RIO GRANDE — Local wineries are pleased about the passage of a new law in New Jersey that will allow them to ship their product out-of-state and at the same time legalize tasting rooms.
Out-of state wine shipping is legal in 38 other states. The new state law also allows winemakers from other states to ship their product to New Jersey.
Gov. Chris Christie signed the bill into law Jan. 17.
The law is specifically for small wineries, those that produce 250,000 gallons or less each year. The law takes effect April 1 allowing time for the state Division of Alcoholic Beverage Control and Division of Taxation to determine fees and regulations.
Kevin Celli, property manager at Natali Vineyards in Court House, said the winery produces less than 250,000 gallons per year, about 22,000 bottles.
“We have a hard time keeping up with supply and demand right from our vineyard,” he said. “This law being passed keeps the right to sell the wine right from the winery.”
Previously, there were questions statewide about allowing tasting rooms to sell wine at vineyards and the outlet license privileges of wineries. Before the new law was signed, wineries were limited to six outlets to sell their wine, mainly “bring your own bottle” restaurants.
The law will allow a winery to have 15 outlets, said Celli.
“It’s definitely a win-win across the board for everyone,” he said.
Celli said Natali plans to plant more vines and expand its building. He said New Jersey was producing “some incredible wines.”
Tourists and second home owners have purchased local wines when they are in Cape May County but when they went home to Pennsylvania or New York, they could not have wine shipped to their winter homes, he said.
“It’s one more step in keeping the Garden State a garden,” said Celli.
He said New Jersey was the sixth largest producer of wine in the nation. The new law will allow more wineries to open and drive more tourists to the region, said Celli.
He predicted six wineries will be open in the county in the next eight months.
“You could really dedicate a whole weekend to coming down and trying South Jersey wines,” said Celli.
Toby Craig, an owner of Cape May Winery, said he was pleased to have the opportunity for more outlets to sell wine. Customers get a taste of their wine at a BYOB restaurant and then come to winery to purchase more, he said.
Craig said the biggest issue is how U.S. District Judge Katharine Hayden will rule on the matter of the state discriminating against out-of-state wineries not being allowed to sell to New Jersey residents while wineries in the state had that privilege.
“If she rules it’s constitutionally legal, it will go into effect,” he said. “We don’t know what her position is going to be, it should be a positive position because no one wants the wineries to shut down.”
The new law gives out-of-state wineries the same privileges as wineries operating in New Jersey. At issue, local wineries had outlets while out-of-state wineries did not.
Craig said Cape May Winery currently sells 100 percent of its product locally. Wine production has increased 18 percent every year since the winery opened, he said.
“We’re up to over 30,000 gallons of production,” said Craig.
He said the winery’s production was near capacity with its current tank space. Craig said Cape May Winery has a 25-year lease with county with the Farmland Preservation Program and plenty of land to plant more vines.
Todd Wuerker, an owner of Hawk Haven Vineyard and Winery in Rio Grande, said the new law would allow expansion of their business particularly in retail outlets. He said production could be increased when they are assured they can expand their market.
Wuerker said Hawk Haven has nine acres of vines planted of a total property of 120 acres.
He said more wineries opening in the county was a positive step. With six wineries in the county, it could take visitors more than one day to see them all.
Wuerker said that could bring visitors to the county on weekends, especially after the summer tourist season. He tested a wine train from Cape May to Hawk Haven two years ago working with Cape May Seashore Lines.
Barbara Bray-Wilde, owner of Willow Creek Winery in West Cape May, is waiting to open. She said not one winery in New Jersey currently has a license.
“I’m sitting on thousands and thousands of cases of wine,” said Bray-Wilde. “We’re opening this spring.”
She said she is looking forward to shipping wine to the out-of –state homes of visitors and having local retail outlets.
Bray-Wilde, who also owns the Southern Mansion in Cape May, said her guests ask to see local wineries. She said visitors are interested in being outside, seeing the grapes and they spend money while they are here.
“Every single guest comes to me and says they want to go to the vineyard,” said Bray-Wilde.
While none of the local wineries are likely to become as large as E & J Gallo or Robert Mondavi tomorrow, she said the idea is to help the local economy and produce local jobs.
Willow Creek finished its second year of wine production in 2011. Bray-Wilde said she currently has 57 acres of vines.
The processing building, which she described as “gorgeous,” will open in two to three months, she said.
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