Wineries Brand
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SUMMARY Presentation........................................................................................................ 3 The Control Board, an organisation at the service of the Wine Region:.................... 4 - Control Board composition and functions............................................. 5 - Plenary and commitees ................................................................................. 8 - Organisational chart ............................................................................... 10 - Plenary decisions..................................................................................... 14 The Board´s financial resources.................................................................. 26 Activity Reports by department: Administrative services............................................................................. 30 Legal department........................................................................................ 31 Communication and Promotion .................................................................... 34 Control department: ................................................................................... 55 - Inspection activities.............................................................................. 57 - I.T. section ............................................................................................. 60 Sales balance: - Rioja sells 263.3 million litres in 2018 .......................................................... 63 - Market Studies: Nielsen, OEMV and Wine Intelligence. Rioja wine gains in value and reputation in the international market .......................................... 64 The 2018 harvest in the DOCa Rioja. Good year-end closing marked by uncertainty and tension .............................. 66 Statistics. Rioja in figures: - Development of vitiviniculture in the DOCa Rioja ............................... 68 - Production and vinification....................................................................... 70 - Viticulture in figures ................................................................................. 72 - Winery statistics............................................................................... 76 - Sales statistics........................................................................................ 78 PUBLISHED BY: CONTROL BOARD OF THE RIOJA DESIGNATION OF ORIGIN Edited by: Javier Pascual Corral Translated by: TRINOR Printed by: Gráficas Quintana, S.L. 2 3 PRESENTATION Rioja is a vibrant and dynamic brand and that is what we have demonstrated in recent times. Our campaigns focus part of the promotion on the new geographical indications which, Fernando Salamero, president of the Control Board together with traditional barrel ageing, complete our portfolio and reconcile our interest in valorising a type of wine that reflects that I would like to take the opportunity offered by this which is closest to us, the terroir. communication channel of the Control Board to send my greetings This year we have taken a step forward pioneering and convey my respect for and appreciation of all those who, in leading advances in quality assurance and we have done so some way, feel and live this Wine Region as their own. For all by recovering the concept of voluntary qualitative stock, a novel those who have contributed their bit to make Rioja one of the system that operates at the individual, collective and qualitative best-known brands on the international scene, which is studied in level, improving the performance levels proposed by the wine prestigious business schools. industry in 2007. The preparation of this annual report is a good moment to Rioja is the land of a thousand wines where its three zones take stock and examine, always with the aim of improving, how and 144 municipalities allow us to celebrate our diversity while 2018 went and what conclusions we can draw to improve 2019. we continue to perfect our quality model; a model created by all Undoubtedly 2018 was a complicated year where the key figures and for all, the key to our success and the basis of our renowned were, once again, the 14,800 grape growers and 600 wineries brand. Rioja is above passing fads, always remaining true to its that demonstrated great professionalism, making it possible for roots, to all those decisions taken by those who led the region Rioja wines to be present in more than 130 countries around the throughout the years, to our landscapes, to our varieties and to world. our people. As I committed myself in June of 2017 when I became Rioja has become great thanks to those many small stories president, our goal is to reach 2020 having met the ambitious of previous generations: brave grape growers and ambitious challenges of our Strategic Plan. And we have to be proud of winemakers who believed, defended and made a commitment it. Together, we will keep making Rioja a great brand and the to this valley, its tradition, its diversity and its origins to lay the natural region where a global benchmark stands out both for its foundations of its future, today our present. high quality wines and for the consolidation of the territory of Immersed in this process of improvement, Rioja continues to the Denominación de Origen Calificada Rioja as a leading wine look forward to the future, taking giant steps and proving that it tourism destination, receiving more than 810,000 visitors a year is a living brand that moves towards new times in search of new in our wineries. consumers with new messages, new codes, new colours and new I am optimistic about 2018, a vintage that will be showcases 3.0. remembered as 'good'. It is a year that, despite complications I feel optimistic and confident about the maturity of the sector marked by tension and uncertainty, and adverse weather that and 2019 will be a crucial year to continue working hard and played us a nasty trick, leaves us with a pleasant taste in the taking on market recovery. It is going to be the year when Rioja mouth and satisfactory results. emerges even stronger from this transitory situation and advances Annual sales figures show an obvious decline with respect to in this new stage with the sole objective of increasing our value to the previous year, with a drop of 7.35%. Almost 29 million bottles reinforce the leadership of our wines both at home and abroad. less in the markets do not help, but neither do they alter our status, Rioja knows what it is and wants to tell everyone. We will be a the situation in Rioja continues to be balanced. This is because delighted if you continue to accompany us. we are lucky to have sufficient ambition and resources to be able to face the future with peace of mind. 2 3 DOCa RIOJA CONTROL BOARD AN ORGANISATION AT THE SERVICE OF THE WINE REGION History The enactment of Law 25/70 of 2 December 1970, which approved the Statute on Vines, Wines and Alcohols, Rioja wines are covered by the oldest Designation of and the subsequent creation of a new Control Board marked Origin in Spain. The modern Rioja was born in the late the beginning of a process to improve control systems which 19th century, establishing a clear link between the name of eventually stood among the strictest and most effective in a product and the place where it was made. This sparked the world. growing concerns among Rioja's grape growers and The renewal of the Control Board in May 1982 (in winemakers who sought to firmly guarantee the quality accordance with the regulations set out in Decree 2004/79, and authenticity of the wines produced in the region while adjusted to the new democratic principles proclaimed by protecting its identity against “usurpers and counterfeiters.” the Constitution) was the beginning a new stage which These concerns where finally addressed with the official saw the gradual introduction of a perfectly articulated plan recognition of the Rioja Designation of Origin on 6 June of both qualitative and quantitative controls applicable to 1925, authorising the use of the word RIOJA as a collective both production and sales: vineyard and winery registers, brand to be put on the labels, as well as a special bottle control of growing practices, maximum production yields, seal. The legal basis for this measure had its precedent in the an approval process for new wines, monitoring of ageing 1902 Industrial Property Act, which mentioned “indications times and vintages, etc. of provenance” in Title IX. At the same time, unlike previous stages, the Control The Royal Decree of 22 October 1926 created the Board increased its budget allocation, infrastructure and first supervisory body of the Rioja Designation of Origin, a staff to meet the demands posed by the strict fulfilment of its Control Board whose mandate was to demarcate the Rioja purpose, namely defending the designation, controlling and production area, control the issue of guarantee seals and fostering quality and carrying the promotion of the generic recommend legal measures to be taken against “usurpers Rioja brand. All this was funded with the contributions from and counterfeiters of the Rioja brand.” The regulations were grape growers and wine producers, whose representatives approved in February 1928. have prompted self-controlling regulations that are The enactment of the Wine Statute on 8 September considerably stricter than those of the European Union. 1932 provided a new legal framework for the development The culmination of this process came in April 1991, of designations of origin, most of which were already with