Ontario to Support VQA Wines

Wines with all Ontario-grown grapes will receive $57 million investment
 
 Toronto, Ontario -- On April 28, the province of Ontario announced that through the year 2014 it will invest a total of CAD $57 million in the success and long-term sustainability of its Vintners Quality Alliance (VQA) wines. Both VQA wines and Ontario grapegrowers will receive support through three initiatives:

• CAD $6 million per year for five years for the successful VQA Wine Support Program.
• CAD $3 million per year for five years to support marketing and tourism activities.

• Starting in 2011, CAD $3 million for four years to help grapegrowers transition to a long-term focus on VQA wines.

Ontario’s VQA Wine Support Program was first established in 2006 to encourage the sale of VQA table wines containing 100% Ontario grapes through the Liquor Control Board of Ontario. The new program, to be administered by Ontario’s Ministry of Economic Development and Trade, will provide wineries with an annual grant based on the sales value of VQA table wines sold at the LCBO. Wineries will be required to submit an application each year to be eligible for program funding.

In 2004, the Ontario government provided funding for the Ontario Wine Strategy in the amount of CAD $2 million for marketing and tourism activities. After consulting with the wine and grape industry in November and December 2009, it was agreed that a new strategy was necessary and that funding should be increased to CAD $3 million for five years.

Marketing activities will include advertising and promotions at the LCBO, awards programs and public relations. Tourism development activities will include the development of enhanced wine route maps and signage, and promotion of premier industry events such as Cuvée and the Niagara Wine Festival.

The Ontario Wine Strategy Program will be managed by the Wine Council of Ontario, which will work with the Grape Growers of Ontario, VQA Ontario and the Winery and Growers Alliance of Ontario, which was formed last year, to develop an annual marketing plan and report back to the government of Ontario on investments and activities.

The industry is developing a new plan to identify which grape varieties will be needed by the wine industry in the future. While this process is not yet complete, the government will provide CAD $3 million per year for four years to help Ontario’s grapegrowers make the transition to the new focus on VQA wines.

Ed Madronich, chair of the Wine Council of Ontario and owner of Flat Rock Cellars at Jordan Station, Ontario, told Wines & Vines he is particularly pleased that all sectors of the industry have agreed with the three programs announced by the government. In conjunction with the news release, he stated: “Ontario’s wine and grape industry has grown significantly in a short period of time and our future is exceptionally bright. The Wine Council of Ontario believes these programs will benefit all partners in the wine and grape industry, and that Ontario’s focus on VQA wines is essential to our continued growth and success.”