Friday, September 11, 2015

How Champagne is changing the global economy

Photo: network

Champagne shaped France wine world, affected the wine industry in the world, or even change the world. Wine in the 19th century became a industry, part of the reason is that wine is a capital intensive industry, while some private winery (Cook, MOET et Chandon, etc) and the Champagne region under the impetus of the cluster brand, gradually became a luxury wine. The fashion capital Paris and the subsequent pursuit of fashion in the world of consumer or money comparisons, or out of love for wine or for the pursuit of quality of life, of champagne in droves. By the middle of 20th century, came to the heyday of the champagne industry. However, followed by a series of disasters ensued.

In 1890, caused by the phylloxera plague swept through the Champagne region, high-end champagne production dropped sharply. Winery takes the measures of cultivation back from United States immune grapes, this is a huge pest damage. Unscrupulous producers came up with a simple way to compensate for the shortage of raw materials – from the South of France (France South) buy grapes, grape juice or wine, a short process to copy the real champagne.

Unscrupulous businessmen to benefit, but for other champagne houses are two-hit, because champagne as a collective brand, its quality is a winery in the area of common values, unscrupulous businessmen will undoubtedly lead the champagne brand value impairment. In 1906, France adopted a weaker binding on the Government's anti-fraud laws in 1907 and launched a strong binding named controls of origin provisions. Time, the South of France broke out in the small Manor planted quite a stir, because the black market has the potential to end of life or death for them.

Called name of origin controlled refers only in France the Champagne region, selection of specified grape varieties, brewing in accordance with specified production processes of sparkling wine can only be labeled as champagne (Champagne). However this requirement has also brought a new problem-the origin of the boundary where, and who is to decide the boundaries.

Located within the boundaries of the winery will no doubt have a higher value. When France broke out so much controversy even evolved into violence. In 1911 when, after this line has finally been published, controversy again escalated into war between champagne and unscrupulous businessmen. Of course, the boundaries protect the brand has also undermined some brands.

Name of origin controlled and pests end past champagne ushered in a short-lived golden age. However, happened next almost destroyed again difficult to revive Champagne: the fall of the Tsar of Russia, let champagne lost a big market, followed by the outbreak of world war I destroyed the supply chain at the same time, many plantations itself also suffered through the baptism of fire.

Relative to the economic difficulties brought back two years to the Champagne region Winery's reputation. Because unscrupulous businessmen hard to buy inferior wine from the South of France is shoddy, but the winery itself also faces a choice between quality and yield. Wineries may choose to sell defective champagne, achieving small profits but quick turnover, but they soon realized that champagne will thus by ruining its brand value.

Eventually, the State administration of name of origin (the Institut National des Appellations d'Origine,INAO) was established in 1935. This Government is committed to better implement the named controls of origin provisions, champagne, claret and other France wine regions to set industry standards. Subsequently, the scope of the jurisdiction of INAO will expand to a special brand of chicken, eggs and cheese. Eventually, the INAO became the umbrella of many high quality brands.

Designed to resist foreign influence and national gradually became saboteur named system of origin a protection mechanism. Threats everywhere, security is no longer particularly valuable economic times, the idea quickly spread around the world. Name of origin systems, first in France become a law, was eventually almost all countries included in the legal system.

INAO defined methods and rules by the European Union like Rockford boilerplate used to protect sheep milk cheese and feta cheese to the European brand, make it safe from malicious imitation of foreign brands. Then, as we have seen, the origin systems in the EU has also been absorbed by the World Trade Organization for reference.

Champagne and unscrupulous traders of game even further to influence the development of global intellectual property rules. In this world, and champagne is champagne, Locke is the Baroque sheep sheep milk cheese and cream cheese, Parma ham is Parma ham, but not offered anywhere.

Perhaps because of the Champagne region wineries first had the idea for the protection of property rights, other regions producing sparkling wine must not be called "champagne" by that name. Even in Switzerland there is something called "champagne" town, where the wine farming from 1657 began production of sparkling wine, in accordance with EU regulations, however they cannot be referred to as "champagne", but only a "Switzerland of champagne". It is the law!

(Compilation: Han Hong) How Champagne is changing the global economy

Source: fortune.com

Original title: How Champagne changed the global economy

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