Wineries win reprieve with governor's new health order

Aug. 2--New Mexico's decision to renew its public health order for another month included a little-publicized update to state restrictions that may help wineries and distilleries bring in more business during the COVID-19 pandemic.

Gov. Michelle Lujan Grisham's order Thursday now allows wineries and distilleries to operate in the same way as other food and drink establishments such as restaurants.

That means they're now able to operate outdoor tasting areas, which had previously been prohibited unless they also served food. Like at restaurants, indoor seating will not be allowed.

The move is likely to help the state's wine industry at a time when sales have taken a huge dive amid pandemic restrictions, and owners have said a glut of inventory could harm grape growers and harvests for years.

"We are thrilled to finally be included in the orders," said Dixon-based Vivác Winery's co-owner Michele Padberg. "This adds to the experience for people visiting us, and the best part is it will increase sales. When people can taste a few wines, they purchase more."

Vivác, which has tasting rooms in Santa Fe and Dixon, was previously allowed to sell glasses and bottles, but not offer tastings, Padberg said.

The wine industry had been urging state leaders to reassess their restrictions on wineries during the pandemic.

The New Mexican reported last week that wineries said their sales were plunging as the state was applying different restrictions on the wine and beer industries, relaxing some constraints on breweries while keeping wine tasting areas shut.

New Mexico wineries said sales in their tasting rooms had fallen by an average of 77 percent since the pandemic started, according to a survey published by the National Association of American Wineries.

Jasper Riddle of Noisy Water Winery in Alto said his company's sales fell 80 percent in April, and he expected 2020 revenue at his Santa Fe tasting room to be only 40 percent of what it was in 2019.

"My real fear is that we're going to lose some vineyards," Riddle said before the order was updated. "If we're going to lose vineyards, we're going to lose our whole industry."

But the updated order may give those vineyards a lift because wineries that don't serve food will now be able to reopen their tasting areas.

"That's the big win here," Padberg said.

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