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Wine nearly doubles economic impact

Published on July 21, 2011 3:01AM

Last changed on August 18, 2011 8:38AM

The Oregon wine industry's impact on the state economy nearly doubled over the last five years, according to a study the Oregon Wine Board released July 14.

The study, conducted by a research firm specializing in wine and food, showed the industry had a $2.7 billion economic impact on Oregon's economy in 2010, up 93 percent from 2005, the last time the industry commissioned a similar study.

"We have made some amazing strides during the last five years," said Sam Tannahill, chairman of the Oregon Wine Board. "And we are poised to continue the kind of growth we have enjoyed, as demand for our wines expands both nationally and internationally."

The study showed the industry bounced back from low sales in 2009 with strong sales and increased distribution in 2010.

Key findings include:

* The number of wine-related jobs in Oregon totaled 13,518 in 2010, with wages of $382 million.

* Oregon's approximately 850 winegrape growers produced a crop valued at $63.2 million in 2010.

* Oregon's 418 wineries bottled nearly 1.75 million cases and topped $250 million in revenue.

* Winegrape acreage increased 93 percent between 2000 and 2010.

* A surge in plantings between 2005 and 2009 involved an investment of $126 million.

The study identified three future challenges for the industry, including a need for the market to absorb significant increases in the supply of Pinot Noir grapes due to the surge in plantings.

The study was conducted by Full Glass Research of Berkeley, Calif.

--Mitch Lies


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