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Ted W. Hall owns the 600-acre Long Meadow Ranch, perched atop the Mayacamas
mountains in Napa Valley. The ranch is the nation’s first ultra-premium
organic winery and olive oil frantoio. At its heart lies a striking, V-shaped
olive oil and wine facility—designed by famed architect William Turnbull—built
of earth excavated from the ranch itself. Before turning his hand to winemaking, Hall was a senior partner at McKinsey & Co. In January he was
elected chairman of the Robert Mondavi Corp.
I grew up on a small farm in western Pennsylvania, near the Ohio River, where
my mother was an organic gardener in the late 1940s. We were living in this
beautiful rural place because my father was working on a secret project during
World War II to help develop artificial rubber. It was an odd juxtaposition: My
father was a chemical engineer, and my mother an organic gardener. This pairing
had an enormous influence on my work and life philosophy. I began to understand
with both my head and my heart that an organic approach to farming actually
results in higher quality and lower cost, while providing genuine consumer
benefits.
Later, as a graduate student at Stanford University, I began making
amateur wine in 1971. Our first “estate” was a garage in Santa Clara. Later we
moved to a cellar under a house in San Francisco. I produced wine for 17
consecutive years, and won a lot of amateur awards. More importantly, I made
some really bad wine. This good and bad experience very much informs our
approach to winemaking today.
During the late 1970s, vintners were pushing
the envelope by using California mountain fruit and American oak barrels to
pursue “monster” wines. The wines were tannic blockbusters, with highly
extracted fruit and dark color. But the wines were often high in alcohol—at the
extreme they reached 17 percent. I, too, experimented by producing many bottles
in this intense style. When the wines aged a bit and the fruitiness of the young
wine dissipated, I ended up with cough syrup and toothpicks. However, what I
learned was that mountain conditions could enable fruit to attractively ripen
without necessarily developing high sugar levels.
Growing above the morning
cloud layer rolling off the Pacific Ocean, the vines enjoy at least 45 minutes
more sunshine every day than in other coastal locations. This permits the fruit
to ripen beautifully. The cooler air at this higher elevation allows the vines
to maintain a proper equilibrium between sugar and acid. These mountain
conditions also create the opportunity to make an elegant, balanced wine with
moderate alcohol levels—a wine that is an authentic complement to food.
Organic Iconoclast In 1989, we set out to apply this hard-won experience
and create a world-class wine using mountain fruit. We wanted a wine that could
compete with the best in the world—and one produced with sustainable, organic
farming methods. At the time, people thought I was really loopy. Making truly
world-class wines had never been accomplished using organic methods. Moreover,
successfully employing organic methods in the “wild” mountains was completely
unproven. Even today many people still think I’m loopy. However, I am not some
guy in a tie-dye T-shirt pursuing an alternative philosophy. We have a mission
to demonstrate that sustainable, organic farming creates a socially responsible
work environment, and that our methods create products with higher quality, at
lower cost, with actual consumer benefit. We are not engaged in philanthropy for
foodies. We are proving that our techniques are an economically viable approach
with high-quality results for our customers, our employees, our neighbors and
our land.
But making our point will take a long time. I’m still considered
the new kid on the block. We always laugh at that, because we launched our
venture more than 15 years ago, and I’ve been making wine since 1971. We have
now produced 10 vintages at Long Meadow Ranch, but in the wine business it takes
at least 20 years to develop a reputation. If you have designs on crafting a
fine red wine, eight years will pass from the time you first break ground until
your first bottle is on the market. Then the wine will need to age for several
more years before anyone can really assess it. After 15 long years, we are just
now entering the period when people can really judge our success.
 | | “OUR FARM has literally hundreds of interrelated loops that operate in a
virtuous cycle of life. It’s simply a return to
a centuries-old system of family farming that was continually self-sustaining.” | At Long
Meadow Ranch we rely on an integrated, sustainable, organic farming system to
accomplish our goals. The ranch is a tightly interwoven system of
interrelationships. We produce grapes and wine, olives and olive oil, grass-fed
Scotch Highland beef, vegetables, eggs and flowers. We even breed Appaloosa
horses. Each part of the system contributes to the whole. For example, producing
grapes and olive oil together creates many shared benefits. We harvest grapes in
September and October, and we harvest olives in November, December and January.
