Wine Law

In the 16 th century, Philip II of Spain prohibited the creation of new vineyards in the colonies. However, this was in vain, given that the natives continued with a very artisanal and precarious production, using, for instance, clay jars. History changed with the introduction of the railroads: the wood arrived, and it is estimated that by 1886, in the state of Mendoza, there were already 6,653 cultivated hectares and about 420 wineries. During the 19 th century, immigrants introduced a series of strains that substantially improved national production, and today, we have white varieties, such as Chenin blanc, Chardonnay, Riesling, Sauvignon blanc, Semillon, Friulian Tocai, Torrontes, as well as red varieties, like Cabernet Sauvignon, and, of course, our flagship: Malbec, Merlot, Pinot Noire and Syrah. Now, for historical and political reasons that we are not going to elaborate on when we previously thought of wines, we would think of the Cordillera area – a long spine going from Rio Negro to the Calchaquies Valleys in Salta and Tucuman and, eventually, part of Cordoba. Today, there are vineyards in, among other places, Chubut, La Pampa, Buenos Aires, Santiago del Estero, Entre Ríos and Jujuy, and the production has opened to other markets, with our palette having opened to all varietal, generic, sparkling, sweet and liqueur possibilities. What does it mean in economic terms today? If we assume that the wine industry is in the business of thirst, that is a market of 33 million litres per year in Argentina, where wine consumption is only 2.7%. However, the domestic market is very strong, representing 70% of production. As far as exports are concerned, North America and England are our most important markets, but there is still a world to conquer. Argentina exported 1,023 million dollars, in 2019, with a marked specialisation in its fractioned wines. So, in addition to being one of the countries with the highest exportation, Argentina is also a significant generator of employment. Nowadays, we are presented with new forms of consumption, not only the bag-in-box but also canned wine or local wine, as they experience in Rio Negro. In short, a permanently expanding business that, beyond its traditions, has an unbelievable potential for reinvention. 2. Actors and Protagonists Let us talk now about the most significant actors in the industry.