According to a survey of wine industry professions conducted by Robert Smiley, professor and director of wine studies in the Graduate School of Management at the University of California, Davis, industry leaders are optimistic about the direction the wine industry is taking. The results of the survey will be reported tonight during the Wine Industry Financial Symposium.

From UC Davis News & Information:

The respondents predicted that 2007 will bring a shortfall in the wine grape crop from the Central Coast, resulting in a shortage in the supply of several wine grape varieties including pinot noir, chardonnay and zinfandel.

When asked to name the top five factors affecting growth of California wine sales in 2007 compared to 2006, the respondents cited the perceived health benefits of wine and new laws that enable winemakers to ship wines directly to consumers. They also noted that wine is becoming more of an everyday beverage in many U.S. homes, much as it traditionally has been in Europe.

The major challenges to growth in wine sales during the next three years will be increased government regulation, consolidation of wine distributors, global competition and consolidation of wine retailers, the survey participants predicted.

The survey cited pinot noir, pinot grigio, and chardonnay as the "wines to watch" - the ones that are expected to see growth. Meanwhile it seems that white zinfandel might be becoming less popular. It is seen as an "entry wine" and and as more people are drinking wine they are branching out and trying other varietals.