Winepress - July 2016

Issue No. 260 / July 2016

Vintage 2016

Trunk Disease

Environment Plan

Pruning Costs

Photo: Jim Tannock

@marlboroughwine

The Official Magazine of

www.wine-marlborough.co.nz

We’re looking for passionate and motivated members to join us.

ONE GRAPE GROWER • ONE WINERY MEMBER You can have input into Wine Marlborough’s four focus areas of: GOVERNANCE • MARKETING • COMMUNICATION • ADVOCACY

THE 2016

MARLBOROUGH WINEGROWERS ELECTION IS COMING UP THIS AUGUST HERE’S WHAT SOME OF OUR BOARD MEMBERS HAVE SAID:

STUART DUDLEY “I see it as crucial that we work together to continually improve our land, our wines and our brand. By working with Marlborough Winegrowers I can assist in this improvement and recognise the full potential that lies within the region.”

RHYAN WARDMAN “The broad spectrum of issues covered by the Winegrowers Board provides valuable insight to the challenges and opportunities we face as an industry.

I thoroughly enjoy being a part of that.”

JACK GLOVER “By being on the board I feel I can assist Marlborough to be more successful as a region, a brand and a place to live.”

For more information, please email: Marcus Pickens marcus@wine-marlborough.co.nz

In this issue...

Regulars

Features

3 4

9 Vintage 2016

Editorial

From the Board Tom Trolove

6 Report Tasman Crop Met 22

24

26

Gen Y-ine Brenton O’Riley

p4

10 Trunk Disease

The Block Yealands Estate Biosecurity Watch Pierce’s Disease

28

Export News

30

Industry News

Editor: Sophie Preece T: 027 308 4455 E: sophie@sophiepreece.co.nz

Trunk diseases pose a major risk to Marlborough grapevines, but a New Zealand Winegrowers research programme will offer growers new tools and strategy to keep them at bay.

12 Water Woes

The proposed Marlborough Environment Plan introduces Reasonable Use tests, low level triggers on aquifers, afforestation controls, a mechanism for Enhanced Transfer and telemetered metering, to manage Marlborough’s water better.

p23

16 Environment Plan

Printed by: Blenheim Print Ltd. T: 03 578 1322 Winepress is printed with vegetable oil based inks on elemental chlorine free paper which is sourced 100% from well managed forests and manufactured under ISO 14001 Environmental Management Systems.

The strong 2016 vintage is a shot in the arm for New Zealand’s wine industry. In Marlborough higher profits are leading to some paying off more debt, and others developing more land.

Resource management consultant Steve Wilkes provides a précis of the Marlborough Environment Plan and how it may impact on the wine industry.

20 Costly Cuts

An increase in the minimum wage, new health and safety obligations and vineyard growth have all led to a lift in the cost of pruning this year.

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www.fruitfed.co.nz 2 | WINEPRESS July 2016

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For Advertising contact: Ph: 03 577 9299 Web: www.wine-marlborough.co.nz harriet@wine-marlborough.co.nz Produced by: Wine Marlborough Free to all levy paying members Associate Members: $77 +GST

Wine Marlborough Board Clive Jones: cjones@nautilusestate.com Ben Ensor: ben.lisa@clear.net.nz Callum Linklater: callumandsarah@xtra.co.nz Jack Glover: jack.glover@accolade-wines.co.nz Jason Yank: jason@astrolabewines.co.nz Nick Entwistle: nick@wairauriverwines.co.nz Rhyan Wardman: rhyan@giesen.co.nz Samantha Wickham: samantha@ormondnurseries.co.nz Simon Bishell: simon@caythorpe.nz Stuart Dudley: stuartd@villamaria.co.nz Tom Trolove: tom.trolove@framingham.co.nz

From the Editor Six young viticulturists calibrated, calculated and cut their way through last month’s Bayer Marlborough Young Viticulturist of the Year 2016 competition, each striving to be the best in their field.

Organising committee member Mike Poff says the regional event stepped up a rung this year, with tougher tests than ever before. That extended the competitors further, “separating the cream a little bit”, and demanded a greater depth of knowledge.

The contestants were asked to calibrate a Croplands sprayer, selecting nozzles and adjusting for canopy split, and to prune a vine under scrutiny. They had to answer a range of questions about vine health and vigour, and to audit an irrigation system.

They were interviewed, tested on theory and allocated an industry-related speech topic on which to talk for three minutes.

It’s a challenging set of tasks but every competitor did an exceptionally good job, says Mike. From Andrew Jeffries, who did “incredibly well” having never competed before, to seasoned campaigner Brenton O’Riley, who took out the theory and practical modules, and won the regional title.

Libby Rainey won the interview module and the speech, with a compelling talk on banning Glyphosate, and came in second place overall, followed by third place getter Jaimee Whitehead, who was strong in all modules.

Blair Elliot won top spot in the Hortisports, where competitors raced to get through a series of challenges, including constructing a pair of secateurs and correctly making up a BioStart application as crowds cheered them on.

Brenton, who will compete in the national competition in Marlborough this August, says the event helps develop and extend competitors, and creates a network of like-minded viticulturists, all passionate about the industry and its future.

That future relies on natural resources as well as people, and the proposed Marlborough Environment Plan is an attempt to balance the needs of users and environment. That means changes in the way water is allocated - using finer tools to measure a precious resource - while putting in place measures to protect Marlborough soils.

Marlborough’s wine industry needs to submit on the policies they agree with, as well as those they don’t, says Resource Management Consultant Steve Wilkes (pg16), who has delivered a preliminary overview of the proposed plan for industry.

Grower Guy Lissaman (pg 14), who was on a working group that recommended allocation options to the Marlborough District Council, says it is a move from an outdated to a new model, “which is going to meet the needs of not only the here and now, but future generations”.

The proposed Marlborough Environment Plan is an attempt to balance the needs of users and environment.

SOPHIE PREECE sophie@sophiepreece.co.nz WINEPRESS July 2016 | 3

From the Board TOM TROLOVE

Why does Marlborough need a GI? The harvest driver looked at me with a puzzled expression when I instructed him to “drop the rest on the ground”. I could see him thinking, “why is this guy forgoing additional income when surely he could find someone else in the valley to buy his excess 2016 Sauvignon Blanc fruit?” The answer, as I am sure you can appreciate, was simple: I was taking a decision that I hoped would protect Marlborough’s wine reputation.

I believed, rightly or wrongly, that if I and others in the region did the same thing, then we could collectively avoid the mistakes of 2008.

So what’s dropping a few tonnes of Sauvignon Blanc on the ground got to do with the Geographical Indications (GI) Act? Well it’s along the same lines. The registration of the Marlborough GI will provide us with one more tool to collectively defend the Marlborough winegrowing region.

Think of registering the Marlborough GI as a similar process to registering a trade mark. We do this on a regular basis with our wine brands and routinely challenge those who look to be treading on our patch. But after 45 years, we haven’t done this for our region. Travelling into our key markets and seeing the Marlborough name on every wine list, it’s hard to believe.

But to be fair, in the past there hasn’t really been a legal option to trade mark Marlborough and it’s exciting to think that the new Act will allow us to do just that.

In early May I was privileged enough to attend Parliament with Wine Marlborough General Manager Marcus Pickens to make a brief submission on your behalf at the Geographical 4 | WINEPRESS July 2016

Indications Act Select Committee meeting, and I was delighted by the support we received for this piece of legislation. In fact, after broad support from the committee, the Chair praised us as an industry for our “cohesive approach”. It’s worth noting that this new Act will give us the ability to not only register Marlborough, but other sub-regions within our wonderful region. Saying that, we are taking a one-step-at-a-time approach to this, preferring to get the Marlborough region registered first, learn from the process and then look to address what could be slightly contentious subregions.

Following the trip to Wellington, and as if to remind us just how important the GI will be, an interesting article appeared in the New Zealand Herald Sideswipe section late last month. The image spotted in the UK was titled “loose geographic facts”. An image showed the UK bottler of “Bay of Plenty” Sauvignon Blanc had taken some fairly interesting artistic licence, locating its source “somewhere close to Marlborough”.

Needless to say, the article was raised promptly with Jeffrey Clarke from the New Zealand Winegrowers (NZW) legal team. Jeffrey wrote that NZW was aware of the geographically confused “Bay of Plenty” wine label, however their view was that although the label appears to be in breach of EU law (which prohibits the use of two GIs on a single label), without our GI Act, it may be difficult to enforce.

Jeffrey went on to say that once the GI Act is in force, and Marlborough is registered in both New Zealand

and cross-registered in the EU, this would be a perfect test-case for GI Act enforcement. Jeffrey said that hopefully it would be little more than a letter to the UK manufacturer pointing out that “Marlborough” was an EU-registered GI, so the use of the other geographical names was not permitted.

