Groups affirm Ontario winegrape prices: plateau pricing to continue; arrangement intended to absorb surplus grapes.
Vineland Station, Ontario--White wine-grape prices will increase by 1% in accordance with the two-year pricing agreement reached last year for most hybrid and vinifera winegrape varieties. The Grape Growers of Ontario, Wine Council of Ontario and Winery & Grower Alliance of Ontario agreed to extend the 2010 pricing arrangement into 2011. Red hybrid and vinifera varieties will remain unchanged from 2010. Ontario currently has 128 licensed wineries, according to WinesVinesDATA.
Several other prices related to late harvest wines or ice wines remain unchanged. The minimum price for ice wine grapes is 125% of the price based on normal harvest. Ice wine juice prices in Canadian dollars are: hybrid juice: $15.76 per liter at 35[degrees] Brix, and vinifera Juice: $24.16 per liter at 35[degrees] Brix. The price for late harvest hybrid juice stays at $4.58 per liter at 26[degrees] Brix.
Winegrape Prices in Canadian Dollars Per Tonne Variety 2011 price New York Muscat $520 Seyval Blanc and Vidai $600 De Chaunac and Rosette $659 Marechal Foch $780 Baco Noir and Chambourcin $843 Auxerrois $1,216 Gamay and Zweigeltrebe $1,283 Johannisberg Riesling $1,396 Chardonnay $1,424 Gewurztraminer $1,554 Sauvignon Blanc $1,570 Pinot Gris $1,575 Cabernet Franc $1,676 Cabernet Sauvignon $1,875 Merlot $1,894 Pinot Noir $1,933 Shiraz $2,164
Plateau-pricing pilot for four varieties
All three parties also agreed to continue the pilot plateau-pricing model inaugurated last year for Chardonnay, Riesling, Cabernet Sauvignon and Cabernet Franc.
There will be no tonnage restriction, and no new varieties have been added to the program. As was the case last year, plateau pricing is limited to deliveries made within the Brix window shown for each variety. The Brix level each year is based on a five-year rolling average. Deliveries at higher Brix levels must be paid for at the 2011 base price plus applicable sugar bonuses.
Processors must advise growers well ahead of harvest of their intent to purchase grapes at plateau pricing, and growers are encouraged to work with their processors to ensure that their grapes are harvested within the plateau-pricing range.
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|Comment:||Groups affirm Ontario winegrape prices: plateau pricing to continue; arrangement intended to absorb surplus grapes.(WineEast)|
|Publication:||Wines & Vines|
|Date:||May 1, 2011|
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