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June 2008
Wine Industry is Slow to Warm Up to Weather Derivatives
Experts say various factors account for hesitation.
by Julie Gedeon
AS A FORMER oil trader, Norm Beal is very familiar with the use of weather derivatives in the energy sector. As the chair of the Wine Council of Ontario (WCO) and president of the Peninsula Ridge Estates Winery in Beamsville, Ontario, he's unaware of any wine producers currently using these contracts to offset the weather-related risks to their business. "I can see how these contracts would be particularly interesting to icewine producers," he...
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