The good news is that a few emails from Jeffrey later, the UK bottler confirmed that they do not intend to bottle any further wine under this label.

Nonetheless, it’s a timely reminder on why GIs are so important.

The global wine market is incredibly competitive - there are few other industries that can rival it. As a region we will always have someone somewhere who would like to cash in on Marlborough’s global reputation.

Whether it be dropping those few extra tonnes of excess fruit on the ground or enacting new legislation that allows us to trade mark our famous region, we need to continue to work cohesively to protect and grow the value that is Marlborough.

The area marked on the map was ratified by the membership in 2008. (page 5)

µ

Picton

Blenheim

Marlborough

Kaikoura

New Zealand

Topographic map data sourced from Land Information New Zealand data.

Crown copyright reserved.

Marlborough

1:945,000

Geographic Indication WINEPRESS July 2016 | 5

Table 1: Blenheim Weather Data – June 2016

June June 2016 June Period June

2016 compared LTA of LTA 2015

to LTA GDD’s for month -Max/Min¹ 30.1 152% 19.8 (1996-1015) 19.9 GDD’s for month – Mean² 51.0 150% 34.1 (1996-2015) 46.0 Growing Degree Days Total July 14 to June 15-Max/Min¹ 1531.9 110% 1392.6 (1996-2015) 1457.7 July 14 to June 15 – Mean² 1600.6 110% 1452.0 (1996-2015) 1542.9 Mean Maximum (°C) 15.4 +1.6°C 13.8 (1986-2015) 14.5 Mean Minimum (°C) 4.8 +1.3°C 3.5 (1986-2015) 3.6 Mean Temp (°C) 10.1 +1.4°C 8.7 (1986-2015) 9.0 Ground Frosts (<= -1.0°C) 10 2 less 12.1 (1986-2015) 13 Air Frosts (<0.0°C) 1 4.4 less 5.4 (1986-2015) 5 Sunshine hours 153.4 102% 151.1 (1930-2015) 174.0 Sunshine hours – lowest 91.8 1981 Sunshine hours – highest 205.2 1959

Sunshine hours total – 2015 1323.1 108% 1216.1 (1930-2015) 1357.1 Rainfall (mm) 76.8 128% 60.4 (1930-2015) 87.0 Rainfall (mm) – lowest 8.0 1974

Rainfall (mm) – highest 154.9 1943

Rainfall total (mm) – 2015 322.7 104% 311.4 (1930-2015) 216 Evapotranspiration – mm 37.9 115% 33.0 (1996-2015) 40.3 Avg. Daily Windrun (km) 204.0 90% 227.7 (1996-2015) 268.1 Mean soil temp – 10cm 7.3 +1.5°C 5.8 (1986-2015) 6.2 Mean soil temp – 30cm 9.4 +1.3°C 8.1 (1986-2015) 8.6 ¹GDD’s Max/Min are calculated from absolute daily maximum and minimum temperatures ²GDD’s Mean are calculated from average hourly temperatures Table 2: June 2016 weekly temperatures and frosts for Blenheim

Total Total

Mean Mean Ground Air Mean Max Min Frosts Frosts

1-7 June 7.6 14.2 0.9 6 1

8-14 June 10.9 16.8 5.1 3 0

15-21 June 10.2 16.6 3.8 1 0

22-28 June 11.6 14.8 8.3 0 0

29-30 June (2 days) 10.6 12.8 8.5 0 0

1-30 June 10.1 15.4 4.8 10 1

Long-term average 8.7 13.8 3.5 12.1 5.4

6 | WINEPRESS July 2016

Temperature and frosts Blenheim’s mean temperature in June was 10.1°C, 1.4°C above the long-term average (LTA). The daily maximum temperatures were 1.6°C above average and the overnight minimums 1.3°C above average. However, the first week of June was cold, with the mean temperature 1.1°C below average, and six ground frosts were recorded (Table 2). The mean minimum temperature during the first week of 0.9°C, was 2.6°C below average. These cold temperatures during the first week of June highlight how warm the rest of the month was in order to drag the mean temperature up well above average.

It is interesting to contrast the maximum and minimum temperatures during the second and fourth weeks of June. The daily range in temperature during the second week was 11.7°C (1.4°C above average), whereas the daily range during the fourth week was 6.5°C (3.8°C below average). The fourth week was overcast and wet, hence the reason for the much lower daily range in temperature.

June warming Last month in Met Report I have highlighted the warming trend for May temperatures in Blenheim.

Given that June 2016 is now the fifth equal warmest June on record for Blenheim for the 85 years 1932-2016, I thought it would be worth revisiting the temperature trend for June that I have presented in previous years. It is interesting to note that of the 10 warmest June temperatures on record for Blenheim that six of the top 10 years have occurred since 2001 (Figure 1).

Figure 1: June temperatures in Blenheim for the 85 years 1932-2016

Figure 2: Blenheim rainfall for the two years July 2014 to June 2015 and July 2015 to June 2016 compared to the long-term average

The yellow line in Figure 1 is the 10 year moving mean. This line rises and falls with warm or cold decades. The mean temperature for the 10 years 1932 to 1941 was 7.1°C. The mean temperature for the 10 years 2007 to 2016 was 8.75°C. The red trend line indicates a rise in June temperature from 6.8°C to 9.2°C (+2.4°C), over the 85 years 1932 to 2016.

Rainfall June 2016 rainfall of 76.8 mm was 128% of the long-term average. In the first six months of 2016 January, May and June have all recorded above average rainfall (yellow bars Figure 2).

The above average rainfall in January 2016 saved Marlborough from a second consecutive year of serious summer drought. Above average rainfall in

May and June 2016 was just what the province needed in order to help to restore the soil moisture in the early party of winter.

Rainfall over the last 12 months July 2015 to June 2016 has shown a marked contrast between the first six months (Jul to Dec 2015) when only 165.6 mm (50% of LTA) was recorded, and the second six months (Jan to Jun 2016) WINEPRESS July 2016 | 7

Figure 3: Blenheim sunshine for the 12 months July 2015 to June 2016 compared to the long-term average

record for Blenheim (1930-2016). What is remarkable is that the previous 12 months, July 2014 to June 2015 is the previous highest total on record.

Rob Agnew Plant & Food Research – Marlborough Research Centre

when 322.7 mm (104% of LTA) was recorded. Rainfall for the 12 months July 2015 to June 2016 was 488.3 mm or 76% of the LTA. Rainfall for the previous 12 months July 2014 to June 2015, was 347.4 mm, the lowest on record (1930-2015). The July 2015 to June 2016 total of 488.3 mm is the 12th lowest total on record.

Sunshine June 2016 recorded 153.4 hours sunshine, or 102% of the long-term average of 151.1 hours (20.6 hours less than June 2015). Total sunshine for the 12 months July 2015 to June 2016 was 2781.3 hours (Figure 3). This is 320.8 hours above the LTA (113%). This is the sunniest July to June 12 months on

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Healthy Harvest Vintage 2016’s big yield of good fruit is just what the doctor ordered.

SOPHIE PREECE The strong 2016 vintage is a shot in the arm for New Zealand’s wine industry, as the 2015 supply shortage continues to hinder export growth.

New Zealand Winegrowers (NZW) estimates a vintage of 436,000 tonnes of grapes this year, up 110,000 tonnes on last year’s harvest, and slightly below the record 2014 vintage.

NZW Chief Executive Philip Gregan says the large harvest is a “welcome boost” for markets, growers and wineries, following low crops of 2015.

There has been a plateauing of export numbers over the past five months, due to the shortfall of supply in the face of growing global demand, he told the audience at Grape Days in Blenheim last month.

“A larger harvest was badly needed by a number of wineries if they were going to continue to support and grow export markets.”

Three quarters of the 2016 grapes came from Marlborough, which is estimated to be up 90,000 tonnes, or 39-40%, on last year. Sauvignon Blanc from Marlborough is up about 80,000 tonnes “in a complete reverse of what happened last year”, says Philip.

He emphasises that the best comparison for this vintage is with 2014, rather than last year. “2014 and 2016 are the highest yielding vintages we have had in the past 20 years. The only one that looks anything like it was back in 1998.”

Time will tell whether that indicates a “fundamental shift” going forward. “But we do have a very mature vineyard out there at the moment and the varietal mix has changed, so maybe we are looking at some higher vintages.”

With demand continuing to grow, that’s what the industry will need. New Zealand wine exports are now valued

at $1.56 billion, having climbed 13% in the past year. An anticipated 10% increase this year will lift exports to 230 million litres and take export value close to $1.7b by June 2017, says Philip.

“The 2016 vintage will definitely keep us on track to achieve our goal of $2b of wine exports by 2020.”

ANZ’s Commercial and Agri Regional

limited amount of land still available.

“There’s quite a bit of competition for the suitable land that is available for planting. That tends to drive prices up.”

