Oregon Predicts Huge Grape Glut

Posted by Alan Boehmer Jul 2, 2008

The Oregonian announced that some industry analysts are predicting an oversupply "of biblical proportions" in the next few years. The 2008 harvest is expected to equal or surpass the huge harvest of 2007. Such a glut could impact the price of already pricey Oregon Pinot Noir and lead to bargain blends of astonishing quality.

Not everyone agrees with this assessment, pointing to the uniqueness of Oregon Pinot Noir in the national marketplace. Others point to the fact that most Oregon vineyards are winery owned in contrast to California's huge privately owned vineyards which must secure buyers for their fruit. Oregon vineyardists are unlikely to plant more grapes than they realistically believe they can use. And they are already pruning off excess grape clusters to concentrate the quality in lower yields, as is done routinely to keep the yield down to 1-3 tons per acre. Contrast that with the new trellising designs appearing in California's San Joaquin Valley that promise to double the current yields to 26 tons per acre.

One would expect that any looming oversupply of grapes would come from California. However, an oversupply of high quality Oregon Pinot Noir might not be all that bad for consumers.