British Columbia’s main wine region has been hit by a succession of cruel winter freezes. With virtually no grapes in 2024 and vineyards in need of extensive renewal, estates are trying to determine the best way forward while keeping afloat.
Even in the relatively generous 2022 vintage, British Columbia’s estimated total of 39,351 tons of grapes represents a mere drop compared to global wine production. Yet for Canada’s third most populous province, the C$3.75 bn ($2.77bn) that the industry contributes through direct and related activities is not insignificant.
Environmental sucker punch
Between January 11 to 15, 2024, temperatures in the Okanagan and Similkameen regions plummeted following a spell of unseasonably warm weather. In the area of Kelowna, the mercury fell from 5C to -20C on January 12 then to -30C on January 13.
“The temperature was dropping by 1.5C per hour,” recounts Mission Hill’s Senior Winemaker Taylor Whelan. For over 50 hours, it remained below -18C, “which is where you get bud damage,” he adds.
Without time to acclimatise, vines were decimated. “The warm to cold happens frequently,” says veteran viticulturist Val Tait of Gold Hills Winery, “but this year, it was so extreme it killed not just primary, but secondary and tertiary buds and in some cases the vascular structure of vine.”
In a report commissioned by Wine Growers of British Columbia (WGBC), consulting firm Cascadia Partners estimated a 97-99% death of primary and secondary buds. In short, there will be scarcely any wine made from BC grapes in 2024, excepting the tiny regions of Vancouver Island and the Fraser Valley. The potential loss in revenue across all wine-related businesses is an estimated at C$440-450 million.
This follows the freeze of December 2022 which resulted in a 56-58% loss of grape and wine production in 2023 according to the BC Wine Grape Council (BCWGC). In fact, a full five successive winters have caused compounding damage in various pockets of BC interior’s growing regions.
The aftermath
While actual vine death was difficult to measure at that stage, a few estates razed vineyards immediately. Most, however, waited to see what would grow. Surviving tertiary buds finally began arriving in June and by mid-August, some vines had even developed full canopies, but no grapes. The dead vines became poignantly obvious. Throughout the valleys, heaps of excavated trunks and roots piled up like vineyard graveyards.
The outlook for land-based wineries — that is, wineries that produce wine from their own grapes — which are only authorized to make wine from 100% BC grapes lay in stark contrast to commercial wineries which have a license to produce wine from imported grapes and grape juice. Beyond the reality of forgoing revenue, the former were faced with losing customers, listings and employees. Several made the switch to a commercial license.
Stopgap
Following months of petitioning from the industry, the BC government finally announced on July 25 that it would permit land-based wineries to bring in grapes and/or grape juice from outside the province to produce a 2024 replacement vintage while allowing them to maintain their land-based classification. Based on revenue rather than volume, this is capped at a five-year Olympic average (based on the average, but where the most extreme values are removed). Initially, the mark-up relief period to sell through these wines was limited to a 12-month period starting April 1, 2025. After further lobbying, it was extended to March 31, 2028, in consideration of longer maturated reds and sparkling wines. “Longer than that risks a trade challenge,” cautions Erin Korpisto of Terravista Vineyards reiterating that the allowance applies exclusively to 2024.
Producers were suddenly scrambling to secure fruit before the pending harvest. Most have focused on Washington which is accessible from the Okanagan and Similkameen valleys and boasts similar continental conditions with hot arid summers. The grape glut there has proven fortuitous. Others have ventured further afield to Oregon and even California.
Strategies diverge based on wineries’ philosophies and needs, from providing loyal customers with wines of a similar profile to diversifying in terms of grape varieties to tell a new story of place.
Pros and Cons
Despite the headache of navigating the bureaucracy of importation, most winemakers are enjoying the unexpected opportunity to work with fruit from elsewhere. “It’s exciting and brings creative complexity to the brand,” says Shane Munn at Martin’s Lane.
At Lake Breeze, Garron Elmes is heartened by the positive feedback from customers who have expressed their willingness to buy. “It is incredibly helpful, allowing us to maintain customers and shelf space, and most importantly keep staff.”
Nevertheless, Three Sisters’ Matt Mikulic recognizes the potential Pandora’s box, particularly as prices for BC grapes have risen to almost unsustainable levels. “Washington fruit is cheaper and great quality. It might end up making more financial sense to become a commercial winery — but that would jeopardize what we’ve built.”
Likewise, Kathy Malone at Hillside is concerned about ‘brand BC’. “We’ve spent 40 years trying to make people understand what’s special about our wine.” Transparency is a huge concern and industry task forces have been formed to advise on labeling and where these wines should end up on shelves. “The customer shouldn’t feel fooled,” says Tony Holler at Poplar Grove.
Phantom Creek is opting out of the initiative completely, and instead, will stretch out existing stock. “I can’t get my head around sourcing cheap grapes from Washington, slapping Phantom Creek on the label, then asking customers to go back,” says General Manager Mark Beringer.