Those prices vary greatly across the region, but for prime land in Rapaura and the Lower Wairau/Spring Creek area, prices are climbing towards $250,000 per planted hectare.

While that is nearing the highs of 2007 and 2008, he believes there will need to be a lift in grape prices to close the gap.

There is a more measured approach this time around, with banks more cautious and less speculators in the market, Dave says.

Joe Blakiston of PGG Wrightson Real Estate says clients have told him of an increasing number of potential buyers “walking in off the road” to offer landowners a deal. “On a rising market the temptation is to look at these offers, however experience has told us that usually a significantly higher figure can be gained by exposing a property to multiple buyers.”

“The 2016 vintage will definitely keep us on track to achieve our goal of $2b of wine exports by 2020.”

Manager Rob Simcic says the 2016 harvest is the most profitable many growers have seen in the past eight years, and a number of them have responded by making loan repayments to reduce vineyard debt. “Other growers have opted to increase their investment via vineyard development in the form of additional or restructured plantings, purchasing additional land, or a combination of both.”

Dave Stark, a property valuer with Alexander Hayward Ltd, says there is a lot of interest from wine companies and growers to expand their existing holdings, with particular interest in neighbouring blocks.

He says the push for land is motivated by the profitable vintage and an awareness of the

WINEPRESS July 2016 | 9

Trunk Disease Fighting the Silent Assassin.

SOPHIE PREECE Trunk diseases pose a major risk to Marlborough grapevines, but a New Zealand Winegrowers research programme will offer growers new tools and strategy to keep them at bay.

Stage one of the programme ran from July 2013 to June 2016, and the research was delivered by Plant & Food Research (PFR) and South Australian Research and Development Institute (SARDI). Marlborough PFR scientist Dion Mundy says the research findings will eventually enable growers to spray their vines with one of five agrichemicals, instead of painting individual cuts. “This provides growers with a step change in how they can manage their vines for trunk disease.”

The research team has already provided information to several agrichemical companies on the efficacy of their products, so the companies can apply to get a change in label to allow application to grapevines. Once the label changes are authorised by the Agricultural Compounds & Veterinary Medicines (ACVM) group, the sprays will be available for growers to use for trunk disease prevention.

A report to New Zealand Winegrowers (NZW) on the project, which received co-funding from the Ministry of Primary Industry’s Sustainable Farming Fund, includes an economic analysis of using sprays as opposed to painting wounds. Stage two will run from 2017 to 2019, and is part of the NZW Vineyard Ecosystems Partnership programme. SARDI researcher Mark Sosnowski will give a presentation on the research results at the Romeo Bragato Conference held in Marlborough from August 24 to 26.

The pathogens causing Eutypa (E. lata) and Black Dead Arm

10 | WINEPRESS July 2016

David Bullivant at the Grower Workshop

(Botryosphaeriaceae) infect vines through pruning wounds, having been carried by rain splash and wind. The diseases strangle the vine and often produce symptoms similar to water stress, including necrotic and distorted leaves, reduced bunch size and uneven ripening.

To indicate the impact of these “silent assassins”, Dion refers to a block that has been monitored for a decade, where infection has moved up from 2% to 18% on untreated vines. “It has the potential to kill vines cumulatively until a block is uneconomic and has to be replanted.”

This Season Despite the potential of the new spray products, growers will need to stick with existing guidance in vineyards this winter, using paint included in the NZW Spray Schedule.

Babich Marlborough Area Viticultural Manager David Bullivant ran a station on protecting vines from trunk diseases at a Wine Marlborough and Viticulture Taskforce Grower Workshop in May. He says best practice is to avoid pruning in the rain and to apply a pruning paint before it rains, and no later than 14 to 21 days after making the cut. “A safe approach is to paint the wounds before the end of each day,” he says. It is preferable to paint as many pruning cuts as possible, but a “pragmatic approach” could be to paint cuts that are larger than a 50 cent piece.

David suggests making large cuts on an angle to allow water to run-off, and says large saw cuts should be made later in the winter when the vines are able to heal more quickly and the sap flow is slightly positive.

Further Research Visual symptoms of trunk disease, including low canopy vigour and cankers, do not predict vine death, according to a new research paper.

The paper, co-authored by Marlborough PFR scientists Dion Mundy and Andrew McLachlan, will be published in the New Zealand Plant Protection Journal, and suggests that to predict vineyard longevity, improved visual assessments or an alternative method of monitoring vine health status is required. The authors note that predicting vine death from trunk diseases as early as possible “could improve productivity by providing the information growers need to determine whether to treat infected vines or to remove them from the vineyard”.

Marlborough’s vineyard area has increased from an estimated 3,500ha in 1999 to 23,000ha in 2014, and continues to grow. Since foliar symptoms and vine deaths due to trunk disease are uncommon in vines younger than 12 years, the true repercussions of the disease have yet to be felt, the report states.

However, it references overseas examples, including research that shows that in Australia, E. lata was calculated to reduce production by 860kg/ha when foliar symptoms were detected in 30% of Shiraz vines, resulting in direct losses of over AU$1,000/ha.

WINEPRESS July 2016 | 11

Water Works The proposed Marlborough Environment Plan seeks to resolve over-allocation of fresh water by 2025. SOPHIE PREECE explores some of the options.

The Crossings

Marlborough needs to be smarter about allocating and using its water, say those behind a new regional plan.

The Marlborough District Council (MDC) proposed Marlborough Environment Plan (MEP) introduces Reasonable Use tests, low level triggers on aquifers, afforestation controls, a mechanism for Enhanced Transfer and telemetered metering.

MDC Manager Environmental Policy Pere Hawes says these are finer tools for an increasingly scarce resource. “As there’s increased competition for water, out of necessity the management, by users and council, has to become more intensive. That’s inevitable.”

The MEP has been influenced by the national direction through the National Policy Statement on Freshwater Management (NPSFM), which requires councils to put in place Freshwater Management Units (FMUs) based on hydrological characteristics. It also requires councils to set limits for allocation and minimum flows, and/or levels, for all rivers and aquifers.

The MDC has had allocation frameworks in place since the 1990s, which has enabled the rapid expansion of viticulture, because of certainty around availability and circumstances for access, says Pere. However, with the exception of the Wairau River, most of the region’s fresh water resources are now either over-allocated, fully allocated or fast approaching full allocation.

He says the situation of over-allocation likely arose because of the difference between paper allocation and actual use. Areas like the Southern Valleys did not show evidence of overuse until the droughts of 1997/1998 and 2000/2001, when people exercised their full paper

12 | WINEPRESS July 2016

allocation, “and all of a sudden the aquifers dramatically declined”.

Pere says the council saw water as one of the most significant challenges for the review, particularly in light of continued expansion of the wine industry. In 2012, council appointed the Water Allocation Working Group, with representatives from agriculture and horticulture industries, ground and surface water irrigators, and different locations throughout Marlborough.

Pere says the group did not view the status quo as an option, “because we can’t shut up shop”. Increasing allocations was not viable either, because that would impact on instream values and the reliability for current users. Instead, the group looked at more efficient systems to enable the redistribution of water to other potential users, along with continued promotion of storage dams.

Grape grower Guy Lissaman, who was on the working group, says Marlborough is fortunate its expanding grape industry uses relatively low levels of water. Nonetheless, virtually all Marlborough’s water bodies, both aquifers and rivers, are either at full allocation, or over-allocated, “so it is a question of how to bring those allocations back within limits”.

Guy says everyone in the community needs to play their part to utilise water more efficiently and equitably.

“Ultimately, we have to realise that we are going from an outdated model to a new model, which is going to meet the needs of not only the here and now, but of future generations.”

Reasonable Use The MEP would see water allocated to irrigators on the basis of a nine-in-

10-year water demand, as a “balance between the value of irrigation to individual growers and its value to Marlborough collectively”. The policy is directed at fully meeting irrigation requirements on a property nine years out of 10, and meeting a large part of requirements in the driest years.

Pere says the 90% water security model was recommended by the working group, in recognition of the fact that 100% security, as sought by some in the consultation process, would result in less people having access to water.

The MDC worked with John Bright of Aqualinc Research to develop an IrriCalc model, which takes into account an individual property’s soil, climate and crop information to determine a water allocation based on Reasonable Use. IrriCalc uses 40 years of data to assess plant water use and soil moisture content on a day-to-day basis, and from there determines each season’s water needs, John says. “It is extremely powerful because it helps you to work out what irrigation strategy serves you best in terms of minimising the amount of water that is needed.” While the model uses soil information from Landcare Research and NIWA’s virtual climate network, growers can provide soil and climate information to provide more exact results.

John says prior to the MEP, users were provided with the same allocation regardless of site specifics, and the Reasonable Use method ensures a more equitable model based on consistent methodology.

