Cellared in Canada: big bottlers move to stem growing outrage

Over the last few weeks, pressure had been building nationally and internationally, concerning the deceptive Cellared in Canada wines. These inexpensive bottles, made by the country’s major wine bottlers, give a Canadian aura to blends made totally (or almost) from foreign wine brought in bulk to this country from Chile, Australia or elsewhere.

Last month, articles in The Economist, abroad, and the Vancouver Sun, nationally, were added to a long list of features by Jancis Robinson, Wine Spectator and French industry site Vitisphère, all criticizing the confusion between truly Canadian wine and foreign plonk. A half-hour segment on CBC’s The Current also contributed strongly to the debate by catching Andrew Peller president John Peller in a web of his own contradictions about the clarity (or lack thereof) of CiC labelling. While Peller insisted that the labels were clear, and that all relevant information was clearly stated, a string of LCBO consumer interviews at the end of the segment showed all of them surprised, if not angry, at learning that what they thought was Ontario wine was something else altogether. They certainly thought it was confusing and deceptive. And so did Anthony Gismondi, as he stated in a solid piece also published in the Vancouver Sun.

Facing growing public resentment, as well as growing pressure from the BC government, big bottlers Vincor and Peller met with the Vancouver Sun on Thursday to explain that they were planning changes to the labels and presentation of the wines. While Vincor president Eric Morham and Andrew Peller president John Peller insisted they never meant to mislead the public (then why all the small print on the labels, the incredible similarities between some brands’ VQA and CiC labels?), but that they are hearing the feedback and are working on new label designs.

One reason for the move might be explained by the BC government’s changing attitude towards the confusion:

In a separate interview, Rich Coleman, minister responsible for the Liquor Distribution Branch, said the LDB is on-side with the changes in marketing the wines.

“I have already told our guys to look at how it is displayed in the stores. It will be fixed.”

Coleman said Vincor, which is an official Olympic supplier, told him its Cellared in Canada wines should be re-labeled before the 2010 games begin, a sensitive issue for both the government and the winery

Here’s hoping that not only the labeling will be re-done, but also that Vincor will focus on actual Canadian wines, in its Olympic promotion, instead of products like the Cellared in Canada Esprit wine. The Olympics will be a great opportunity to showcase Canadian wine to the world, not compromise its credibility by blurring boundaries.

At this point, the decisions seem to affect only British Columbia, but it would seem normal that they should apply to Ontario as well. On Friday afternoon, I tried to reach spokespeople for Peller, Vincor and Mission Hill (in this last case, to see if the company would follow suit with the two others), to confirm whether or not Ontario is also concerned, but received no reply. I’ll follow up when I get more details about the proposed changes from the concerned parties.

One person who did reply is Seaton McLean, co-owner of Closson Chase Vineyards in Prince Edward County. Mr McLean, who has been speaking out in public – and working behind the scene – against the present Cellared in Canada situation, welcomed the new position by Peller and Vincor as “good news”, while pointing out in his e-mail message that the labels weren’t the only question at hand:

“However, there are many other fundamental elements of the Ontario Wine Industry that are dysfunctional and the clear labelling of CIC wines is just the tip of the iceberg.  So, we’ll see what happens next week and fingers crossed that it will be significant.  If there is no decrease in the 70% Chilean content a lot of Ontario growers will have a tough time surviving.  I hope that the CIC guys ultimately see how they could make themselves appear to be good citizens if they went ahead and committed to buying the aprox. 8,000 tonnes of grapes that are unsold and will make a wonderful photo op hanging there, dying on the vines, while 50,000 tonnes arrives from Chile.”

