Fair Trade Wine?!


Question:

Fair Trade Wine?

I was at an Argentinian Malbec tasting last night and we were commenting on what great value these wines are. However, we realized that the inexpensive wine comes at a price since the vineyard workers are paid so little for the backbreaking work they do. Will wineries one day label their wines as "Fair Trade" the way coffee producers do now?


Answers:
I think that is all relative to their economy. Their labor costs are no doubt going to be lower then in the states or in Europe. But their money will go a lot farther, it is more important to realize if these people are making wages that is liveable. Simply labeling something "Fair trade" could often lead to unfair rules for qualifying and most likely would lead to people bending the rules to qualify for something to put on a label.

Price/Quality ratio for wine is not only related to worker wages; other factors come in to play ie: cost of vineyard land, growing conditions ( is irrigation needed, pesticides required?, cost of oak barrels if used by the winemaker). These are just a few of the economic factors to be considered in addition to wages. As well, there is the supply & demand issue. Although Argentina is the 5th largest producer in the world, only recently have they focused on exporting their wines to the international market. In order to establish themselves, wines from Argentina have arrived to market at very consumer-friendly prices in order to better establish their positon with the consumer. Look no further than Chile for an example of this marketing strategy.

While there is no doubt that wages are generally lower in agricultural-based economies
( think Southern California fruit pickers), there are other factors related to the eventual cost of a bottle of wine.




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