by Giles Cooke
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26 May, 2021
For many in the wine sector, plotting the journey to take over the next few years looks especially challenging. Navigating a sustainable route through the choppy waters associated with a post China, post pandemic world should be the top priority for all. But what will that journey look like and who will plot it? What the future needs to look like is, predictably, exactly the opposite of what is likely to happen. Speaking to a major UK buyer last week, their major concern was that the combination of losing the Chinese market, a large harvest and Brexit pressures would mean that Australia returned (some would argue it never left) to being the whipping boys of UK multiple buyers. The grim inevitability of this immediate future is only balanced off by the gastric gnawing I feel for all those whose futures will be directly affected. After a brief period where the Chinese enthusiasm for all things Australian allowed warm climate, inland growers to sell fruit at profitable levels, the reverse position that we now find ourselves in, is likely to lead to a situation where many growers are forced into a position where selling fruit is loss making. The temptation in such circumstances may be to increases yields and cut costs per ton, but the increase in water usage required to do so is not only damaging to the environment but also economically unsustainable given the price of water rights. I’m empathetic to the situation that many growers will find themselves in. When times were good, it was too easy to accept high prices for mainstream varieties and the need to diversify into alternatives or re-focus on climate appropriate varieties already in the ground, was too distant. But, and it is a big but, this is a cycle that we have seen before, albeit, the scale of the Chinese problem dwarfs anything we have experienced. And, this time, the economic situation is accompanied by an environmental crisis which means that we simply cannot ignore the need to change. As with all change, some of it will be uncomfortable and there will be losers, but we must resist the human desire to bury one’s head, ostrich like, in the sand. Only this last vintage, I visited a Riverland grower who wanted to sell me his old vine Grenache. It looked terrific – small yields, gnarly trunks, well balanced canopies, planted just post 2nd World War I’d imagine. “This will be the last vintage though……we’re getting older and can’t be bothered with having to hand pick. We’re ripping it out and replacing it with Shiraz which we can machine…” My jaw almost touched the dirt. I pleaded with him not to do it, offered him more money, offered him a 5 year contract with us paying for the picking. I tried to convince him that now was not a good time to plant more Shiraz. I failed. I do not blame him, or the many others that think similarly but, as an industry, we have failed to provide the support needed for people such as these to make bold choices about their future….our future. When we began winemaking in Australia, the challenges, as we saw them, were rather narrower than those we face now, but can we learn anything from how we overcame them? At this point, I should add that I fully acknowledge that nothing that we do individually is going to change our world but equally, the failure to act on an individual basis while waiting for collective action isn’t the answer either. McLaren Vale Grenache growers (Grenache growers in any region would have been the same) back in the early 2000’s were not a happy band. The decline in Grenache plantings, already set on their way by faltering demand, Govt incentivised vine-pulls, and non-appealing wine styles, was met head on by people such as ourselves who could not countenance the further destruction of Australia’s viticultural history. We set about buying and specialising in Grenache. A few principles guided our way: make wines that people want to drink ; pay the growers and pay them well ; tell the story to benefit all. It has not been easy but 10 years later Grenache is the most expensive variety in McLaren Vale and people are talking about, if not actually, planting more. After establishing ourselves in some of the best sites in McLaren Vale, we turned our thoughts to the wider sustainability of the variety. It’s all very well making small quantities of high quality single vineyard wines that sell for high prices, but for the variety to turn the corner nationally, we have to make a wine that can be produced sustainably in larger volumes, at a more accessible price. We turned to the Riverland where older plantings of Grenache were largely neglected but capable of making delicious wine. We agreed to pay the growers more to incentivise them to keep the vines in the ground and we showed the fruit a bit of love and affection. The result was Gorgeous Grenache and the lessons are incredibly important. While regenerative agriculture is now more widely discussed, the principle of using an existing resource and creating more value for it is one that made as much sense to us then as it does now. Grenache is arguably much better suited to many Australian climates than varieties such as Shiraz or Cabernet and the older vines crop less, using less water and the fruit has shown itself capable of making delicious wine. What I want to say is that, like most subjects, we have to start with money. There’s no point brow-beating people into submission over sustainability unless they can see a way of it sustaining themselves. To do that we need to be creative – we need to view existing resources through new eyes and help them to see their resources as we see them. Work with them to change how they work, demonstrate what that could mean for them, us and the environment. We need to be open to risk, but support those, as best we can, who we expect to take the risks with us. We will need to accept that hoping for a cycle to turn positive is no longer sustainable business practice – there is no guarantee that what worked in the past will work again. To enable sustainable change, we must enable and work with those that tend the land for, if we see choppy waters, they will feel raging seas. Only by working together can we part those seas, charting a course to a more sustainable future.