Record winegrape crop set for California.

If estimates from the California Agricultural Statistics Service (CASS) are borne out, California will see a record winegrape crop of 2.70 million tons and a total crop of 5.8 million tons. The estimate for last year was 5.25 million tons with winegrapes accounting for 2.3 million tons. The actual

wine-grape total was closer to 2.2. million tons. Of the 5.8 million ton California total, 700,000 tons are of table type grapes and 2.40 millions are of raisin cultivars. The winegrape estimate is up 21% from the 1996 forecast. The Raisin Industry Diversion (RID) is not in effect this year. CASS reported maturity was ahead of normal thanks to a dry, warm spring, and that a good quality crop is expected.

On the pricing front, the Napa Valley Grape Growers Association (NVGGA) announced its recommended prices for the 1997 harvest. The recommended price range for Cabernet Sauvignon was $2,300-$2,500; $2,250-$2,300 for Cabernet franc; $2,200-$2,400 for Merlot; $2,000$2,300 for Pinot noir; $1,800-$2,000 for Sangiovese; $1,950-$2,100 for Zinfandel; $2,000-$2,200 for Chardonnay; $900$1,000 for Chenin blanc; $1,200-$1,400 for Sauvignon blanc; $1,200-$1,400 for Semillon and $1,000-$1,200 for White Riesling. The 1997 Growers Journal provides data on acreage, tonnage, and production costs and is available to nonmembers for $50 by calling the association at (707) 944-8311.

Cure for phylloxera?

* Greg Willis of Agri-Synthesis[R], Inc. has said his company has developed a cure - and proven it - for phylloxera in grapevines. He said his company's system will keep "phylloxerated vineyards in operation virtually indefinitely." The company's system is completely organic and works to achieve balance and fertility in the soil and is a variation of Bio-Dynamics. Willis cited yield increases of up to 500% the first year. He can be reached at (707) 258-9300 or by fax at (707) 258-9393. The mailing address is Box 10007, Napa, Calif. 94581.

LVMH proposal

* LVMH Moet Hennessy Louis Vuitton SA, Paris has suggested to Guinness PLC (Guinness) and Grand Metropolitan PLC (Grand Met) that Moet merge with United Distillers (UD) and International Distillers and Vintners (IDV) and that non-spirits and non-wine business be "demergered" into separate food and brewing companies. Specifically, LVMH proposed that Pillsbury, Burger King, Guinness Brewing and Drinksco be demergered, that Moet Hennessey be fully-integrated into UD and IDV and that the above would create "the world's leading focused, listed spirits and wine company." LVMH cited annual cost savings estimated at [pounds]65 million given full integration of Moet Hennessey with UD and IDV. The merged beverages group would have annualized sales of [pounds]7.4 billion (1995-96) and "an unrivaled drinks distribution network and would be a market leader in five out of six premium drinks categories." The LVMH proposal was announced July 24.