Upload
umpqua-community-college
View
136
Download
0
Tags:
Embed Size (px)
Citation preview
The Southern Oregon Wine Institute: Development of a
Business Incubator to Support the Growth of a Regional Wine
Industry
Chris LakeSouthern Oregon Wine Institute
Umpqua Community College
An Economic Development Project
• Established in Fall 2008• Response to Poor Economic Conditions• Decline of the Timber Industry• Unemployment Rate for Region = 15%• The Institute is created serve 7 counties• Wine Industry in Southern Oregon is Growing
An Economic Development Project
• Regional Economy had High Unemployment in 2009
• Rates Higher than State and National Avg.
• Institute is designed to serve seven counties in Southern Oregon
County Unemployment
Coos 14.1%
Curry 14.5%
Douglas 17.2%
Jackson 13.7%
Josephine 15.3%
Klamath 15.3%
Lane 13.2%
Oregon 12.2%
U.S. 9.5%
Source: Oregon Employment Dept., July 2009
An Economic Development Project
• Service Area = 23742 sq. mi.• Equal to 6149150 hectares
An Economic Development Project• Survey of Industry Needs – 2006• Focus Groups with Industry• College Forms Steering Committee• Economic Modeling by CC Benefits, Inc.• Modeled Growth of Southern Oregon
Industry based on Growth of Wine Cluster in Walla Walla, Washington
The Walla Walla Wine ClusterFactsheet for the Walla Walla Wine Industry Cluster 2010Total jobs in wine production and wine tourism in 2010 1,620 Jobs
Total jobs dependent on the wine cluster including multiplier effects4,833 Jobs
Total earnings in wine production and wine tourism in 2010$69 Million
Total earnings dependent on the wine cluster including multiplier effects $153
MillionTotal jobs (including multiplier effects) projected to be dependent on the wine cluster in 2020 6,850 JobsPercent of all jobs dependent on the wine cluster in 2010 13%
Projected percent of all jobs dependent on wine cluster in 2020 16%
Annual average growth in direct wine cluster employment, 2000 to 2010
20% Annual Growth
Overall growth in the regional economy, 2000 to 2010 9%
Overall growth in the regional economy, 2000 to 2010 absent the wine cluster
-3%
Southern Oregon is Desirable for Growing Fine Winegrapes
Geographic Data = 140,000 Ac. Suitable for vineyards. (56655 Hectares) 40,000 are Prime Vineyard Sites (16187 Hectares)Land Values are Low Compared to Other Wine Regions
Southern Oregon is DesirableOn The 'it' list for 2010 travel, Sunset Magazine, January 2010
“The next big wine country = Southern Oregon
Why we love it: Exciting wines, no crowds, and inexpensive tasting fees.
Go now: Arm yourself with a map from the Southern Oregon Wineries Association and hit the road”.
The Wine Industry is LargeThe US is the Worlds Largest Consumer of Wine in 2011•Total wine sales in the U.S. climbed to a new record of 347.0 million cases, a 5.3 percent jump from 2010, with an estimated retail value of $32.5 billion•This is the 18th consecutive year of volume growth in the U.S.
Of 300 Million People in the US, Only 28 Million Consume Wine
Source: The Wine Institute
Price Per Ton of Grapes, 2008-2009
Source: National Agricultural Statistical Service
VarietyBy
RegionColumbia
River
North Willamette
ValleyRogue Valley
South Willamette
ValleyUmpqua
Valley 2008 2009 2008 2009 2008 2009 2008 2009 2008 2009Cabernet Sauvignon $2,020 $2,100 - - $1,910 $1,770 - $1,500 $1,700 $1,370
Chardonnay $1,250 $1,340 $1,950 $1,620 $1,000 $1,220 $1,470 $1,700 $950 $1,330
Merlot $1,810 $2,180 - - $1,470 $1,800 - - $1,540 $1,010
Pinot Gris - $1,500 $1,400 $1,250 $1,370 $1,330 $1,330 $1,430 $1,320 $1,400
Pinot Noir $2,110 $1,990 $2,820 $2,340 $1,670 $1,820 $2,300 $2,180 $2,000 $2,140
White Riesling $1,080 $1,070 $1,150 $950 $1,280 $1,400 $1,180 $1,240 $980 $1,050
An Economic Development Project• Start-Up Funds Secured• Curriculum Developed• Degree and Certificates Approved• Director Hired in July 2008• Begin Planning for Wine
Incubator
Start Up Funds Secured• Douglas Co. Industrial Dev. Board• Cow Creek Band of Umpqua
Indian Tribe• Wal-Mart Foundation• USDA RBEG• US Dept. of Commerce - EDA
Curriculum Developed• Study of Curriculum from Other
Schools• Industry Input on Outcomes• Modeled on Distance Education
but Includes Face-To-Face components
Begin Planning for Wine Incubator• Based on Winery Type Found in
Regional Industry• Input Sought from Industry• Hire Design Firm w/Wine
Production History
An Economic Development ProjectThe Project Includes: Headquarters for SOWI Student Vineyard Commercial-scale Winery Internationally Recognized
Testing Laboratory Wine Incubator
Wine Incubator
Wine Incubator
Wine Incubator
Wine IncubatorConstruction begun 9/10/10
Completed in December 2011
Local Capital Campaign rasied $2.5 M
Recovery Zone Bonds issued - $4.25 M
Thank You
Chris LakeSouthern Oregon Wine Institute
Umpqua Community [email protected]
Websitewww.sowicellars.com