California winemakers eye China market

While last year was tough for many businesses, US wine exports hit record highs. An important slice of that market comes from California...particularly the vineyards of Napa Valley. And as Mark Niu reports, winemakers there are setting their sights on China.

These three winemakers are key members of the Napa Valley Vintners Association, which this week is sending 36 representatives to China.

Bruce Cakebread, President, Cakebread Cellars, said, "where they might be used to European wines now they get to discover Napa Valley and that's an exciting thing to watch right before our eyes".

Mark Niu, Napa Valley, California, said, "Last year U.S. wine exports to China grew by 42 percent. But there's plenty of room for growth. With the popularity of rice wine and plum wine, grape wine accounts for only ten percent of China's market."

Napa Valley produces high end U-S wines.

In China, they're mostly sold at hotels, fancy restaurants and to companies for special gifts.

That's partly why each winemaker is intent on establishing Napa Valley as a brand name - distinct even from other California wines.

Napa Valley only makes up 4 percent of wines from California, but accounts for nearly a third of all sales revenues.

Russ Weis, General Manager of Silverado Vineyards, said, "Here in this little tiny area we've got over 100 different soil types. It's half of the soil orders found in the entire world are found in this little tiny valley; Just this layering of temperature and soil types means we get an unbelievable amount of complexity into the fruit and therefore the wines."

Michael Honig has been to China 3 times.

He says the best way to succeed there is by adding a personal touch.

Honig's vineyard has been in the family for generations, so he's proud to play a part in his grandfather's dream and also expanding it to China.

Michael Honig, President of Honig Vineyard and Winery, said, "Our names are on our label, we're very proud and most are family owned businesses. We wanna tell our stories. We're the ones who can tell it the best and I think the Chinese culture really appreciates that."

A 48% tariff means foreign wines are a lot more expensive in China than they are here.

The vintners must work hard on their trip to show that's worth the price.

They'll be a part of nineteen events in four days - wine tastings, fundraisers and charity events - all in hopes of giving Beijing and Shanghai - a full-flavored taste of Napa Valley.