Posted at 22:41h in Wine industry by 0 Comments
This doesn’t relate directly to Israeli wine (except insofar as Richard and others are trying to bring Israeli wines direct to American consumers, skipping wholesalers and retailers) but since it talks about Maryland, where I’m from, and relates to why I can’t get good wine shipped to me when I visit the US or to have others bring me, I’m pointing it out. I’m the blogger – I can veer off topic if I choose.
Examiner.com (don’t know what it is) published an op/ed by the Cato Institute’s director of government affairs on the ridiculousness of the three-tier system here in an article Legacy of Prohibition Lives on in Maryland. Three key paragraphs, specifically which relate to those who might want to find Israeli – or other – wine that they can’t get at their local wine store:
Yet the vestiges of Prohibition live on in our state and country, most notably in the laws that govern the sale and distribution of alcoholic beverages. In addition to repealing Prohibition, the 21st Amendment turned regulation of alcoholic beverages over to state government.
Most states, including Maryland, adopted some form of the so-called “three-tier” distribution system. Under this system, producers cannot sell their wares directly to consumers. In fact, they cannot even sell directly to grocery stores, restaurants or other retailers. Instead, they are required by state law to sell their products to wholesalers, who in turn sell to retailers, who then sell to consumers. Of course, each step in the process leads to an additional markup so in the end, consumers spend a lot more for the beer, wine or spirits than they should.
High additional costs are only part of the problem. Because consumers cannot purchase alcohol directly from producers, it can prove impossible to track down rare bottles of wine, beer or spirits. The complex arrangements among manufacturers, wholesalers and retailers have limited the availability of rare and boutique wines, beer and spirits — especially products made by small brewers, distillers and vintners, which often lack the volume and resources necessary to market their products to distributors. It has placed consumer options fully in the hands of wholesalers and retailers.
Incidentally, this has also been making the rounds of the wine blogosphere lately because, apparently, Wine.com – which has a decent selection of Israeli wines, I should add — has been contacting legal authorities and snitching on its competitors for shipping to Washington State, when the competitor lacks the permission to ship to WA.
If you want to say “No” to the Three-tier system check out Wine Without Borders blog or the “Free the Grapes” lobby (sponsored by the wine industry) to try to break down the system.
