Report: California grape growers could lose $437 million in 2020 harvest

California wine grape growers could see losses as much as $437 million during the 2020 harvest as a result of slowing sales because of the coronavirus, according to new survey by consulting group bw 166.

The lack of demand from restaurants and wine bars will not offset increased wine sales at supermarkets from the COVID-19 precautions, according to Jon Moramarco, managing partner for bw 166.

The group estimated the volume of California wine sales from March 2020 to February 2021 is expected to decline by 9.21 million cases from the same period the previous year. That shortfall would translate into $437 million less in sales revenue for growers. The value of the 2019 statewide crop was $2.4 billion.

Even more troubling, Moramarco estimated there is already $395 million in reduced sales revenue expected to occur as a result of excess wine inventory following the large grape crop in 2018 and slowing consumer demand for wine before the virus struck early this year. That could translate to growers’ losses of $832 million from March 2020 to February 2021.

Pierce’s Disease referendum passes

State wine grape growers have approved a referendum that will continue assessments on the fruit they sell toward research and prevention of Pierce’s Disease. The disease, transmitted by the glassy-winged sharpshooter, has caused millions of dollars in damage to California grapevines in past years.

The referendum, which takes place every five years, passed with 78% approval, according to the California Department of Food and Agriculture. An advisory board sets the annual assessment rate — with a maximum of $3 per $1,000 of value — at its summer meeting. The annual assessment rate has averaged $1.39 per $1,000 of value and was $1 for the 2019 harvest.

The fund has invested over $47 million since 2001 on research and outreach.

90% of Napa farmers fish-friendly certified

Ninety percent of Napa County vineyards have been recognized as passing the fish-friendly farming certification program, according to the group.

Under the program, farmers implement land-management practices that restore and sustain fish habitats on their property and improve overall water quality, including building up salmon and trout populations. The program acts as an incentive to reward growers for practicing beneficial management practices to protect fish habitat over the long term.

Compiled by Bill Swindell. Submit items to bill.swindell@pressdemocrat.com.