Resource Management consultant Steve Wilkes, who was on the Water Allocation Working Group, Continued page 14

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says Reasonable Use is a far more sophisticated tool than the previous water allocation methods, and will be improved by the input of more detailed owner data, recognising the varying soil physics across the region.

He stresses the importance of understanding the 90% water security model is based on the specific crop water demand, not water resource availability, which is dependent upon aquifer levels and/or river flow. “It does not mean that water is being allocated nine years out of 10…rather the allocation as per a water permit will satisfy the crop water demand for 90% of the time”.

Enhanced Water Transfer One of the tools proposed in the MEP is Enhanced Transfer (ET), whereby a user with allocated but unutilised water can transfer the entitlement to another user for the duration of at least a day and up to the maximum term of the permit. The process is already available via a resource consent process, says Pere.

“What we look to do is reduce the regulatory barriers to the movement of water between users.”

In order to transfer water, the user has to have gone through the Reasonable Use test, and the water cannot be from an over-allocated source. The person receiving the water right must have irrigable land in the same Freshwater Management Units as the other party and hold a water permit to use water.

The proposed plan provides a framework for ET but it needs to be

14 | WINEPRESS July 2016

implemented by a plan change to enable a permitted activity rule.

That is partly because council is still finalising the software that will enable the transfers, Villa Maria with a unique website showing a user’s allocation and real time water use, so that those seeking water know who to approach. The same site will have information on flow levels and likely cut-offs.

The postponed start is also due to the fact that under the Resource Management Act water policies take immediate effect, and council wanted to consider submissions to the proposal before giving it the go-ahead.

Pere says a concern expressed during consultation last year was the ability to buy and sell water permits so this issue may generate submissions. A study completed for the Marlborough District Council in 2011 found the economic value of water to Marlborough’s economy to be an estimated $1.1 billion, of which 77% was contributed through primary production. In the Wairau catchment that could be valued for agriculture at $608p/m3 per day, the report found.

Pere says users can choose to enter a financial arrangement under the existing rules and the ET, “but there are some catchments out there where altruism is still alive and well”.

Forestry Landowners wanting to plant forests in some areas of south Marlborough need to apply for resource consent, under the proposed MEP. Pere says afforestation of land currently in pasture has “the potential to reduce water yield in the relevant catchment, with consequential effects on the surface water hydrology”.

Water permits are granted based on

historical surface water hydrology, which could be reduced by forestry, the report says. “This could mean that water users become subject to restrictions more frequently than they have been to date.”

Marlborough District Council Hydrologist Val Wadsworth says converting land from a low waterrequiring plant, such as pasture, to a high water-requiring plant, such as pine trees, reduces the total catchment output and the low flows of the catchment considerably, “in some cases by 50%”. He says the impact depends on where the forestry is within the catchment. The proposed policy does not apply to existing commercial forestry or the replanting of that forest following harvest.

Steve Wilkes says industry should be actively involved in the process and file submissions in support of these provisions.

Water Takes Water permits remain tiered in the new plan, with A, B and C rights allocated on a first-come-first-served basis, under IrriCalc modelling. Those takes will be restricted for surface water when the source reaches a low level trigger, as per the current regulations.

In the MEP, water permits to take groundwater will also be impacted by low level triggers on all but one aquifer, with restrictions applying when the trigger is reached. The limits are a requirement of the NPSFM, but a leniency in the regulations means the Wairau Aquifer’s trigger level will be set at a later date.

The council is currently investigating the relationship between the Wairau River and the Wairau Aquifer to determine the method and rate of aquifer recharge. Once there is more certainty, a minimum aquifer level will be proposed for the Wairau Aquifer via a plan change.

Like the other tools, the new rules around groundwater provide better ways to manage water, says Pere. “It is recognised that water is one of our most significant natural resources and we rely on it absolutely.”

Save Our Soils SOPHIE PREECE New environmental measures in Marlborough will impact on wine companies wanting to discharge wastewater to three protected soil types.

The Marlborough District Council’s proposed Marlborough Environment Plan (MEP) lists Sensitive Soil Areas, where discharging winery liquid waste will no longer be a permitted activity.

In addition, the stockpiling of grape marc, fertiliser use and the use of Triazine herbicides cannot be undertaken as a permitted activity in the free-draining soils found in Rarangi, north of the Wairau Diversion and east of Neals Rd. Marlborough District Council (MDC) Environmental Policy Manager Pere Hawes says work completed for council

by AgResearch revealed the risks of liquid and solid waste discharge to various soil types in Marlborough, because they could allow contaminants to either enter the water or cause soil erosion.

“Those soils have been mapped and we are suggesting that those discharges shouldn’t occur as a permitted activity within those soil types.” He says the rule does not prohibit discharge, but allows council to assess the risk in individual cases through the resource

consent process.

The first at-risk soil type, such as that across much of the lower Wairau Plains, is heavy soil that will not allow waste to infiltrate, resulting in ponding and runoff. The second is the free-draining soil at Rarangi, where the waste can run straight through into the Rarangi shallow aquifer, and the third is the southern hills’ loessial soils, where hydraulic load can lead to gully erosion.

While the final soil type is unlikely to impact on the wine industry, the first two may.

Marlborough District Council Environmental Protection Officer Jane Robertson says six wine companies currently discharge wastewater to land in drainage channel network areas and all have resource consent to do so. Nine wineries discharge to soil sensitive areas with impeded soils, of which three have resource consents.

She says there are potentially a number of sites where grape marc and/or compost is being made or stored on soil sensitive areas which may not meet the proposed MEP standards. “The making of compost, stockpiling and storage of grape marc/compost is likely to be an area of focus for monitoring in the future.”

Pere Hawes

Resource Management Consultant Steve Wilkes, who has provided a preliminary precis of the plan for Wine Marlborough (pg 16) says in general the MEP has reduced the extent of the permitted activity standards that must be complied with in order to undertake the permitted use of agri-chemicals and fertilisers. “However, the implication of the Soil Sensitive Areas and day-to-day operations on a vineyard and winery need to be carefully considered.”

A council duty planner is generally available from 1pm to 5pm, Monday to Friday, to discuss any resource consent proposals and provide guidance on the type of consent(s) that may be required, the information which needs to be provided, and who the affected (or potentially affected) persons may be.

Appointments are recommended.

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WINEPRESS July 2016 | 15

Proposed Marlborough Environment Plan Wine Marlborough has commissioned Steve Wilkes of Wilkes Resource Management to give a snapshot of the proposed Marlborough Environment Plan, noting policies and policy changes which may be of interest to the wine industry.

Wairau Awatere Resource Management Plan (WAMP)

Marlborough Environment Plan (MEP)

Commentary

-Rule 3.4.1 – Controlled subject to standards & terms as per WAMP except the special audible characteristic/ tonal component penalty now applies to Awatere.

-Rule 3.6 – Discretionary if standard & terms not complied with.

-No material difference – the erection & use of frost fans across the region is now consistent without the Awatere anomaly as per the WAMP. -The rule does not have immediate legal effect.

-Rule 3.1.5 – Permitted subject to standards 3.3.5 including a new provision that they cannot be operated overnight within 2km of a noise sensitive activity (NSA) such as a dwelling, or closer than 250m from another device.

-Rule 3.6 – Discretionary if standards not complied with.

-Need to consider the effect of being limited to >2km from NSA and no closer than 250m apart.

-The rule does not have immediate legal effect.

-Rule 3.6 – Discretionary.

-No change in rule status. However, an appreciation of the relevant objectives and policies is required.

-The rule does not have immediate legal effect.

Erection & use of frost fans -Controlled subject to compliance with a range of standards & terms.

-Discretionary if standard & terms not complied with.

Audible bird scaring devices -Permitted subject to compliance with standards.

-Discretionary if standards not complied with.

Winery, distillery or brewery -Discretionary.

Grape marc -Permitted subject to a range of -Grape marc falls within the definition of conditions with discretionary Agricultural Solid Waste. activity rules if those conditions -There are two relevant permitted activity rules. cannot be met.

-Rule 3.1.25 – Application of compost or solid agricultural waste into or onto land; and -Rule 3.1.33 – Stockpiling solid agricultural waste.

-Both rules are subject to specific standards being 3.3.25 and 3.3.33 respectively and if these cannot be met, the discretionary activity rule 3.6.1 applies.

-The main addition to the standards is that the stockpile of grape marc cannot be located on a Soil Sensitive Area (SSA) identified as freedraining soils as a permitted activity. These soils are limited to the Rarangi area generally north of the Wairau Diversion and east of Neal Road.

-The rule has immediate effect.

Liquid waste -Permitted subject to a range of -Rule 3.1.26 – Permitted subject to standards 3.3.26. conditions with controlled and discretionary activity rules if those conditions cannot be met.

