Should Wine Labels List Ingredients?

TTB is considering rule changes that would require ingredients
and nutritional information on wine labels.

By Jeff Siegel

The U.S. Alcohol and Tobacco Tax and Trade Bureau (TTB), the federal agency that oversees alcohol regulation, is currently considering proposals that would require wine producers to include ingredients, calories and the like on wine packaging. In other words, the same information that’s on canned chicken soup, vegan sausage and soft drinks.

Technically, the process is just starting — it’s called Advanced Notice of Proposed Rulemaking, or the “pre-rule” phase — meaning the agency is asking for comments and will consider all responses. If there are enough comments supporting the proposal, the agency could move to a Notice of Rulemaking, which requires another comment period before a final decision. All told, the process could last well into next year, and an agency spokesman said there is no timeline yet for how the process might proceed.

Still, it’s a change that many in the wine business say can’t come soon enough.

Define and Embrace the Change

“Some wine industry players will still resist the change to labeling,” says Rob McMillian, Silicon Valley Bank executive vice president and founder of its wine division. “I think the industry should advocate for what the change [will] look like. If I had a vote, I’d advocate for giving the consumer what they want. Then we become the poster child for transparency in ingredient labeling that the rest of the alcohol industry could emulate.”

So what would such labeling look like? There’s no indication yet about what ingredient listings would have to include. Would it be enough to generically use the word “grapes,” or would it require naming specific grapes? What about grape juice products like Mega Purple, used to add color and sweetness? And would oak barrel alternatives, like chips and dust, have to be listed?

The European Union recently started a similar labeling trial using QR codes that are linked to a website that contains complete information. EU’s on-bottle labels will require calories and allergen information; the website can include almost everything else. It will move to full compliance in 2023. 

The Timing Is Right

Many are wondering why the proposal for ingredient labels is gaining traction now after almost 20 years of inaction (save for a voluntary rule in 2013 that is almost universally ignored). There are several reasons.

First, because of a growing awareness that younger consumers want the labels. “As consumer behavior continues to evolve, authenticity and transparency are becoming the norm,” says Michael Wangbickler, the president of Balzac Communications & Marketing in Napa, Calif. “The growing trend is that consumers want to know more about where their food and beverages come from and what they contain. Frankly, I don’t understand the resistance and fear involved in the decision [to add labels]. It’s time for the industry to embrace change and catch up with the rest of the consumer goods marketplace.”

Additionally, improved technology, like the EU QR code initiative, which will make it easier for small producers to add the labels. This has always been a key obstacle, since more than 80 percent of  U.S. wineries make fewer than 5,000 cases per year.

Finally, to address the growth in so-called “healthy wines,” which claim to be better for you but seem to be mostly like every other wine. The TTB has warned producers to stop making these kinds of health claims, and ingredient labels and nutrition facts would make sure they don’t.

Too Soon to Tell

Right now, few are willing to predict what will happen. A Wine Institute spokesman said the trade group wasn’t aware of any proposed rulemaking; a WineAmerica spokesman declined to comment since nothing was official yet.

And there may still be resistance in the industry to the idea. For one, says Jane Kettlewell, a New York City wine marketer, the technical issues involved in accurate ingredient labeling may still be overwhelming. In addition, she asks:  “Will listing nutritional content inspire Gen Z to make a detour to their nearest wine store and give wine another look?”

That may be the biggest unanswered question.