- Allowed wine shipments from not only wineries but retailers, wholesalers and importers, so it was very inclusive of licensees
- Included a state-issued licensing system, so it put licensing authority in the state’s hands
- Included the option for wineries to collect and remit both excise and even sales taxes, so it removed some objections regarding tax collections
- Required wineries to consent to the jurisdiction of the state issuing the license, so it put oversight authority in the state’s hands.
Why can wineries ship to 94% of the adult population, but retailers only 22%? The short answer: commitment to a long-term, national solution. For more than three decades, wineries across the U.S. have worked to implement a legal, regulated DTC sales channel. This channel was never intended to replace, but to augment, the traditional 3-tier system – that is, to work within the system for change. And that strategy has proven successful for consumers, wineries, state regulators and tax collectors. Is it perfect? Of course not; this is legislative politics. But back to the question – why the discrepancy? U.S. Wineries Agree on a Model. Four key wine industry associations* co-developed the Model Direct Shipping Bill back in the late 1990s. The Model DTC Shipping bill was a simple, concise document with important provisions, including: