Chilean winemakers see overall production down 15-20%
Chilean winemakers are suffering losses of up to 15% on their red wine volumes caused by vine damage, coming after frost decimated white grapes by up to 55%. Mario Pablo Silva, managing director of Chile's Casa Silva winery, said the frost had two different impacts - decimating white grapes and damaging vines in longer term leading to lower volumes of red grapes.
Chilean winemakers are suffering losses of up to 15% on their red wine volumes caused by vine damage, coming after frost decimated white grapes by up to 55%.
Mario Pablo Silva, managing director of Chile's Casa Silva winery, told Harpers.co.uk: "The frost had two different impacts. Between 30 and 55% of Chardonnay and Sauvignon Blanc grapes were affected on average - that was the first impact and it was huge."
He added that some other vineyards had seen as much as 90% of their white grapes destroyed. The second impact, which grape growers are now facing, is that the frost reduced vines' production levels. Silva said the weight of the grapes on the smaller branches has led to an average reduction of 10-15% in red wines. "It wasn't caused directly by the frost, but was a longer-term effect on the branches."
Overall he said total volumes are down 15-20% on last year, especially when it comes to white wines.
Mario Pablo SilvaCasa Silva’s managing director Mario Pablo Silva says the frost immediately impacted on white grapes, but its damage to vines meant red varieties were also affected.
On a brighter note, the quality this year is "going very well". "The quality is generally good - there is good concentration, especially in the reds," Silva said.
Smaller volumes are a bigger problem for producers of cheap grapes, or those selling on the bulk market, than premium producers like Casa Silva, Silva maintained. He said the price of wines exported in bulk or sold on the local market would increase in price.
Chilean winemakers have also been worried about a recent tax reform which would see additional taxes levied on producers increase from 15 to 41% to counteract societal problems relating to alcohol. But he said lobbying on the part of the wine industry had helped to push home the message of how damaging this would be for the "emblematic" Chilean wine business. "Wine is an important part of our image," he said, adding that 500,000 people were either directly or indirectly employed by wine, which also plays a major role in the country's tourism. According to Silva, the message has been well received in government and a reform of the proposal - revising the tax downwards - is expected in September.
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