The U.S. wine market, which has generated nearly $64 billion in sales, is expected to experience a compounded annual growth rate of almost 7% by 2030.
Even so, securing financing to grow can be hard for wine business owners, and more so for people of color. But a new effort by the Association of African American Vintners (AAAV) hopes to change that.
In the first quarter of 2023 the association will award $5,000 grants to five Black-owned, AAAV-member businesses to help augment their operations, marketing, or innovation efforts. Based on a report by the Wine Industry
Advisor, backing for the program is occurring now, led by a $5,000 grant from the H-E-B grocery chain. Applicants must be existing AAAV members at the grower, vintner or negociant (wine merchant) level.According to the AAAV website, “With less than 1% Black ownership within the U.S. wine industry, we are establishing a grant to stimulate growth and sustainability of Black wine producers and entrepreneurs. We are excited to launch this initiative to deepen our commitment and impact in making the wine industry more equitable and inclusive.”
Funding for the initial AAAV Wine Entrepreneur Grants opens next month. The push to raise the $25,000 comes as the AAAV celebrated
two decades of advocacy for diversity and inclusion in the wine industry this year. “Until now, we’ve been primarily focused on scholarships and paving the path for people of color to enter the wine industry,” stated Longevity Wines founder and winemaker Phil Long, who became president of AAAV in 2020.He added, “We are starting our third decade with a new commitment to provide tangible help to our members in breaking down barriers and building successful businesses. Our new wine entrepreneur grant program is just the first step.”
The AAAV reported that its mission is to “increase diversity in the wine industry, build awareness of Black winemakers and provide guidance and financial assistance to students from underrepresented minorities pursuing careers in the wine industry. Founded in 2002, the AAAV reports it has grown to more than 200 members with over 60 wineries and wine brands.
AAAV Executive Director Angela McCrae said, “access to capital and land is essential for true equity and inclusion in the United States. Only 2% of agricultural land ownership is by Black, Indigenous or people of color in this country, so we still have a long way to go. With the help of our supporters and wine industry leaders committed to a sustainable and inclusive future, AAAV will provide access to capital for growing wine businesses.”
James Harris, H-E-B’s Sr. Director, Diversity & Inclusion and Supplier Diversity, stated, “H-E-B is happy to support this important endeavor. We realize that to make small and diverse suppliers better at their craft to help us better serve our customers, it requires funding, education and research.”
Check here for more details about the grants and this for the fundraising efforts.