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What the US wine industry needs from its next agriculture secretary
Declining sales, labour uncertainty, and looming tariff tensions: db speaks to industry insiders about what America’s wine trade needs from the next US agriculture secretary
The incoming secretary of agriculture, taking over from Tom Vilsack when Trump appoints his new cabinet in January 2025, will play a pivotal role in shaping the future of the US wine industry.
From securing critical funding for research and export marketing to addressing labour shortages and trade barriers, the wine sector requires decisive action from the United States Department of Agriculture (USDA).
Last month, db reported on data from the Wine and Spirits Wholesalers of America (WSWA) showcasing the industry struggles. US wine stocking declined by 8% in 2023, while spirits dropped 3.9%. The downward trend underscoring the need for policies that stabilise and support the industry as it competes in both domestic and international markets.
The Farm Bill: A legislative cornerstone
In recent years, at the forefront of the industry’s concerns has been the status of the Farm Bill, a comprehensive legislative package renewed roughly every five years. The Bill funds programmes ranging from crop insurance to pest and disease research, export marketing, and producer grants. Until just days ago (19 November), the most recent Farm Bill had remained expired since it lapsed in 30 September, 2023.
However, in a recent development, on 19 November, Tom Vilsack announced the creation of two new programmes that will help farmers overcome domestic market barriers and recover from natural disasters. While these two programmes are a significant step in improving the status of The Bill, funding for other critical USDA programmes could run out by the year’s end if not addressed.
Michael Kaiser, executive vice president and director of government affairs at WineAmerica, emphasises the Farm Bill’s importance to the wine sector.
“There are a lot of wineries that apply for grants to support promotion, as well as research facilities conducting work on issues like pest and disease management,” Kaiser tells db in an exclusive interview. “These programmes, including value-added producer grants, are crucial .”
Marketing wines overseas
The Farm Bill’s Market Access Program (MAP) is particularly critical, as it helps agricultural producers market their product overseas. In a global marketplace, where nations like France invest heavily in promoting their wine industries, the US risks falling behind without such funding.
“France, for example, spends a lot of money to promote their wine industry. Without funding from the Farm Bill, we can’t do the same,” Kaiser explains. “We’re all competing with each other in the US instead of competing with other countries.”
Kristina Kelley, executive director of the Washington State Wine Commission, echoed these sentiments, noting that Washington wineries rely heavily on Farm Bill grants to fund viticulture research, sustainability programmes, and marketing efforts.
The wine industry is also bracing for renewed trade tensions under President-elect Donald Trump.
Kaiser expressed concerns about the potential for retaliatory tariffs on US wine exports, which would harm producers already navigating a challenging market.
“If he (Donald Trump) is putting tariffs on wine imported from the EU, they’re going to retaliate by placing tariffs on our [American] wine,” Kaiser warns.
Rising tariffs could erode the competitiveness of US wine in key international markets, making programmes like MAP even more essential.
Labour shortages: “the biggest elephant in the room”
Labour remains a pressing issue for US agriculture, and Trump’s promise to implement mass deportation has raised alarm bells for the sector. Kaiser describes the labour force as the “biggest elephant in the room.”
“If the president follows through and deports millions of people, you know, it’s the worst kept secret that a lot of the agriculture labour force is not here legally.”
Although, the wine industry embraces programmes like the H-2A visa for temporary agricultural labour, Kaiser explains, mass deportations could disrupt even legal workers.
“The danger is that even people working here legally could get swept up in it,” Kaiser adds.
Who are the rumoured candidates?
As the wine industry navigates these challenges, the next secretary of agriculture will have a critical role to play, and murmurings of who is in the running have been surfacing in recent weeks.
While there is no obvious front-runner at this stage, some names that have repeatedly surfaced, in no particular order, are as follows:
Glenn “GT” Thompson: The current chairman of the House Committee on Agriculture, Thompson is the descendant of a long line of dairy farmers. He recently announced a US$2 million funding for an initiative called ClearWater Conservancy in Collage Township, Pennsylvania. In essence, the investment will construct a local conservation hub; boosting ecotourism and agritourism in the area. Kaiser describes him to db as a “promising candidate and someone who “understands what the wine industry needs.” He thinks Thompson would be the best choice from a US wine industry perspective.
Charles Herbster: CEO and president of Carico Farms and Herbster Angus Farms, Herbster was appointed as the chairman of the Agriculture and Rural Advisory Committee in 2015. Still a major donor and friend of Tump’s, he was hand-picked to chair the Rural Americans for Trump Coalition in 2024. Despite facing groping allegations from multiple women, Herbster was not charged with any crime and plans to use his ranching experience to “fight for farmers and expand agricultural markets.”
Sarah Frey: Farmer and entrepreneur Frey has been described in the US as “The Pumpkin Queen”. Her farm, Frey Farms, sells more pumpkins than any other farm in the US. Despite a lack of public sector appearances, Trump allies have raised Frey as someone who can appeal to both the mainstream conservative-agriculture sector and supporters of Robert F. Kennedy’s “Make America Healthy Again” push, POLITICO reported.
Sid Miller: An eighth-generation farmer and rancher, Miller is the 12th commissioner of the Texas Department of Agriculture (TDA). Some of his recent initiatives involved giving Texas farmers and ranchers the green light to use the Rio Grande for irrigation after recent heavy rains in Mexico caused runoff into Marte Gomez reservoir.
Jimmy Emmons: Owner of Emmons Farm in Leedey, Oklahoma, Emmons runs an inegrated row-crop and livestock operation with 300 cows and calves. He is also an advocate for conservation management practices to improve producers’ resiliency to weather and operational efficiency. Last week, he posted on Linkedin that he was “very honoured and excited” about the opportunity should it develop.
Other names on the radar, in no particular order, are: Kip E. Tom, Thomas Massie, Mike Conaway, Ted Mckinney, Doug Burgum, Abel Maldonado, Aurelia Skipwith Giacometto, Zippy Duvall, Ray Starling and Gregg Doud.
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