An American Perspective: The Napa Valley Brand Geneva 27 May, 2004

The Napa Valley Brand Napa Valley Overview Geographical Indication Issues

Napa Valley Overview Great wine is a reflection of where it is grown – its character demonstrates a sense of place Soil Climate Aspect

Northern California

San Francisco Bay Area

Napa Valley Physical Diversity Geologic History Soils Climates

Tectonic Plate and Volcanic Influences

Soil Series Distribution

Marine Influence

Morning Fog

Aspect Map

Stags Leap District

Oakville

Napa Valley Overview Napa Valley was officially recognized as an American Viticultural Area (AVA) in 1981 (and has produced highly regarded wines since the 1850s)

Napa Valley Overview More than 250 wineries in Napa Valley, but total volume of wine from Napa Valley Appellation is very small Less than 4% of all California Wine More than 12% of the total revenue

Napa Valley Overview One of the great winegrowing regions of the world Prices from $15 to $250 per bottle

Geographical Indication Issues Napa (or Napa Valley or Sub- Appellation) in Brand Name Consumers Assume Napa Valley Wine in the Bottle* * April, 2000, Tootelian & Associates (Sacramento, CA) Research Consumer Confusion

Geographical Indication Issues Trend in U.S. increasing importance of AVAs Currently 46 applications for new AVAs waiting to be processed by TTB Napa Valley contains 13 unique AVAs within its boundaries

Geographical Indication Issues Napa brand currently misused by U.S. and other wineries Bottlings from California-based Napa Ridge, Napa Creek, Rutherford Vintners contain NO NAPA VALLEY fruit Mis-descriptive use issues relative to Chinese and Spanish wines as well Clear cases of consumer confusion

Geographical Indication Issues Existing Protection for Napa Brand U.S. Federal Law Passed in 1986 Preventing Misleading Use Going Forward. Does not address pre-existing mis- descriptive uses

Geographical Indication Issues Existing Protection for Napa Brand (cont.) California State Law passed in 2000 making inappropriate use illegal for brands existing prior to 1986 Legal challenge to Law has prevented its taking effect

Geographical Indication Issues NVV official position on Geographic Indicators for wine The Napa Valley Vintners (NVV) recognizes the importance of place and place names throughout the world to indicate grape origin and wine character attributable to that origin. The NVV supports the establishment of American Viticultural Areas (AVAs) in the United States and of other systems of geographical indications (GIs) for wine around the world.

Geographical Indication Issues NVV official position on Geographic Indicators for wine The NVV supports governmental protection and enhancement of AVAs and GIs. The use of place names for wine, whether in brands, labels, promotional materials, advertisements or otherwise, should not mislead consumers as to the origin of the grapes in that wine.

Geographical Indication Issues Actions to uphold these principles & protect Napa brand (cont.) Legal actions underway to uphold State law Pursuing legal recourse for inappropriate use both inside and outside of US

Geographical Indication Issues Actions to uphold these principles & protect Napa brand (cont.) 100% Napa Valley Certification Mark Program Grown, produced and bottled entirely in Napa Valley to qualify Educational programs Educate consumers about importance of place in wine growing

Geographical Indication Issues Actions to uphold these principles & protect Napa brand (cont.) Encourage the United States to conclude the Wine Accords, including phasing out the use of semi- generic names to designate wines of an origin other than that indicated by such names.

Geographical Indication Issues Actions to uphold these principles & protect Napa brand (cont.) Take steps to ensure that, if there is an international method of protection for geographic names for wine, the names of Napa Valley and of those AVAs wholly contained within Napa Valley shall be included.

Summary Napa Valley: Unique wines from a unique place Consumers expect Napa brands to be Napa wines GI protection is an ongoing, long term effort