16 | WINEPRESS July 2016

-The main addition to the standards is that the discharge of agricultural liquid waste cannot occur on a SSA as a permitted activity. This is a significant area and not limited to free-draining soils as above.

-Need to submit to confirm that winery waste water falls within the scope of the agricultural liquid waste definition and rules.

-The rule has immediate effect.

Agrichemicals -Permitted subject to a range of conditions with discretionary activity rules if those conditions cannot be met.

-Rule 3.1.22 – Permitted subject to standards 3.3.22 that subject to the use of Triazine herbicides are largely the same as per the WAMP. -Generally less conditions to have to comply with than previously.

-Triazine herbicide cannot be used on a SSA identified as free-draining soils as a permitted activity.

-The rule has immediate effect.

Fertilisers -Permitted subject to a range of -Rule 3.1.21 – Permitted subject to standards 3.3.21. conditions with discretionary These are essentially as per the WAMP but for SSA activity rules if those conditions identified as free draining. cannot be met.

-Resource consent for a discretionary activity to apply fertiliser on SSA identified as freedraining soils is required.

-Need to appreciate the full extent of the SSA. -The rule has immediate effect.

Vineyard establishment -Permitted unless within flood hazard.

-Permitted unless within flood hazard then discretionary.

-No change.

-The rule has immediate effect.

-Rule 2.5 – Discretionary with demand based on reasonable use as determined by IrriCalc or similar modelling package.

-Subject to monthly and seasonal per hectare reasonable use demand based on IrriCalc.

-The seasonal per hectare allocation likely to be able to be placed into storage to supplement irrigation but cannot exceed the monthly reasonable use demand.

-All groundwater abstractions are subject to a low level trigger at which abstractions must cease.

-Southern Valleys Aquifer water permits to be reduced proportionately to address over-allocation and enhance use of the SVIS. -To use reasonable use as per IrriCalc to reduce the over-allocation of the Wairau Aquifer and Riverlands Aquifer.

-Any proposed water abstraction outside of the allocation regime is a prohibited activity.

-Significant changes proposed, however, in my view the changes are not negative, subject to the following comments: -Is IrriCalc refined enough?

-What is the implication of low aquifer trigger levels and are they appropriate. MDC must set and impose these as per the National Policy Statement Freshwater Management (NPSFM).

-Storage of aquifer water on the plains.

-The rule has immediate effect.

-Rule 2.5 – Discretionary with demand based on reasonable use as determined by IrriCalc or similar modelling package.

-Subject to monthly and seasonal per hectare reasonable use demand based on IrriCalc.

-The seasonal per hectare allocation is able to be placed into storage to supplement irrigation but cannot exceed the peak monthly reasonable use demand.

-Rule 2.4 – Controlled for Class C water to storage.

-Class A & B can also go to storage by way of rule 2.5.

-Class C is now capped (as required by the NPSFM).

-Policy direction to limit water to storage to a level equivalent to twice the property’s annual requirement.

-Enhanced transfer of water to be introduced in future.

-Wairau Class B split into a Class A and Class B. -A significant volume of Class A remains available for allocation.

-Waihopai River abstractions now linked to Wairau River low flows. This brings the Waihopai in line with all other Wairau River tributary abstractions.

-Any proposed water abstraction outside of the allocation regime is a prohibited activity.

-Is IrriCalc accurate enough?

-Is the cap that is set for Class C allocations realistic and able to meet future demand for storage.

-Wairau Class B split implications.

-The rule has immediate effect.

Irrigation water – ground -Discretionary or noncomplying based on daily abstraction.

-Demand based on flat rate of 22m3/ha/day.

Irrigation water – surface -Discretionary or noncomplying based on daily abstraction.

-Demand based on flat rate of 22m3/ha/day.

WINEPRESS July 2016 | 17

Frost–fighting water -No specific provisions.

-Rule 2.5 – Discretionary with volumes determined based on policy 5.7.9 that limits frost protection water to 44 m3/hour/ha.

-Rule 2.6.3 Prohibited activity to take water for frost protection from 1 January to 30 April.

-Prohibited rule would prevent direct take, however not the take to storage and then subsequent use for frost protection.

-S87(b)(1) of the RMA requires that prohibited activity rules be treated as a discretionary activity until the rule is operative.

-The rule has immediate effect.

-Rule 2.2.17 – Permitted to dam water up to 5000 m3 as per 2.3.16.

-Rule 2.7.4 – Permitted to construct a dam on an ephemeral watercourse only.

-The rule has immediate effect.

-Establishment of forestry within an Afforestation Flow Sensitive Site now requires a resource consent.

-Such sites have been chosen due to the reduction in catchment yield resulting from forestry.

-Wine Marlborough should consider a submission in support of this.

-The rule has immediate effect.

-Policies 14.4.12 & 13 detail the particular characteristics of the Omaka Valley.

-Implications should a winery be proposed within the Omaka Valley such that a grant of consent may be difficult.

Dams -Land use rules covering the location and size of dam.

-Permitted to store up to 20,000 m3 subject to conditions.

Forestry establishment -No provisions.

Omaka Valley -N/A

This information is a brief overview of the plan. Anyone wanting a more in-depth information should access the full plan from the Marlborough District Council or speak to a resource management consultant.

The closing date for making submissions is 5.00 pm on Thursday 1 September 2016.

18 | WINEPRESS July 2016

Submissions The wine industry needs a voice in the Marlborough Environment Plan submission process.

Marlborough’s wine industry needs to submit on the good and the bad when it comes to council’s proposed Marlborough Environment Plan.

Steve Wilkes of Wilkes Resource Management, who has completed a provisional summary of the plan for Wine Marlborough (pg16) says the industry needs to get involved.

“That doesn’t just mean putting in opposing submissions, where there are concerns. It’s also vital the industry submit in support of the provisions that work for the industry. In my view there are a lots of provisions in the MEP that work, but if we don’t support them and someone objects, we are not part of the game.”

For example, the proposed rules regarding the establishment of forestry

in “Afforestation Flow Sensitive Sites” is a provision Steve believes the viticulture industry needs to support by way of submission.

In addition, the rules around bird bangers and frost fans have not changed in the new plan, despite 18 bird scaring complaints to council this year.

Grower Guy Lissaman says each person

has a responsibility to take the time to read through the proposed plan “and get to understand what it means for them and their own operation”.

He also says it is as important to submit on the policies they agree with, as it is to dispute those they take issue with, “so that the plan goes through a fully consultative process”.

• The MEP is available at the Blenheim Council offices, Blenheim Library, Picton Service Centre, or any of the other district libraries. It is also available in printed form, on USB drive or from the Council website.

• A submission form is available from the Council offices or may be downloaded from the Council website. It is possible to make a digital submission on the website.

• The closing date for submissions is Thursday, 1 September 2016.

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WINEPRESS July 2016 | 19

Costly Cuts The cost of pruning vines is going up.

An increase in the minimum wage, new health and safety obligations and vineyard growth have all led to a lift in the cost of pruning this year, says a Marlborough grape grower.

Simon Bishell of Caythorpe Family Estate says anecdotal reports indicate pruning costs have gone up around 4 to 5c per vine compared to last year, regardless of the age of vines or number of canes pruned. “It doesn’t sound like a lot, but you need to extrapolate that to 2000 vines per hectare, and the number of hectares in the region.”

Simon says the price lift can be associated with several factors, including the increase of the minimum wage by 50c to $15.25 per hour. Contractors have to pay all their workers at least that much, topping up those who don’t reach it on a piece rate.

The new health and safety rules have also resulted in additional costs for contractors, which are passed on to

vineyard owners or wine companies.

Meanwhile, Marlborough’s continued growth phase means labour is in hot demand, driving up prices. “The labour supply is a key concern moving forward as the industry grows,” says Simon.

The risk of trunk disease to ageing vines is another increasing cost many growers need to take into account, and this winter Simon has contractors painting wounds any bigger than a 50c coin. Neglecting that work, or chasing a lower pruning rate, is likely to be a false economy, he says. “It’s the one thing we have to do, and you can’t skimp on it.

A poor pruning job will hurt you in the forthcoming season and seasons to follow.”

Simon says establishing a good relationship with a contractor is one

Simon Bishell

of the most important things a grower can do. “Supervisors get to learn the intricacies of your block, which often leads to a better pruning job. Chopping and changing contractors may save a few dollars on the cheque, but are you getting the same end result?”

Craig Mill from Focus Labour Solutions says vineyard labour prices increase in line with minimum wage increases and inflation each year. “If contractors do not negotiate price increases to account for minimum wage and inflation each year then it is actually a step backwards in company earnings and can be quite detrimental to any business long term.”

He says health and safety requirements have also impacted this year.

Sharpen Up Good pruning is critical to vine health and future yields, but is often underestimated by the industry, says viticultural advisor Mark Allen. “The quality of your winter pruning sets everything up for the coming year and beyond.”