Rebuilding the vineyards
As of September, the BCWGC estimates vine death from the 2024 freeze in the 14-18% range. While less than initially expected, this does not diminish the restoration required. Vineyards demonstrate varying degrees of death and damage, and strategies are being determined plot by plot. Even in seemingly robust sites, growers don’t necessarily trust the health of the trunks. The most proactive are re-trunking vines from suckers growing above the graft. “It is a two-year proposition to return to full production,” says Beringer.
Replanting will be at least double that. As such, even in plots with survival rates of only 30- 40%, some producers are choosing to pull out just the dead vines and interplant new ones among the survivors to have at least partial crop loads sooner. These, however, will be difficult to manage as nascent vines have different needs to mature plants.
Crop insurance companies are supporting cutting losses and encouraging replanting. Furthermore, BC’sMinistry of Agriculture and Food has allocated C$92.6, ($68.6m) in Production Insurance and AgriStability payments and the government’s Enhanced Replant Program has earmarked C$23m ($17m) million specifically for grape wine growers.
Grape shake-up?
The question is what will be replanted. With more than 100 different varieties planted in BC, this is an opportunity to consider possible attrition. In 2024, temperatures fell low enough that even varieties like Riesling, Pinot Noir and Cabernet Franc were impacted. However, it was particularly cold-sensitive cultivars like Syrah, Gewürztraminer and Merlot that were among the most affected. While Whelan predicts that the Merlot will remain BC’s most planted grape, the fate of Syrah is less certain.
A report prepared by Terroir Consulting to provide recommendations for the Enhanced Replant Program included a survey in which stakeholders identified grapes that should not be funded for replanting. Syrah far and away topped the list due to its susceptibility to extreme cold events. That said, it was equally noted for its potential among super-premium reds. Producers are assessing their own risk tolerances. After losing 50% of his Syrah vines Michael Bartier of Bartier Bros. won’t be replanting it. Conversely, John Weber at Orofino is not giving up. “The best wines are made on the edge of where they should be grown. Syrah is a star here. It’s risky but we know that.”
Future protection
Perhaps unsurprisingly, hybrids rarely make it into the conversation. Most were pulled out after the 1988 harvest as British Columbia sought to establish a reputation for quality. Despite global perspectives towards hybrids shifting, most producers aren’t ready to backtrack. One exception is Brianna McKeage at Bella/Ursa Major. “I don’t see temperatures regulating. I foresee more freezes and heat domes,” she says, explaining that their future strategy includes hybrids in the mix.
Above all, producers are discussing winter protection programs, especially as the 2025 Old Farmer’s Almanac predicts another frigid season. While geotextiles are expensive and require snow to be effective, the time-honoured practice of hilling up — creating a mound of soil around the base of the vine — is an option particularly in less rocky sites. At Little Farm, Master of Wine Rhys Pender believes that it saved his vines.
“People used to always hill up but got lazy because it wasn’t as cold.” Beringer agrees. “You have to be prepared every year, not think that a freeze will only happen every 30.” Bartier doesn’t need convincing. He is even trialling burying 1-2 suckers per plant over winter as further insurance. “It increases costs but is better than losing crop.”
Consolidation
For some, the costs, risks and regulations in BC are simply too prohibitive. “The little guys have to consolidate to survive,” says Wendy Rose of Bella, which was sold to McKeage and Rajen Singh of Ursa Major earlier this year. As of September 18, British Columbia counts 307 licensed grape wine wineries. This is down from 326 in June. OK Wine Guys which specialises in the acquisition and sale of vineyards and wineries currently has 33 wineries listed for sale on its site. The concern is that the big companies will simply get bigger. But for Elmes, he believes that the BC wine industry needs a reset. “We were at a point of too many wineries and vineyards. It is painful for many right now but necessary for the long term,” he says.
This could be the biggest opportunity that the region has ever experienced. It requires committed players who are focused on quality over quantity, building up resilience and collaboration to come back stronger than ever.
“How often do you get to start again?” asks Whelan.
- Total vineyard plantings: 12,681 acres (5,132 hectares)
- Okanagan Valley: 10,920 acres (86% of the province’s vineyard acreage)
- Similkameen Valley: 768 acres (6% of the province’s vineyard acreage)
- Number of licensed grape wine wineries in British Columbia as of Sept 2024: 307
- Top 5 white varieties (by acreage): Pinot Gris, Chardonnay, Riesling, Gewürztraminer, Sauvignon Blanc
- Top 5 reds varieties (by acreage): Merlot, Pinot Noir, Cabernet Sauvignon, Cabernet Franc, Syrah
2024 estimates:
- Decrease in grape and wine production: 97-99%
- Loss in revenue across all wine-related businesses: C$440-450m ($326m - $333m))
- Vine death from freeze: 14-18%