Alex Bluhm is the owner and wine director of Berman’s Wine & Spirits. This is adapted from his newsletter.

To say that life has been interesting since the announcement of potential tariffs on wine a couple of weeks ago would be an understatement. I’ve been filled with stress, anxiety, concern, and a sense of helplessness. We have an amazing small shop and an amazing community of customers, but we are still a small business and, more than that, a small business that relies on other small businesses in other parts of the world (mostly the European Union [EU]). The impact that tariffs will ultimately have on our industry is unknown, but it is genuinely alarming. I’ve spoken to a lot of our suppliers, a handful of producers, and many of our customers in the last couple of weeks and the overwhelming sentiment is, “How the f**k do we respond to this?” 

Here is what I’ll say: Wine is important and so are the jobs that it creates. The growers are important (no matter where they are in the world), the importers are important, the shippers are important, the distributors are important, the warehouse teams are important, the delivery drivers are important, my team is important and you, as consumers, are important. 

Yes, prices will go up with tariffs. Unfortunately, there is no way around that, although we are working with all the layers of our industry to try to mitigate the ultimate impact on the consumer. Beyond that, though, these tariffs pose a serious threat to all small businesses in our industry. Wine shops like ours are at risk but, even more than us, especially susceptible are the boutique importers and distributors who we rely on that focus on wines from the EU. They depend on small growers and vignerons. The consistent relationships that they have built up with them is critical to our ecosystem. Tariffs work to disrupt these delicate relationships and ultimately undermine the entrepreneurial spirit, risk taking, and cultural exchange that exists in our industry. Small businesses will absorb a lot of these extra costs to remain competitive, but consumers will most definitely be hurt. Here are a few ways that I envision customers being impacted:

  • Prices raised on all goods (not just imported)
  • Missed opportunities with the most sought-after wines because these producers can sell them anywhere in the world and there is little or no incentive for them to “wait” for orders destined to the U.S. market
  • Eroded diversity in the wine and spirits market as importers are not willing to bring in tariffed products, can’t afford to maintain current inventories, and are unwilling to take chances on new products
  • Diminished service as businesses are forced to find ways to save money and ultimately eliminate jobs, and many may, in fact, go out of business

We will not pretend that we are the only industry impacted by these tariffs. Lots of our friends in other industries will be hit by the bitter sting of tariffs and all of us as consumers will most certainly be affected. We genuinely feel for everyone and are hoping for a speedy resolution.

Now for the good news: I am confident in the resiliency of the wine industry and I am confident in our shop. I have talked to many of our partners and customers, and it is amazing how supportive everyone has been. We feel the love and the loyalty that people express towards us and it means EVERYTHING to us. We promise to continue to work hard to find great, authentic, small-production wines that offer tremendous value. We will work hard to find ways to keep the price fair to our clients, and we will continue to offer the best possible service and experience for everyone. Thank you all for your patronage and positive vibes. We will get through this together because that is the only way through!

Want to know how you can help? Write to your representatives and express your concern over the chaos these tariffs will surely deliver and please continue to shop local, shop small, and celebrate all of life’s moments with your family and friends through good food and good wine! 

As always, CHEERS,
Alex

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  1. Pingback: Facing tariffs, a Lexington wine seller tries to stay afloat - The Lexington Observer
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