Inconsistent pruning will be reflected in inconsistency of yields, poor replacement canes for the following year, and a “degrading cycle” for the vines,” he says. Meanwhile, poor cuts with blunt loppers can lead to the intrusion of the “silent assassin” Eutypa, which infects vines through pruning wounds, leading to trunk disease in Sauvignon Blanc.

Well pruned vines, on the other hand, are a pleasure to view, says Mark, who has been a judge at the Silver Secateurs competition for several years, and is a member of Marlborough’s Viticulture Taskforce.

He emphasises that speed is only part of the equation, and good quality of work is vital. “On a well pruned vine

20 | WINEPRESS July 2016

everything is left in the right place. It’s all about making sure you have a good cycle of replacement canes, coming from the Mark Allen right part of the head of the vine.”

The Taskforce and Wine Marlborough ran a Grower Workshop in May, to help people prepare for the pruning season, with stations including ACC, painting vine wounds and pruning decisions.

The Taskforce has also produced a digital video called Sharpen Up, available on the New Zealand Winegrowers website, www.nzwine.com, via the Vineyard/Grapes/ Resources tabs.

Blending Michael Bann isn’t letting a pile of trophies weigh him down as he prepares his 2016 blends. “We can’t really improve on last year, but we’re keeping the standards up,” he says, looking over a table of 54 Sauvignon Blanc juice samples from vineyards across the region. The Rapaura Springs winemaker, along with a team that included Master of Wine Sam Harrop, started assessing parcels in mid-May, in a preview to four days of blending last month.

They’ve a lot to live up to, given that last year the Rapaura Springs Sauvignon Blanc 2015 took out both New Zealand Wine Producer of the Year and the Sauvignon Blanc Trophy at the International Wine and Spirit Competition in London, as well as Champion Sauvignon Blanc at the Marlborough Wine Show. The Reserve Sauvignon Blanc won the Open White

Wine trophy at the Air New Zealand Wine Awards and was 2015 New World Wine Awards Champion Sauvignon Blanc.

The awards have certainly made their mark on the young brand. Rapaura Springs Sales and Marketing Manager Mark Bowers says the win in the New World Wine Awards resulted in a huge boost in sales and brand awareness, “because our champion wine was in every New World throughout the country and because of the promotional support that is wrapped around top wines that win medals at the awards”.

Sam says the team “nailed it” last year, with four days dedicated to selecting

Rapaura Springs winemaker Michael Bann and viticulturist Simon Bowers.

the best parcels for four wines, in a collaborative process that has been repeated with this vintage. Rapaura Springs co-owner Brendan Neylon says having so many parcels allows them to take a “really good look” at Marlborough’s sub regions and to see what’s working. “There’s a really broad cross-section of flavours we can pull together, and each year we go through a really good, robust process to push the boundaries and showcase what Marlborough can do.”

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WINEPRESS July 2016 | 21

Generation Y-ine Marlborough’s Young Viticulturist of the Year relishes a challenge.

SOPHIE PREECE Brenton O’Riley is pretty glad he chose a career laying canes, not cladding, as he prepares to face off against the country’s best viticulturists.

More than six years after he hung up his hammer, the 2016 Bayer Marlborough Young Viticulturist of the Year is truly passionate about the “everchanging” industry he is part of. “It’s really innovative and always trying to push the envelope, whether that’s with wine quality or efficiencies…That’s something I really enjoy.”

Brenton won the regional competition last month, after a full day competing against five of his peers, followed by an evening speech and rapidfire knowledge test. He nailed it all, thanks to a great deal of study and the knowledge garnered through four previous regional competitions, two in Hawke’s Bay and two in Marlborough.

“I guess after five years you become

22 | WINEPRESS July 2016

better prepared for it, because you are exposed to so many different scenarios.”

Brenton also puts his win down to daily learnings in his former technical role at Giesen Wines, where he’s tackled a multitude of viticultural situations over the past three years.

Giesen Viticulture Production Manager Mike Poff says Brenton has soaked up the education given him by the company, rounding out his theory with hands-on experience. “He has an immense passion and continues to push the boundaries, almost like he devours the opportunity to learn more.”

Brenton grew up on a dairy farm in the Horowhenua, and went into a building apprenticeship when he left high school. The work ethic instilled on the farm, where he and his younger brother and sister helped out from an early age, stood him in good stead on the job. But after four years in the industry, he and his partner decided to move to Hawke’s Bay, where Brenton could indulge a passion for horticulture, by studying Viticulture and Wine Science at EIT. He was studying there and working at Mission Estate when he competed in his first Young Viticulturist competition in 2012. He threw his hat back in the ring in 2013, adding pressure to a year that also saw him travel through Italy for a month on the Romeo Bragato Exchange Scholarship and graduate from his studies.

Brenton moved to Marlborough in late 2013, to work as Viticulture Technician for Giesen Wines. He then won the 2014 Young Viticulturist regional

competition and went on to compete in the nationals. Last year he came second in the regionals, which occurred just five days after he returned from getting married in Europe, but rallied to take the top spot with a clear lead this year.

The national competition is a big step up, and Brenton plans to be very well prepared, with his school teacher wife Laura setting him plenty of homework to finish before then.

He’ll also have new challenges in his brand new role as Grower Liaison for Pernod Ricard, which he says will all add to the sum total of his knowledge.

There’s only so much you can study for, so underlying experience from real-life applications makes all the difference on the day, he says.

Five years of competing has meant a lot of work, but it’s been a welcome learning curve that’s opened Brenton’s eyes to industry research and initiatives, while giving his career an extraordinary boost. “It’s a great opportunity to meet people within our community and industry, and challenges you to learn more.”

It’s also put him in contact with “like-minded” viticulturists who are “extremely passionate” about the industry, and has led to a monthly discussion group among up and coming viticulturists. That’s indicative of a wine community he respects for its collaborative approach. “It’s an open book and people are really willing to learn from one another.”

Six contestants battled it out at the Bayer Marlborough Young Viticulturist of the Year Competition 2016

Andrew Jeffries in the Hortisports

Libbey Rainey and Geoff Warmouth from Biostart

David Bullivant tests 2nd place getter Libby Rainey

Brenton O'Riley

Kurt Robinson in the Hortisports

Blair Elliot won the Hortisports section

David Bullivant with Jaimee Whitehead.

Giesen's Mike Poff, left, and Nick Hunter

WINEPRESS July 2016 | 23

The Block -Yealands Estate Peter Yealands can see Sauvignon Blanc reaching new heights in Marlborough.

SOPHIE PREECE When Peter Yealands developed a small vineyard at Grovetown in 1998, people told him he was mad. When he planted grapes up the Northbank, they said he was dreaming. And when he cast his eyes towards Seaview, they said it was a waste of time. “This area here was referred to as Little Siberia,” he says now, surrounded by a landscape of rust-hued vines on rolling country to the edge of the Pacific Ocean. “People called it windy and cold and hard country.” Now they just call it Yealands.

“Everywhere I have been people have said it won’t be any good,” says Peter, his iconic white beard gleaming against the fluoro yellow top he donned hours earlier, for a vineyard meeting at dawn.

24 | WINEPRESS July 2016

But most everywhere he’s planted grapes, bunches of naysayers have followed.

Now he’s thinking about heading to steeper hills. “A lot of people are saying there’s only so much land in Marlborough,” he says. “But the question is how much suitable land is there? And that’s, ‘how long is a piece of string?’”

When all the obvious land is planted, the industry will move to “the next obvious piece of land, or block of land, or type of land”, Peter says. “I believe that in a few years’ time, all the easy obvious stuff will be gone, barring the owners who will never go there. If the trends keep going and if the prices tend

to push up - and who knows whether that will happen - that demand will drive people to farming on the hills.”

This pioneering deer farmer, mussel farmer and vineyard developer will be ready. Yealands Wines just bought two neighbouring properties for expansion, and on one of them Peter is trialing techniques for terraced vineyards with two rows per terrace, following the contour of the hills. He’s also tinkering with a harvester, to increase the offset so it can handle the steeper slopes of the property.

“I am doing it because I love the challenge,” he says. And in 10 years’ time, he’s certain there will be technology and equipment that will

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Peter Yealands

allow Marlborough Sauvignon Blanc to head to new heights.

“Marlborough seems to handle Savvy. It just handles it better in some places than others. People will push the boundaries and they’ll get burnt if it’s no good. Like they do now.”

Peter is also looking to Ward, where he says crops seem to yield a little lower right now, but may not be that way forever.

“With global warming, I think the trend will be to warm south and in 10 years, it could be just the best place.”

Peter first saw Seaview in the mid-1980s, when it was in pasture and he was buying bales of hay for his deer stud at Kaiuma Bay, on the edge of the Pelorus Sound. In 2001, he had sold his Northbank vineyard, “had a pocket full of money”, and visited again.

