U.S. Government Shutdown: Impact to Texas Wine & Grape Industry


U.S. Government Shutdown: Impact to Texas Wine & Grape Industry

Probably the last place you would have thought to look for an impact of the U.S. government shut down would be in your glass of wine. Well…could it mean more “For Sale in Texas Only Wine”, maybe even wine with no labels, or maybe even nobody picking grapes to make wine?

WineAmerica reported that due to the continuing debate over the Affordable Healthcare Act, the Federal Government shut down at midnight last night. What does this mean for wineries?

Services deemed non-essential have been suspended:

  • Alcohol and Tobacco Tax and Trade Bureau (TTB) has suspended all regulatory functions, non-criminal investigative activities and audit functions.  This means that all reviews of alcohol beverage labels, formulas and permits will be suspended until funding is reinstated.
  • The TTB has been bogged down with label reviews for quite some time now, and any suspension or services will only exacerbate this problem.
  • Meanwhile, all tax remittances will continue to be processed by the TTB as these functions are deemed necessary for safety and protection of property.

While Congress works to sort out government funding, issues important to wineries remain unaddressed.  The TTB website has posted an Appropriations Lapse Notice.

  • Farm Bill: If the Farm Bill is not reauthorized or extended this year, it will revert to the 1948 version, ending all funding for wine assistance programs.
  • Immigration Reform: Current law (H2-A) is cumbersome and ineffective. Labor shortages are common place and are causing crop and financial losses. We need bi-partisan cooperation to write legislation that works.

From: “Off The NewsVine”, News from the Texas Wine and Grape Growers Association (TWGGA).

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Love to taste, talk and tweet about Texas wines and where they are in the global scheme for wines. After all that's the only way they will reach the full potential.

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