Indeed, it’s hard to see how Cellared in Canada wines wouldn’t be having a negative effect on the wine growers of Ontario, who are facing considerable drops in prices and uncertainty about the intentions o buyers, as a Globe and Mail pointed out on Friday. Increasing the amount of Canadian wine in the blended wines would seems like it could be a favorable option (content of Ontario grapes can be as low as 10%, contrary to what the Globe piece says). Especially since Vincor and Peller, while looking to improve the labels, seem to want to hang on to the word “Canada” in what is essentially a foreign product. According to the Vancouver Sun piece:

[Vincor president Eric] Morham produced mock-up labels that Vincor is considering for its Sawmill Creek brand that state in large print on the front of the bottle the origin of the wine. One option states “International Canadian Blend”. The other, “Cellared in Canada.”

Shouldn’t using the word Canada should mean having a majority of Canadian content? In any case, I find it hard to see why the bottlers would want to hang on to CiC, which has been garnering so much negative attention. Time to start fresh, and give straight answers, guys.

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Ontario, please clean up the Cellared in Canada mess

Things aren’t getting any better for Canadian wines on LCBO shelves. When I recently returned to Ontario, I was depressed to see that it’s still a struggle to distinguish between real Canadian wines (VQA wines) and Cellared in Canada wines that are made essentially (even totally, in British Columbia) from foreign grapes.

The bottles are mixed on the shelves, with a bottle of foreign plonk sitting beside another made from Ontario grapes. And you still can’t tell that the Cellared in Canada wines are foreign grapes from unidentified sources unless you look carefully at the small print on the back label. Why put that in small print if they’re proud to make them?

It’s a shame. And a crock.

Fortunately, there is a bit of movement on the issue, as forces are mobilizing to correct the situation and apply political pressure on the LCBO and the Ontario government.

In June, an article in the Financial Post talked about ongoing efforts by Seaton McLean, co-owner of Closson Chase vineyards in Prince Edward County, and others in the industry to stop the “clever con” that is undermining Ontario (and BC) wine growers and winemakers. In the article, McLean states that Ontario regulations allow Cellared in Canada wines to have 70% foreign content and 20% water (!), leaving room for as little as 10% Ontario grapes. Wonder why they’re cheap? 20% water will help cut down the price, for sure.

Most recently, Environmental Defence jumped on board the movement to correct this confusing mess. They’ve started an online petition to “Put the “O” back in LCBO”. Favoring local wines (made with local grapes) is coherent with a pro-environment outlook. Media events are scheduled to take place in Toronto and St Catharines on July 31, as I learned through a Facebook group called “Boycott Cellared in Canada wines” that has over 800 members and growing.

Mind you, the Environmental Defence petition isn’t perfect. Their call to increase the minimum Ontario content of CiC wines to 50% is a good start, and so is the call for the LCBO to “Increase access to more retail stores across Ontario to sell more 100% grown Ontario wine”. You’d think 50% Canadian (and no water, please) would be the minimum amount you should need before you can even think of putting the word “Canada” on the label.

However, another petition argument to “Increase the Ontario wine market share to 51% at LCBO stores throughout Ontario” is unrealistic: even if all Ontario producers had easy access to Ontario stores, they don’t make the volumes of wine to cover that figure. Besides, that would become a preferential treatment that wouldn’t last a minute under WTO and NAFTA rules.

Still, it’s good to know that people are organizing, and one can only hope that pressure will keep building for change. Maybe more action at harvest showcasing the effects of Cellared in Canada on grape prices and on actual Canadian winegrowers and winemakers?

Separate shelves for VQA and CiC wines would be an easy, short-term step that the LCBO could take that would make things a bit clearer for the consumers. My sources tell me that it’s already the case in British Columbia (even though both categories remain under a general “BC wine” banner).

What makes me curious, however, is that I haven’t found any significant statements on the issue by major wine writers like Tony Aspler, John Szabo, David Lawrason or Beppi Crosariol. Why won’t they weigh in, at least for consumer advocacy, by clearly stating the difference between the categories for their readers? Jancis Robinson sure has, repeatedly coming out in favor of Canadian wines being made from Canadian grapes. Which is what logic dictates.