201 Alameda Del Prado, #101, Novato, CA, United States of America, 94949
Following an October that exhibited summer-like heat spells – including daytime temperatures of 105-106°F and night-times in excess of 75°F – California’s 2024 harvest was essentially complete by November 1st. As well as contributing to a busy end-of-season picking period – and, in turn, some short-term capacity constraints at wineries – the heat is likely to have reduced the final crop size, especially of those (mainly red) varieties still hanging when it arrived.
The crop’s size remains extremely difficult to gauge, owing to the high number of variables: A patchy performance across the state this year, the late heat, uncontracted grapes potentially going unpicked, and vineyard abandonments or removals. In the North Coast, Napa and Sonoma tonnages were down from the average; Mendocino and Lake tonnages were more in line. Cabernet appeared to have suffered one of the larger shortfalls in the North Coast, with Napa and Alexander Valley Cabernet potentially coming in 20-30% lighter than expected.
The Central Coast’s crop was potentially 15-25% smaller than last year. The late heat caused some dehydration and – with processing capacity briefly limited – some weight was lost in the vineyards. The shortfalls appear to have come in greater on the reds and the further south the vines are situated: Paso Cabernet, for example, potentially saw shortfalls beyond 25%, while Chardonnay and Pinot Noir were generally lighter to a lesser extent. The Interior’s crop is expected to have been short of its average by at least 15-25% on the whites and 5-10% on the reds, although the shortfall of some reds – namely Cabernet – appears to be greater due to the heat. In addition, reds were likelier to be uncontracted and left unpicked.
Our state-wide crop guesstimate remains 3.2-3.3 million tons. Some of the discussion we hear is around the possibility of the crop being even smaller, perhaps below the 3-million-ton-mark. However, any extra shortfall caused by October’s heat may have been at least partially offset by fewer grapes being left on the vine, as growers reacted to demand from buyers seeking replacement volumes. Overall, grape quality was high. Harvest weather was conducive throughout and - until the late heat - maturation proceeded steadily, allowing for a straightforward succession of picking. Given October’s heat, some 2024-vintage wines are likely to be characterized by a riper style and fruit-forward notes.
It remains a painful time for the industry. Cashflow, essential for surviving until such time as supply and demand is back in balance, is hard to come by; with asset values having dropped, so too is financing. Consolidation and rightsizing are underway, indicative of financial pressure both in the industry and the wider economy. The coming year will be a telling one: Grape and bulk wine buyers may have reduced their demand in 2024 to offset lingering 2022/2023 bulk inventories – will 2025, as a consequence, mark a return to some market stability?
Ciatti’s broker team – possessing over 130 years of collective wine industry experience – is on hand to help buyers and sellers navigate this challenging time. Read on for the latest crop and market insights, and – for the most up-to-the-minute intel – don’t hesitate to get in touch directly.
Greg joined Ciatti in 1994 and became a partner in 1997. Greg has used his degree in International Relations to build Ciatti into the world recognized leader in the alcohol beverage business. Greg is currently the President and CEO of the company and drives the international group.
Steve Dorfman joined Ciatti in 2007 after working with the Brown-Forman Corporation, Fetzer Vineyards, Sonoma-Cutrer Vineyards and Bolla Wine brands for 24 years. His primary responsibilities are wine and grape sales within California, and the supply demands of markets throughout Europe, South Africa and Australia.
Ciatti has a long history of seeking to provide clients with a well rounded team of brokers whose experience in the industry cover the breadth of the business. John joined the company in 2003 after working as a Winemaker for several of California's major producers for 20 years. John's emphasis is maintaining relationships with California wineries ranging from the largest to the smallest. John has focused on all aspects of growth within the business, from long-term custom crush contracts to spot bulk wine and grape sales. His speciatly is the sourcing and selling of premium varietal lots from the coastal and interior regions of California.
Chris Welch joined Ciatti in 1994, and began brokering bulk wine and grapes in 2003 and became a partner in company in 2007. The premium and super premium segment of the California wine industry are the breeding grounds of innovation and where Chris truly excels. His consistent approach helps small and medium size wineries and negotiants achieve the innovation and growth they seek. Chris also works very closely with the Oregon Wine Industry.
Glenn Proctor joined Ciatti in 2003 and became a partner in 2007. Glenn advises wineries on supply positioning and works closely with growers and wineries in marketing their grapes and wine. He specializes in spot and contract bulk wine and grapes sales from all regions of California. He has over 23 years of experience in wine supply strategy, wine-grape quality improvement, brand strategy, and business development. Glenn was previously the Vice President of Winegrowing for Diageo Chateau and Estate Wines, and before that was a Director at Benziger/Glen Ellen Winery during its rapid growth in the early 1990's.
Johnny Leonardo joined Ciatti in 2004 as a broker and knows that surviving in a dynamic wine industry requires one to be a Jack-of-all-Trades. He has experience in all aspects of winery and vineyard operation, from the field to the street. Johnny has developed and managed vineyards, and worked in wine sales and marketing.
Andy joined Ciatti as a broker in 1996. His areas of expertise and responsibility include grape and fruit concentrates, beverage and industrial alcohol, fruit alcohol and brandy, and food specialty products. Andy's knowledge of these products has allowed him to branch out and work throughout various parts of the world including Mexico, South America and Europe. Andy remains a wealth of knowledge and offers a creative approach to all endeavors.
Todd Azevedo joined Ciatti in 2004 after completing his Agricultural Finance degree from Cal Poly San Luis Obispo. Although Todd brokers wine, grapes, and wine products throughout the state of California, Todd's focus is on the California Central Coast.
Joined Ciatti in 2011.
Molly Richardson
Customer Account Representation - Grower Accounts
Joined Ciatti in 2016
Email: Molly@ciatti.com
Joined Ciatti in 2000.
Customer Account Representative - Sample Room
Joined Ciatti in 2013.
Email: michael@ciatti.com
Title | Name | Phone | Extension | |
---|---|---|---|---|
Partner/Broker | John Ciatti | john@ciatti.com | 4152640762 | |
Partner/Broker | Steve Dorfman | steve@ciatti.com | 7073213843 | |
Partner/Broker | Greg Livengood | greg@ciatti.com | 4154975032 | |
Partner/Broker | Glenn Proctor | glenn@ciatti.com | 7073370609 | |
Partner/Broker | Chris Welch | chris@ciatti.com | 4152988316 | |
Partner/Broker | John White | johnw@ciatti.com | 4152500685 | |
Broker | Todd Azevedo | todd@ciatti.com | 4152656943 | |
Broker | Johnny Leonardo | johnny@ciatti.com | 4157174438 | |
Broker | Dennis Schrapp | dennis@ciatticanada.com | 9059338855 |
Locations | Address | State | Country | Zip Code |
---|---|---|---|---|
CIATTI Global Wine & Grape Brokers | 201 Alameda Del Prado, #101, Novato | CA | United States of America | 94949 |