“I am a bit of a scavenger and I like to get things cheap,” he says. And because it was rolling land deemed unsuitable for grapes, he bought his first Seaview property for $4000 a hectare, with another seven farms bought over the next seven years, accruing 1150ha.

Peter says the original farms would have collectively generated about $1million a year in income between the landowners. Today the same area has a turnover of about $100m and is employing about 150 people.

Marlborough Lines bought an 80% stake in Yealands Wine Group last year, which Peter calls a perfect partnership with a community-owned business investing for the long term. It’s life as usual at the wine company, he says, looking slightly hemmed-in behind his desk, knowing there are new vineyards out there to develop, sustainability ideas to be tested and a tractor that surely needs a driver.

Come the weekend, he’ll still be on the estate, happily grading the roads or turning the compost, his own 40,000 tonne “pet project”. And as he does, he’ll surely be dreaming of another big, bold and gumptious plan, like Sauvignon on the hills.

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WINEPRESS July 2016 | 25

Biosecurity Watch New Zealand Winegrowers Biosecurity Manager EDWIN MASSEY focusses on Pierce’s Disease of grapevines.

Pierce’s Disease of grapevines is caused by the bacterial plant pathogen Xylella fastidiosa. Xylella has a wide host range, with more than 200 commercial and ornamental plant species known to be susceptible, a number that grows every year. The pathogen infects the xylem vessels of host plants, eventually blocking them, preventing water from being transported around the plant. This results in plant death. Once vines are infected, there are no known ways to treat the disease.

Xylella is spreading around the world and is vectored by many different xylem feeding insect species. New Zealand is currently free from Xyllela and controls the importation of potential plant host risk material by testing all imports of nursery stock. However, insects not yet present in New Zealand, such as Glassy Wing Sharp Shooter (pictured), have the potential to introduce the disease.

These insects could arrive via a number of pathways, including by travelling on passengers or air cargo entering New Zealand. If the disease is introduced, a range of other insects present, including Meadow Spittlebug, could act as vectors, spreading it wider.

Industry Impact All Vitis vinifera varieties are susceptible to Pierce’s Disease. However, varieties vary in longevity and productivity after infection. Grape varieties such as Sauvignon Blanc and Chardonnay are very susceptible to the disease, with a short period between infection and death.Varieties such as Cabernet Sauvignon are less susceptible. Most other varieties are intermediately susceptible.

If Xylella was introduced to New Zealand it would have significant implications for the wine industry.

The impact would likely vary between 26 | WINEPRESS July 2016

impacted, and which were disease free.

I recently attended a Xylella preparedness workshop in Australia that focused on the Italian response to a strain of Xylella impacting olive trees.

The response was a complete failure and lead to 100% loss of crop in many infected production areas. Both the Californian and Italian experiences highlight that early detection is absolutely vital to maximise the chances of potential eradication.

regions, depending on varietal plantings, winter temperatures and the density of insect vector populations. In Marlborough, the density of Sauvignon Blanc plantings mean that the impact of the disease would probably be substantial.

The disease had a significant impact on the southern Californian wine industry following the accidental introduction of Glassy Wing Sharp Shooter to the Temecula Valley region.

In 1999 alone, 120ha of vineyards were destroyed by the disease. Even after more than 15 years of coordinated management, monitoring and research, outbreaks of Pierce’s Disease continue to be extremely costly for growers and winemakers.

A very difficult response Any biosecurity response to a Pierce’s Disease outbreak is likely to be extremely challenging as it would combine difficulties of responding to a bacterial pathogen and insect vectors simultaneously. The wide range of pathogen hosts, and the fact that not all infected plants immediately show signs of disease would make it extremely difficult to determine which areas were

What to look out for Typically, the main symptoms of Pierce’s Disease are scorching of leaves, browning and loss of leaves, stunting of young shoots, reduced fruit size, dieback and eventual plant death (see photo).

In summer these signs can be easily confused with water stress.

The future of Pierce’s Disease preparedness New Zealand Winegrowers intends to work in partnership with MPI to improve our preparedness for Pierce’s Disease. Joint preparedness work could be a key focus of a Government Industry Agreement (GIA) between the industry and the Crown. This is why the upcoming vote to gain mandate to enter a GIA is so important.You should have received a consultation document regarding the GIA recently and there is a face-to-face meeting to discuss the GIA scheduled for Wednesday August 3 at the Marlborough Convention Centre, which you are welcome to attend.

Vigilance is the key to maintaining a low level of biosecurity risk. If you see anything unusual in your vineyards, please call the MPI biosecurity hotline on: 0800 809 966. If you have any questions please call me on 0211924924, or email Edwin.massey@nzwine.com.

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DRAINAGE WINEPRESS July 2016 | 27

Export News - April 2016 Key Points • Moving Annual Total (MAT) April 2016 export value is $1.560 billion, up 13% on the previous year.

• MAT April 2016 exports are 210.6m. litres, up 4% on the previous year; packaged exports are +6% for the period and other exports are unchanged.

• Average value MAT April 2016 is $7.37 per litre, up 8% on the previous year; packaged export value is $8.79 per litre up 7% on the previous year.

Total Export Volume & Value • MAT April 2016 total value of exports is $1.560 billion, up 13% on the previous year.

• Total value of year to date (YTD) April 2016 exports is $1.336 billion up 11% on April 2015.

• Total value of April 2016 exports was $113.6 m. up 1% on April 2015.

• MAT April 2016 exports are 210.6m. litres, up 4% (8.0 m. litres) on the previous year.

• YTD April 2016 exports are 181.2m. litres, up 3% (5.2 m. litres) on the previous year.

• April 20164 exports were 14.2 m. litres down 5% (0.9 m. litres) on April 2015.

Export Value per Litre All wines • April 2016 average value was $8.01 per litre, up 10% from April 2015.

• YTD April 2016 average value is $7.33 per litre.

• MAT April 2016 average price is $7.37 per litre, up 8% on MAT April 2015.

Packaged wines • Excluding unpackaged wine from the data, the April 2016 average value was $8.69 per litre, up $0.61 per litre (8%) on April 2015.

• YTD April 2016 average value is $8.83 per litre 28 | WINEPRESS July 2016

• MAT April 2016 the average price is $8.79 per litre, up $0.57 per litre (7%) on MAT April 2015.

• MAT April 2016 prices are up 14% to the USA, 9% to UK, 3% to Canada and 2% to Australia.

Export Volume by Country of Destination • In April, for the major markets, exports were up 9% to the USA, and 5% to the UK, but were down 30% to Australia. Canada was up 23% for the month, while performance of other markets was mixed, with Sweden and Germany the strongest performers.

• YTD April exports are up 19% to the USA, are unchanged to the UK, but are down 12% to Australia.

Canada is up 12% for period, while performance of other markets is mixed, with Germany, Ireland and Sweden all up 20% plus.

• MAT April 2016 growth is led by the USA +19%, with UK +2% but Australia is -13%. Canada shipments are +15% for the year. Performance of other tracked markets is mixed with Germany, Ireland and Sweden the strongest performers.

Volume by Packaging Type • Exports of packaged wines MAT April 2016 are 141.6m. litres up 6% (8.0 m. litres) on the previous year and are 67.2% of total export volume.

• MAT April 2016 packaged exports are led by USA & Canada.

• YTD April 2016 packaged exports are 119.1 m. litres, up 6% on April 2015.

• April 2016 packaged exports were 11.6m. litres, down 7% on April 2015.

• Other (non-packaged) wine shipments MAT April 2016 are 69.0 m. litres unchanged on the previous year (32.8% of export volume).

Nonpackaged shipments growth is led by USA (+30%).

• YTD April 2016 non-packaged shipments are 62.1 m. litres, down 2% on the previous year. • April 2016 non-packaged shipments were 2.5 m. litres, up 1.4% on April 2015.

Exports by Variety/Style • In April 2016 Sauvignon Blanc exports were 11.8 m. litres, down 4% from the previous year, accounting for 83.5% of export volume. Of the Sauvignon Blanc exported in April, 11.3 m litres (95%) was from Vintage 2015.

• Performance of other styles was generally negative in April with the Chardonnay the best performer.

• YTD April 2016, Sauvignon Blanc shipments are 155.8 m. litres up 2% from the previous year. Performance of other styles is generally positive.

• MAT April 2016, Sauvignon Blanc shipments are 180.4 m. litres up 3% from the previous year. Performance of other styles is generally positive with Pinot Noir, Pinot Gris and Riesling growing 10% plus.

• Production of Sauvignon Blanc in 2015 is estimated to have been 162m. litres, 30% down on the previous year.

Export shipments of vintage 2015 Sauvignon Blanc since release are 116.5 m. litres or 71.9% of estimated production.

