Crop appears lighter in some areas; grape market activity still limited

Following an easing of heat levels in mid-August, 100-105°F temperatures returned to some areas of California toward the end of the month and into the first week of September. Reports of the hottest summer on record – for the western US as well as the Northern Hemisphere as a whole – obscure a more nuanced picture at the local level: While heat has been consistently intense in California’s southern Interior, Coastal areas have tended to avoid the worst extremes and, in some cases, even experienced cooler-than-average August temperatures. It has, in general, been a good growing year.

The picking timetable is well in advance of last year – when it was delayed by unusually mild conditions – and close to normal, with harvesting of the early whites getting started in the Interior by mid-July and in the Coast at the beginning of August. The return of higher temperatures has likely quickened the pace somewhat: Brix levels are now approaching their optimum even on some later-season reds and, as such, varietal readiness may coincide, potentially leading to processing bottlenecks. We are yet to hear of any such issues, however, and crush capacity in general appears to be more than adequate.

In the North Coast, the white grape harvest is in full swing and picking of some earlier reds is just underway. Performance appears to be spotty, with – so far – Mendocino and Lake counties seeing average to above-average crops in general, and Sonoma and Napa average to slightly-below average crops. In the Central Coast – where the Sauvignon Blanc harvest is well underway but picking of Chardonnay is only just getting started – there is a suspicion the crop will reduce in size from north to south; some early results have been lighter than average. The Coastal crop in total can be characterized as looking average to slightly below average in size. In the Interior, the white-grape harvest is moving toward completion and – with Brix levels approaching optimum – the main body of the red-grape harvest is underway. White grape tonnages are down, with estimations of the shortfall at perhaps 15-20%. 

Given the slowness of the state’s grape market this year, and an understandable reluctance to custom crush due to the bulk market’s similar slowness, grapes are likely to be left hanging, making it even more difficult – this early – to estimate a state-wide crop size. As we reported last month, some testing for smoke exposure is being conducted by wineries. It remains early in this process, and data is somewhat limited, but we have heard of elevated numbers in some areas of the state where early-season wildfires occurred.

Away from harvest, the wait goes on for better case-good sales numbers. Consequently, the bulk wine and grape markets remain largely characterized by slow activity levels and relatively low prices. Read on for the market latest and – for the most up-to-the-minute intel – get in touch directly with the Ciatti broker team, able to draw on over 130 years of collective wine industry experience to help buyers and sellers navigate this challenging period for the industry.

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