Promotion panel at Cape Wine Show

Recent US surveys indicted that the wine industry are intending to increase their focus on environmental aspects.

The wine industry is making a concerted effort to adopt environmentally responsible practices but sees a need for better education among both consumers and professionals on many “green” issues, according to two surveys of wine industry professionals and executives conducted by Robert Smiley, professor and director of wine studies in the Graduate School of Management at the University of California, Davis.

“These industry leaders are very concerned that their firms authentically ‘walk-the-walk’ when it comes to environmental issues and that they not be accused of just ‘greenwashing’ their businesses,” Smiley said.

He added that while survey participants reported that the high prices of gasoline and other inputs have negatively impacted their costs and revenues, they remain optimistic that the industry will ride out the current nationwide economic downturn.

All of the executives interviewed said their firms were actively engaged in environmentally friendly business activities, such as package redesign, use of biodiesel fuel, wastewater reclamation and developing “green” building plans. They expressed a concern, however, over the lack of clarity in the industry and among consumers over what many environmental terms like “sustainable,” “green,” and “low carbon footprint” actually mean and how industry can genuinely adopt environmentally sensitive practices.

Survey respondents also said that rising prices for gas, electricity, supplies and transportation have significantly raised the cost of doing business across the industry at the same time that wine consumption has been hurt by the general economic downturn. They reported that consumers are responding to rising gas and food prices by dining out less and buying less wine, and noted that wine sales at both casual and high-end restaurants have suffered as a result.

“Despite that downturn in sales, the majority of the wine executives surveyed said that they believe the industry will survive the current economic slump on the strength of non-restaurant sales, particularly the moderately priced $10-$14 wines,” Smiley said. “They are confident that the millennial generation’s love of wine provides a solid foundation for the industry.”

At the recent Cape Wine trade show, the company proved that it’s making steps in the right direction to reduce its carbon footprint and combat global warming. The company has introduced alternative packaging such as convenient wine pouches (which take up less space in a landfill than glass bottles), tetra paks, PET and will be switching to lightweight glass bottles for core brands.

The pouch is easy to transport and 20 times lighter than a normal wine bottle. It is also unbreakable, re-sealable, easy to store and will stay fresh for up to one month once opened. The pouch also has an 80% lower carbon footprint than the same wine in glass bottles. From cradle to grave, including all production and transportation, the pouch has been developed to lower the environmental impact of the entire product, rather than just disposal at the end of its lifecycle.

In keeping with the ‘green’ theme, the company also created a stand made entirely from recyclable, reusable or biodegradable materials – complete with chairs and tables made from sturdy recycled cardboard. The digital carbon counter on the stand was a harrowing indicator of the wine industry’s emissions for the period of the show. The total emissions at the end of the show amounted to 43 000 tons.

Source: Marketwatch