Daily Newsletter

03 June 2024

Daily Newsletter

03 June 2024

US vintners ‘seek damages’ from PacifiCorp over wildfire impact

The Oregon-based winemakers are reportedly seeking damages for lost sales following 2020's wildfires.

Conor Reynolds May 31 2024

Oregon wineries are reportedly seeking damages from US utility supplier PacifiCorp for alleged lost sales and harvests following 2020's wildfires.

The lawsuit has been taken by approximately 30 vintners from the Willamette Valley.

They allege PacifiCorp’s decision not to turn off power during a storm contributed to the fires and the subsequent damage to their crops.

It’s claimed soot and smoke created by the wildfires tainted grapes, reducing harvestable yields.

“Grapes and grape juice that are infused with smoke can carry the smoke compounds and smoke taste through the entire wine production, bottling process, and sale to the consumers,” according to the complaint, seen by news agency AP.

The case also notes growers had taken costly measures to try and save the harvest by cleaning soot and smoke from the grapes but in most cases grapes were too damaged to use.

Plaintiffs are seeking $100m in damages from PacifiCorp. The case was filed at Multnomah county circuit court in Oregon.

In a statement sent to AP, PacifiCorp said it was “committed to settling all reasonable claims for damages as provided under Oregon law”.

The vintners taking the legal action are located in Oregon’s Willamette Valley, which holds around two-thirds of Oregon’s wineries.

During the 2020 wildfires in the US, roughly 80 fires started in Washington state, worsened by high winds. It has been found that some of these fires were sparked by downed power lines. In total, approximately 130,000 hectares of land was burned and nine people lost their lives.

Last year, a jury found PacifiCorp was liable for failing to stop the power supply to customers, resulting in downed lines sparking fires, going against a warning by top fire officials in the state.

Speaking to Just Drinks last year, Foley Family Wines president Shawn Schiffer said: “We had to make a lot of investments in air monitoring equipment for the safety of our team members. We had to make a lot of investments in laboratory equipment so we could run an analysis of grapes to see if they were in fact tainted.

“The big priority we have is the safety of our team members. But the fires are very worrisome. They’ve driven up insurance costs and they’ve really become a factor to have to work around as you’re trying to make fine wine.”

Wine Market Overview

GlobalData's latest report brings together multiple data sources to provide a comprehensive overview of the global wine sector, analyzing data from 104 countries. Per our analysis, Western Europe was identifed as the largest region, with a volume share of 51.9% in 2023, and the US recognized as the largest wine market. The increasing popularity of wine among young consumers will help the wine sector’s growth during 2023–28.

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