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JULY NEWS Ontario Growers Seek Market Share Government involvement in B.C. wine industry created measurable success S t. Catharines, Ontario, Canada— Ontario grapegrowers want their government to follow British Columbia's approach to boosting sales of domestic wines. Ontario is the largest wine-producing province in Canada, but wines made entirely from Ontario grapes—typically marketed under the Vintners' Quality Alliance (VQA) seal—claim just 9.5% of the Ontario market. By contrast, British Columbia VQA wines—made solely from B.C.-grown grapes—claim 19.5% of the market in B.C. "It isn't that consumers don't want to buy Ontario wine, it's access to the market," Debbie Zimmerman, CEO of Grape Growers of Ontario, told Wines & Vines. Ontario wineries primarily depend on winery shops and the network of 630 stores operated by the government's Liquor Control Board of Ontario for sales. B.C. wineries, on the other hand, sell from the cellar door, 195 Cherokee_Nov05.qxt 9/19/05 10:52 AM government stores, 683 private retailers and Debbie Zimmerman, CEO of Grape Growers of Ontario, advocates modeling the B.C. tax structure for Ontario wines. 21 VQA stores with winesandvines.com Learn more: a mandate to sell Search keywords wines made solely "Ontario share." from local grapes. The latter operate under licenses the government granted to the B.C. Wine Institute in the early 1990s to ensure consumer access to B.C. wine. A rebate program ensures that B.C. VQA wines are largely exempt from Page 1 government markups when sold through government-run liquor stores—something Zimmerman would like to see in Ontario. Ontario has a support program that cuts the markup by 30%, but it is not a full rebate. Since 2000, the Ontario wine industry has sought to achieve a market share for local wines of 50% of sales by 2020. The amount of Ontario wine moving through Ontario's liquor stores in the most recent fiscal year was 38.3%. While she praises the support of the LCBO, Zimmerman said more has to be done to achieve the agreed-upon goal. "We're asking the government to turn the dial up so there's more Ontario wine on the shelf," she said. A local law requiring wineries to ensure 40% of their total production, or at least 25% per bottle, is made with Ontariogrown grapes expires March 31, 2014. Meanwhile, the growers' group is concerned consumer consumption of Ontario wine has not kept pace with production. —Peter Mitham hauling precious cargo • 24 hour dispatch • Competitive rates • Personalized Service • Radio/Cell phone equipped • State-of-the-art equipment • Maximum payload capacity • Over 30 years in operation • References available • Fleet of over 200 trucks including Wine Tanks and Dry Freight Vans CHEROKEE FREIGHT LINES 5463 Cherokee Road • Stockton, CA 95215 Telephone: 209.931.3570 • or visit our website:www.gocfl.com 16 W in e s & V i ne s J U LY 2 013