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EC Trade Deal Relieves State Wine Makers

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TIMES STAFF WRITER

California wine makers and sellers breathed a sigh of relief Friday after the United States and the European Community settled a bitter trade dispute that could have led to sharp increases in the price of European white wine.

“We are very happy there has been some agreement,” said Tor Kenward, vice president of Beringer Vineyards.

The United States, unhappy with European farm subsidies, had threatened to impose 200% tariffs on some European products, including white wines, beginning Dec. 5. The action could have boosted sales for California wines, but wine makers feared retaliatory tariffs, which would have hurt sales in Europe.

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Exports are “one of the larger growth areas in our California wine industry,” Kenward said.

After Friday’s announcement, Bob Berning, wine buyer for Trader Joe’s 49 Southland stores, started reinstating orders for wine that had been put on hold.

Berning said wine stockpiled by consumers over the last two weeks might depress wine sales for a short time, but might also have a bright side. “We all know if we have 10 candy bars in the closet we are more likely to eat them,” Berning said. “You might also be the recipient of some white wine for Christmas.”

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