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April 2018 WINES&VINES 15 WINE INDUSTRY NEWS Originally founded by the oldest of the great Cognac houses, Tonnellerie Leroi boasts a rare expertise in the production of oak barrels. The noble quality of the material is matched by the mastery and skill of its expert coopers. By perfectly taming the heat during the toast, the master cooper reveals the subtle aromas of the oak, which brings to the wine or spirit its aromas and vitality. 1285 Foothill blvd Cloverdale, CA 95425 Ph: (707) 224-2377 Fax: (707) 224-2390 www.tonnellerie-leroi.com 15/11/2017 15:02 S an Rafael, Calif.—Bearing acres for the California almond industry reached 1 million in 2017, accord- ing to the 2017 California Almond Nursery Sales Report. The figure represents 126% growth in the 20- year period since 1997. By contrast, the state was home to 560,000 bearing acres of wine grapes as of 2016, the most recent year for which infor- mation was available (up 70% from 328,882 bearing acres in 1997). Both acreage reports were compiled by the California Department of Agriculture in conjunction with the U.S. De- partment of Food and Agricul- t u r e ' s N a t i o n a l A g r i c u l t u r a l Statistics Service. Grapegrowing associations have reported for years that vineyard owners in the San Joaquin Valley have been pulling up their vines to plant almond trees, which have lower development and mainte- nance costs as well as the potential to make more money per acre. "With the cost of developing a vineyard being at least three times more than an almond or- chard, and the margins being not as good as almonds, there's not a lot of incentive for guys to go back in with grapes without a planting contract," said Jeff Bitter, vice president of Allied Grape Growers in Fresno, Calif. "The only reason to plant open land in the Central Valley with wine grapes would be a planting contract or a water issue, where the grower is wor- ried about the water it takes to support almonds vs. grapes—be- cause almonds take 33% more water, if not 50%." Determining profits Between 1997 and 2017, the aver- age yield per acre among Califor- nia almond farmers grew more than 30% to 2,250 pounds of al- monds, while the average price per pound had jumped 56% to $2.44 as of 2016, the last year for which USDA data is available. The price per pound was down significantly from 2014, when grow- ers were paid an average of $4 per pound, with California almond growers raking in nearly $7.5 billion. But Peter Vallis, executive director of the San Joaquin Valley Winegrowers Association, says the drop in price is not as black and white as the USDA figures indicate. "The dollar got a lot stronger, and almonds were trading at a high rate internationally because there was a worldwide shortage of hazelnuts. It was putting extra demand on almonds," Vallis told Wines & Vines. Almond trees can take around five years to start pro- ducing fruit. —Kate Lavin Almonds Reach 1 Million Bearing Acres in California ALMOND BOARD OF CALIFORNIA Compared to wine grape vineyards, almond orchards are less costly to establish.