The global outbreak of the novel coronavirus has had a devastating impact, particularly for North Coast vintners who rely on glass bottles sourced from China. The timing of the outbreak coincided with the peak ordering season for smaller wineries, causing disruptions in the supply chain. Despite the challenges, efforts are being made to resume production and explore alternative sourcing options.
M.A. Silva USA, a wine packaging supplier, has managed to maintain reliable deliveries by planning ahead and staying in constant communication with customers and manufacturers worldwide. However, the situation is further complicated by the existing U.S. tariffs on Chinese goods and ongoing investigations into levying additional duties on glass containers from China.
This crisis comes at a time when vintners are investing more in marketing and considering changes to their packaging. Middle-market vintners, in particular, have been seeking alternative sourcing options for high-quality glass bottles that offer design features beyond standard options. China has been a popular choice due to the additional options and competitive pricing it offers.
While cost considerations are important, established wineries are also looking for bottle sources that align with their brand values. Purchasing from U.S. glass manufacturers provides a higher level of service, flexibility, and a stable supply of quality glass. However, domestic manufacturers currently cannot meet the demand of North American wineries.
Some wineries have turned to international suppliers from Europe and Asia to find the best packaging options that reflect their brand value. Recently, there has been a trend of vintners “trading up” their packaging as their market presence grows. They are exploring environmentally friendly options, such as bottles with high recycled content, to reduce their environmental impact.
Companies like Ardaugh Group are prioritizing sustainability and investing in energy-efficient production facilities to reduce emissions and optimize resource usage. Wineries are also considering the full life cycle of their packaging, focusing on recyclability and innovative ways to reduce their carbon footprint.
Overall, the global outbreak and its aftermath have presented significant challenges for the wine industry, particularly in terms of sourcing glass bottles. However, efforts are underway to adapt, explore alternative options, and prioritize sustainability in packaging choices.