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Vineyard Production
- Vineyards usually produce 2 to 10 tons per acre.
- One ton fills over two barrels.
- 700 to 800 vines fit per acre.
- Planting 1,000 vines takes 250 labor hours.
- Vines spaced 4 feet apart and rows 10 feet apart equal 1,089 vines per acre.
Market Trends and Costs
- The 2017 global wine market was $302 billion.
- The average price per ton increased 6.9% from $800 to $855.
- White grapes increased 8% to $635 per ton.
- Red grapes increased 5.5% to $1,019 per ton.
- Open plantable land costs $100,000-$75,000 per acre.
- A deer fence for 1 acre costs $7,000.
- Planting costs range from $30,000 to $100,000 per acre.
Profitability and Business Considerations
- A small vineyard can be profitable.
- The minimum size for a profitable vineyard is 5 acres.
- For wholesale, 10 profitable acres are needed.
- Many open wineries despite higher investments and costs since profits are higher.
- Managers average $94,000 annually.
- Markups average two to three times wholesale costs.
- Yearly costs per vineyard acre are $5,000.
- Yields of $11,000 worth of grapes per acre are possible.
- A minimum winery start-up today costs $600,000.
Grape Cultivation and Wine Making
- Rows are closer together in warmer climates.
- Rows are 20 feet apart, vines 12 feet (182 vines per acre).
- North-south rows maximize sunlight.
- Grapes need 4 feet of root space.
- Water use is 12.5 gallons per minute per acre.
- Table grapes need 4 acre feet of water.
- Marketing gives small vineyards profitability.
- Home winemaking uses 6-7 kg of grapes per gallon.
- Safely shipping wine matters.
- Yields of 3-5 tons per acre are best.
Vineyard Size Impact
- Location matters.
- The average California vineyard price is $150,000 per acre.
- A 35-acre vineyard earning $2,500 per acre yearly sees $88,000 profit.
- One vine produces 4-6 bottles yearly.
- Cabernets have the most global vineyards.
