Concha Y Toro

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Concha y Toro is the Penfolds of Chile, simultaneously producing some of Chile’s greatest wines in limited quantities (Don Melchor, Carmín de Peumo, Amelia, Maycas del Limarí Quebrada Seca Chardonnay, etc.) as well as large volumes of high-quality brands such as Casillero del Diablo.

Based at Pirque in the Santiago region, it is Chile’s largest vineyard owner, with over 6000 hectares of vineyards spread throughout the country’s many wine-producing regions. The company also buys in grapes of a similar quantity to that produced in its own vineyards. The diversity of soil types, climates, aspect and altitude has enabled the company to develop an impressive repertoire of grape varieties, each of which is sourced from vineyards best suited to its needs.

Concha y Toro has expanded almost beyond recognition from its humble beginnings in 1883, when liberal politician Don Melchor de Concha y Toro and his wife Doña Emiliana cultivated their first vineyards from Bordeaux vine cuttings. After Don Melchor died, his son took over, and the 1930s saw the company’s first exports – to the Dutch port of Rotterdam.

In the 1950s, the Guilisasti family came on board, eventually taking over the majority share of the company in 1961. Under its direction, Concha y Toro gradually established its name through value-for-money, well-made varietal wines.

From the end of the 1980s onwards, Concha y Toro led the way in boosting Chile’s export profile. A large part of their success was down to the development of a number of big wine brands, including the joint-venture Almaviva winery in collaboration with Mouton-Rothschild, launched in 1997. More recently, the company purchased vineyards in California in 2011, proving that it certainly hasn’t lost its thirst for new and exciting projects.

Concha y Toro has continued to develop and modernise over the past few decades and, with vineyard holdings from Limarí in the north to Bío Bío in the south, it is well placed to do so. Winemakers Marcelo Papa (responsible for Casillero del Diablo, Marqués de Casa Concha and Maycas del Limarí) and Ignacio Recabarren (responsible for Trio, Terrunyo, Amelia and Carmín de Peumo) have spearheaded an impressive rise in quality. Their winemaking skills and the great vineyard resources of Concha combine to make some of Chile’s best wines.

Chile

The Spanish conquerors introduced vinifera vines to Chile, and with them the establishment of vineyards for winemaking, in the middle of the 16th century, and the area around the capital Santiago has a history of winemaking stretching back nearly four and a half centuries.
By the middle of the 19th century the Chilean wine industry was well established, but was making fairly rustic fare and it was a well-travelled local called Silvestre Ochagavia Echazzarreta who, in 1851, brought a French winemaker and a cargo of vine cuttings back from his travels to France and set a new era in motion.

Robust domestic consumption kept demand, and tax revenue, high in the 20th century until domestic drinkers turned away in the 1970s and 1980s and many vineyards were pulled during the unsettling political upheavals of the former decade. The return of democracy stimulated investment and growth and a forward thinking, export oriented industry pointed to a brighter future.

Quality begins, absolutely in the vineyard. In the last ten years Chile has begun to plant vineyards not just by matching variety and climate, which it has done very well up to now, but by mapping and analysing soils before planting. This new generation of soil-mapped vineyards planted in the last decade, with higher density, rootstocks and drip irrigation, or no irrigation, is now just starting to bear fruit and will revolutionise the quality of Chilean wines.

Chile became first known for its cheap cabernets and merlots made from high yields in the fertile, warm, flat, flood-irrigated Central Valley. However, Chile is no longer a cheap country to buy from. Its economy is based on copper. It is the world's largest producer. Booming demand from China has seen its currency, the peso, strengthen, much like the Australian dollar which has been buoyed by its mineral resources. Labour for the wine industry is becoming more expensive and scarcer as it has to compete with the highly profitable mining industry which can afford to pay more. Energy costs have risen rapidly. It is estimated that half the vineyard area of Chile, about 62,500ha, is less than 15 years old. It probably takes 8-20 years to pay back a vineyard, and about 30 for a bodega. In Spain one can buy lovely 60-year-old-vine garnacha from co-operatives in Calatayud or Navarra at very cheap prices. The capital costs of the vineyard and winery have long been absorbed and the old vines offer lovely quality too.

There are massive viticultural possibilities. This remarkable 3,000-mile-long country includes all the world's climates apart from sub-tropical and tropical. Grape varieties need different climates to prosper and Chile can accommodate them all.

Many of Chile's cheap wines came from the flat, fertile and warm Central Valley, ideal for ripening large crops of very good entry-level wines. Before the advent of drip irrigation only these flat vineyards were suitable for flood irrigation. However, these flat lands were also situated in a warm climate and had fertile soils. The availability of drip irrigation allowed the planting of the cooler and less fertile south facing slopes, and availability of rootstocks allowed a greater diversity of soils to be planted.

From Elqui in the north to Rapel in the middle of the country the rainfall increases from 90mm to 550mm. This lack of rainfall means Chile is free from most fungal diseases and has some of the healthiest grapes in the world. Water reserves from snow in the Andes, and the advent of drip irrigation (a vine needs about 700mm a year to survive) has allowed cool south-facing slopes, with less fertile soils, to be cultivated and yields controlled. From Maule down to Bío-Bío rainfall increases from 550 to 1,500mm and there are many unirrigated vineyards here.

As well as the north to south dynamic, there is also a huge temperature variation east to west. Dr Richard Smart, a viticulture guru, says that to combat global warming viticulturists should head to the mountains or to the coast. Chile has both. More vineyards are being planted in the Andes mountains up to 2,000m, where average temperature decreases by 0.6°C with every 100 metres of altitude. The coast, cooled by the 14°C Pacific Ocean, has spawned a remarkable recent growth in vineyards. First came Casablanca (1982), then Leyda (1998), swiftly followed by Limarí (2005), Elqui, Aconcagua and Rapel.
In between, the Central Valley and its offshoots like Apalta and Peumo are much warmer and are typically ideal for carmenère, and the southern Rhône varieties which are starting to appear, or for ripening large crops of cabernet and merlot to make cheaper wines.

If Chile has successfully understood the matching of climate with grape variety, what it did not do, until recently, other than by accident, was to match the climate and variety with the right soil. There has been a step change in the quality of vineyards planted in the last 10 years or so. Knowledge about the soil following scientific analysis, appropriate planting density, choice of rootstocks, excellent clonal and massale selections of grape varieties, ability to plant cooler and less fertile south-facing slopes with the advent of drip irrigation (flood irrigation can only cope with virtually flat land) have all conspired to revolutionise the quality of vineyards planted in the past decade or so.

For a more detailed examination of Chile and its regions please go to our How To Buy Chile section of our web site.