Exports by Winery Category • April 2016 export growth was led by the small wineries +6% with the medium wineries -1%, and large wineries -9%.

• YTD April 2016 small wineries are -2% with the medium wineries +6% and the large wineries +4%.

• MAT April 2016 the medium wineries are +6, the large wineries +5% and the small wineries -3% for the period.

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www.riversun.co.nz WINEPRESS July 2016 | 29

Industry News Organic Demand There was a massive shortfall in organic fruit in Marlborough this vintage due to increasing global demand, says a viticultural consultant.

Bart Arnst had requests for up to 400 tonnes of organic grapes during the growing season, and separate requests for another 300 tonnes just before harvest. In both cases, the parties went away disappointed, as Marlborough’s organic fruit was already spoken for. “This year’s demand was insane,” he says.

“After harvest there were other people again firing emails around looking for organic wine.”

There is huge opportunity in the sector, he says. “The big swing I see of late is North America and parts of Europe that are really starting to ask for organic Sauvignon Blanc.”

With three-year conversion rates to become certified organic, wine companies interested Bart Arnst in tapping in to increasing global interest need to speak to their growers now, and help them through the conversion stage, Bart says.

“There’s no one out there to be cherry picked like there was in the past…I have been saying to people that I’ll do my best to align them with growers who might be interested, but it really needs to be driven by the wine guys.”

“This year’s demand was insane.”

Good Mana Marlborough Natural Winegrowers (MANA) has employed Marketing Manager Rachael Cook (pictured with daughter Madeleine) to help share the stories of the member wine companies.

Seresin, Te Whare Ra, Hans Herzog, Fromm, Rock Ferry, Clos Henri and Huia share a philosophy of natural winegrowing, with a “less-is-more” approach to the manipulation of soil, grapes and wine, says Rachael. “All of them have their own Marlborough wineries and vineyards and have three things in common: Their quality wine, the fact they are Marlborough-based,

30 | WINEPRESS July 2016

and the fact they have an organic focus.” She wants to use the new marketing role to give the group and its members a bigger voice in both the local community and the national wine industry. “I think there’s huge opportunity to promote organics in New Zealand wine and MANA could be the leaders in that.”

RRI The Marlborough District Council has agreed to allocate $150,000 per annum for six years, beginning next year, to back New Zealand Winegrowers’ (NZW) bid to establish an internationally recognised wine industry research hub in Marlborough.

The New Zealand Institute of Viticulture and Oenology is one of three proposals shortlisted for a chance to access a slice of $25m of Government funding over three years.

The aim is to create in Marlborough the next generation of wine science for New Zealand and international purposes. NZW told council it is confident the proposal will win the goahead from central Government.

New Spy Boss Amanda Johnson (pictured) has taken over as General Manager of Spy Valley Wines.

The daughter of Spy Valley’s founders Bryan and Jan Johnson has a background in marketing and human relations, and says she will play to the strengths of her team. “Spy Valley Wines has been shaped by its wonderful, skilled and dedicated people. I intend to help them continue to flourish as a team in New Zealand’s beautiful and leading wine region, with Spy Valley inspiring the world of wine.” Amanda says she has long dreamed of immersing herself in the family business “as a guardian for the next generation”.

Sailing On Mud House is marking a decade of support by announcing it will again be an official wine supplier to Emirates Team New Zealand for the next Challenge in June 2017. The 35th America’s Cup will be battled out in the stunning waters of Bermuda, and Mud House will be right there with Emirates Team New Zealand at its home base, poured for support crew, yachting enthusiasts and fans alike. Mud House Sales and Marketing Director Jack Glover says the ongoing support Mud House has provided Emirates Team New Zealand has established a deep connection. “We have seen firsthand the perseverance and dedication of Emirates Team New Zealand as the crew work towards the next Challenge.”

Marlborough Wine Show Entries to the Marlborough Wine Show 2016 open on August 22 and close

on September 16, with judging from October 3 to 5 at the Marlborough Convention Centre. The international judges include wine consultant and judge Mike DeGaris from Sydney, and Ralph Kyte-Powell from Melbourne.

They will be joined by another international judge, sponsored by Wine Marlborough. Organisers are also offering spots for associate judges.

Competition Director Belinda Jackson says the role is an opportunity for those in the wine industry with broad tasting experience, who wish to head towards show judging. Associates are included in the majority of activities during the event, including tasting up to 120 wines a day, and must commit to being part of the team throughout. Preference will be given to those who have stewarded for the competition.

Rabobank Leaders Nominations have opened for the 2016 Rabobank Leadership Awards. The peer-nominated trans-Tasman awards – now in their 11th year – include the flagship Rabobank Leadership Award, which was last year won by New Zealand business leader Sir Henry van der Heyden, the former chair of global dairy giant Fonterra. The award is presented annually to an individual in a senior leadership role in the food, beverage and agribusiness sector who has created sustainable growth and prosperity at both corporate and industry level, while also demonstrating a wider commitment to society.

Other past recipients of the award include Villa Maria Estate founder and owner Sir George Fistonich. The Emerging Leader Award, now in its

Top Glass A knockout competition to find the next top Sauvignon Blanc glass came down to the reigning champion and an elegant newcomer. Wine Marlborough and 260-year-old glassware company Riedel held a special Sauvignon Blanc Sensory Workshop in June to ascertain whether the glass designed for the variety 20 years ago was still best for the job, asking several wine company representatives to taste their way to the top of a selection of 17 glasses. The original benchmark for Sauvignon Blanc, the Vinum Sauvignon Blanc glass, made it into the top two, but lost in the last round to a glass that was custom designed by Riedel for the Croatian white wine variety Malvazija.

Highfield Winemaker Alistair Soper says the tasting was fascinating and the impact of each glass on the wine it held was significant. “Most people would be blown away by just how differently those wines can look with different glasses.” The differences were clear among the original 17, and small when it came down to the final two. However, he says the winning choice was lovely to hold and to drink from, with a slender stem and lightweight glass. “For me the Malvazija glass showed a bit more complexity in the wine. Or more accurately, the other glass made the Sauvignon look a bit more simple.”

Riedel has canvased Sauvignon Blanc producers around the world and will shortly decide on the next Sauvignon Blanc glass. fourth year, recognises up-and-coming young leaders in the sector. Last year’s winner was 29-year-old viticulturist Zachary Caudo, from South Australia’s Riverland. Nominations for both awards can be made on the Rabobank Leadership Awards website at: www.rabobankleadershipawards.com/ nominations and close on July 31.

Hunter’s Win Hunter’s Riesling 2015 took the Best Riesling and Judges’ Best New Release at the recent International Cool Climate Wine Show, in what Jane Hunter calls an incredible result. “To win a trophy is always very gratifying

and one to be proud of. To go on and win two trophies in the same show is spectacular. It’s very reassuring that our style of Riesling stands up year after year.” Winemaker James Macdonald says he has always enjoyed making the variety “The double trophy win is a pat on the back for both the vineyard and winemaking teams.”

Other Marlborough winners include Jackson Estate for the Stich Sauvignon Blanc 2015, and NZ Wine Cellars for The Sounds Methode Traditionelle 2012.

WINEPRESS July 2016 | 31

Wine Happenings A monthly list of events within the New Zealand wine industry.

To have your event included in next month’s calendar please email details to sophie@sophiepreece.co.nz

JULY 2016 8: 11: 26: 27:

2016 Tonnellerie de Mercurey New Zealand Young Winemaker - Marlborough Information due for Wine Marlborough E-Newsletter Membership Consultation on proposed Marlborough Environment Plan – MRC Theatre, 3pm Wine Marlborough Labour Summit,Viticulture – Scenic Hotel from 1-3pm

AUGUST 2016 3: 7: 22: 23-25: 24-25: 24-26:

NZW Member Workshop - 2-3.30pm - Marlborough Convention Centre Wine Marlborough Silver Secateurs - Marlborough Entries open for Marlborough Wine Show 2016 National Final - Bayer Young Viticulturist of the Year 2016 - Marlborough National Final – 2016 Tonnellerie de Mercurey New Zealand Young Winemaker Romeo Bragato Conference - Marlborough

SEPTEMBER 16:

Entries close for Marlborough Wine Show 2016

OCTOBER 2016 3-5: 14: 19: 20: 27:

Judging for Marlborough Wine Show 2016 WineWorks Marlborough Sauvignon Blanc Yacht Race Wine Marlborough Cellar Door Pre-Season Gathering Marlborough Winegrowers Association AGM - 4-6pm, MRC Theatre Marlborough Wine Show Awards Dinner 2016

Disclaimer: The views and articles that are expressed and appear in Winepress are entirely those of contributors and in no way reflect the policy of the Marlborough Winegrowers. Any advice given, implied or suggested should be considered on its merits, and no responsibility can be taken for problems arising from the use of such information.

32 | WINEPRESS July 2016

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