Then we prune grapes in late January and February, and we prune olives in March
and April. By May we are back working in the vineyards, suckering and performing
weed control. Because these two principal crops are so complementary over the
course of a year, this creates a level workload for our farmhands. Thus we don’t
rely on seasonal farm workers: We suffer no seasonal turnover, no loss of
valuable training and no uncertainty about whether someone is going to show up
next season.
By producing both grapes and olives, we can use the same picking
equipment (bins, trailers and tractors) for two crops instead of one, creating
capital efficiency. Similarly, the combined wine and olive oil processing
facility shares a boiler and various tanks, hoses and clamps. That’s another
layer of resourcefulness.
 | | “WE ARE not engaged in philanthropy for foodies. We are proving
that our techniques are an economically viable approach with
high-quality results.” | We also enjoy marketing efficiencies. We fervently
believe that wine is food, not something to be sniffed, spit and evaluated.
Because we produce outstanding organic olive oil, beef, eggs and vegetables, we
can approach the market place as a purveyor of fine food—not as a wine
salesperson. So we enjoy marketing synergies unavailable to a mere winery. I’m
the only guy in America who can walk into a fine restaurant such as Gotham Bar
and Grill in New York City and sell both wine and olive oil. When closer to
home, I can offer vegetables, beef and eggs, too.
Fertile Synergy Our approach creates many other opportunities. Wineries
create waste (for example, pomace and stems), which they usually pay to have
removed. Then they have to buy fertilizer. We skip both steps. Because we create
a by-product of olive oil that is very high in nitrogen (an essential ingredient
for composting), we were able to produce 300 tons of our own compost last year.
We used it to fertilize our vineyards, orchards and vegetable fields. Over and
over again we enjoy capital efficiency, labor efficiency and marketing synergy,
all of which lead to lower costs.
Our vegetable operation is yet another
example. Last year we raised 60 varieties of rare heirloom tomatoes, sunflowers,
basil, beans, corn and other vegetables. We’ll take our really beautiful
tomatoes and sell them to fine restaurants. One of our best customers in Napa
Valley is the chef at Auberge du Soleil. We’ll take the tomatoes that aren’t
quite top-notch and sell them at our roadside stand or at the farmers’ market.
Our third-class tomatoes are sold to a great little drive-in restaurant, where
they’re made into gazpacho. If the tomatoes aren’t good enough for that, they
are fed to our organic chickens. Because they eat fabulous tomatoes and veggies,
the chickens lay spectacular eggs with yolks almost neon-like in their color. We
then get to sell the eggs to Auberge du Soleil.
There are even more
efficiencies here. Because we raise our poultry near our vegetable fields, we
have no cost for poultry feed—we feed them our leftover vegetables. When the
crop season is over, we have mounds of organic matter (old pumpkin vines, dead
tomato plants, etc.) that go into a nearby compost pile. Here we use chicken
manure as the source of essential nitrogen. When spring arrives, the compost is
ready to go back on the field as fertilizer.
Our integrated system also
enables us to sustain and regenerate our land. Our land is alive. We don’t use
herbicides, pesticides or chemical fertilizers. We make extensive use of cover
crops, which provide nitrogen to the soil, prevent erosion and create habitats
for beneficial insects. The helpful insects, such as ladybugs, manage the pests.
By creating topsoil, eliminating erosion and protecting the diversity of
species, we are constantly improving the biological community on our
property.
Our farm has literally hundreds of interrelated loops that operate
in a virtuous cycle of life. It’s simply a return to a centuries-old system of
family farming that was continually self-sustaining. Every element in our ranch
makes a positive contribution to the whole. If I would stop producing olive oil,
ironically it would raise the cost of producing wine, and vice versa.
The
most satisfying thing we do is to foster imitators, and we are beginning to see
more of them. Altering farming methods, however, is a slow process. Moving
toward sustainable, organic farming is a long-term process. Nevertheless, I am
convinced that at least one-quarter of Napa Valley vineyards will be organic in
10 years; only 4 percent to 5 percent are now. Maybe a handful will also raise
something other than grapes. We’re proving that this works. I’m optimistic about
the future.
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