Center for Profitable Agriculture logo  
background design UT Institute of Ag | Farm Bureau | UT Extension | Middle TN R & E Ctr. | TN Dept. of Ag
 
CPA Home
About CPA
Value-Added Projects
Educational Materials
External Funding
Project Application
News Releases
Helpful Links
Agri-Tourism
Alternative Ag.
Coop. Development
Dev. Rural Businesses
FAQs
 

TDA Specialty Crop Program 2002

“Evaluating Production and Market Opportunities for Tennessee’s Grape and Wine Industry”
Funding Level = $10,000

Forward Statement
Tennessee’s winery industry has experienced steady growth since the state’s grape and wine law was enacted in the late 1970s and early 1980s - growth in the form of additional farm wineries and increased sales. The market potential for Tennessee-grown grapes is highly correlated with the demand for grapes by Tennessee wineries.

Although the law mandates the use of Tennessee products in the commercial wine-making process, waivers for the purchase of wine fruits and wine juices from out of state are permitted when in-state supplies are not available. In such cases, a waiver must be approved by the state’s Alcohol Beverage Commission (ABC) to allow acquisition from out-of-state sources. Although no precise study has analyzed the amount of out-of-state product obtained for commercial wine production, it is hypothesized to be a significant amount.

An accurate assessment of the volume, species and variety of raw product inputs normally acquired from out-of-state sources by Tennessee wineries may identify a production opportunity for existing and potential Tennessee growers. Such an assessment would identify and summarize patterns of requested waivers, quantify the amount of out-of-state input purchases and establish a rationale for possible production opportunities in Tennessee. The project results presented here utilize information from previously approved waivers for purchase of wine fruits from out-of-state.

This report analyzes the requests from Tennessee wineries to purchase wine-fruit products from out-of-state sources in 2001 and 2002. An assessment of the amount of fruit purchased from out-of-state is given and an assessment of production possibilities for the purchased out-of-state is made. Lacking multiple years of data and recognizing that variations exist in the information contained in the waivers for the years available, this report does not indicate actual or predicted market demands. Rather it provides a summary of the information provided in two years of waivers and indicates some possible production and value implications.

As with all activities in the Center for Profitable Agriculture, the goal of this Market Development for Specialty Crops project is to assist in the evaluation, analysis and development of opportunities for Tennessee’s value-added agriculture industry.

Appreciation is extended to David Lockwood for his contributions and cooperation in the analysis of this project and to Charlie Hall and David Lockwood for their assistance in the peer review. Appreciation is also expressed to Mary Jo Holden and Gary Dagnan for their assistance and cooperation in the editing and layout and to Joe Gaines, Stanley Trout and Paul Nordstrom with the Tennessee Department of Agriculture for their assistance with the development and implementation of this specialty crop project.

Identification of Need or Opportunity
Statement of Goals
Executive Summary

 


CPA Home About CPA | Projects | Educ. Mat'lFundingApplicationNews | Link
 
Contact Information:
Center for Profitable Agriculture
P.O. Box 1819
Spring Hill, TN 37174
(931) 486-2777 (phone)
(931) 486-0141 (fax)
E-mail: cpa@utk.edu
   
  Indicia | Disclaimer   background design