wineries are trying to fill those empty shelves with wines made with American grapes. One would not expect that the California Wine Institute to be very happy with that when their wines are shut out of this market.

In the four quarters to the end of 2024, sales of American wines in British Columbia totalled $124.3 million. In the same period, sales of BC wines (both VQA and non-VQA wines) totalled $511 million in this province. In my view, it would be prudent for British Columbia to do what Alberta and Saskatchewan have just done: allow American wines back into this market once consumers have had an adequate chance to become familiar with the “replacement” wines. They should be able to compete with American wines.

I have tasted enough of those wines to recommend them without hesitation. Here are notes of several that the Peller group showed to a small group of wine writers recently.

Grey Monk Washington Pinot Gris 2024: The wine is crisp and fresh, with aromas and flavours of pear, peach and citrus. 90.

Sandhill Small Lots Washington Viognier 2024: The wine has the classic texture of Viognier, with aromas and flavours of stone fruit and pineapple. 91.

Tinhorn Creek Sauvignon Blanc 2024: The fruit is from the Yakima Valley. The wine was aged partially on concrete and barrels, giving it a full texture. The herbal notes mingled with hints of lime recall a Sancerre white. 90.

Tinhorn Creek Washington Rosé 2024: This is a blend of 88% Syrah and 6% each of Cabernet Franc and Merlot. The wine presents with an appealing rose-petal hue, with aromas and flavours of wild strawberry and watermelon. 91.