Champagne Production Set to Double

Posted by Alan Boehmer Jun 20, 2008

In response to the increasing prices of Champagne caused by supply and demand worldwide as well as the falling value of the U.S. dollar, the French government has agreed to expand the appellation controlée boundary of Champagne. The new appellation will be roughly twice the size of the current one and the result will be vastly increased production and, hopefully, lower prices.

Champagne sales in the U.S. have dropped in proportion to the sagging dollar. Might we hope that as the dollar regains strength Americans will be treated to more affordable Champagne than in former times?

Property values within the Champagne appellation are the highest in the country, so former beet farmers will find the value of their farms dramatically increased and the big Champagne houses are already knocking on farmhouse doors with purchase and leasing offers.

It is expected that annual production over the next three years will increase by at least 100 million bottles.

But even so, Champagne will probably never be truly competitive with domestic sparkling wines. In the first place, the two products are worlds apart in quality, complexity, and texture. Even sparkling wines from other regions of France, such as Vouvray, Cremant d'Alsace, and Blanquette de Limoux, lack the exquisite quality of the real thing. New World sparklers, on the other hand, are wonderful value wines. They offer refreshing wines at unbelievably attractive prices, putting them in the category of everyday treats. Our favorite domestic value sparklers are the Brut, Extra Dry, and Blanc de Noirs from Washington State Chateau Ste.-Michelle, priced around $7.