Winebits 526: Three-tier and direct shipping news

This week’s wines: Distributors lavish campaign contributions, plus direct shipping and Mississippi stays true to form

• Big, big money: Distributors – the second tier in the three-tier system – contributed $107 million to state political campaigns over the past five election cycles, according to a report from the National Association of Wine Retailers. Two things to know about this study: First, the group that did it is the sworn enemy of the wholesalers, and second, that doesn’t affect the results. Anyone can find the same numbers, using sites from the The National Institute on Money in State Politics (which this report used), the Federal Election Commission, or Open Secrets. The distributors spend heavily to protect constitutionally guaranteed monopoly, which prevents us from buying wine over the Internet from places like Amazon, in grocery stores in New York, and on sale in Michigan. The distributors’ $107 million “dwarfed the combined contributions of all other sectors of the alcohol industry.” Said association executive director Tom Wark: “It should be no surprise that this ‘middle tier’ of the alcohol beverage industry pays huge sums to lawmakers to keep their competitive advantage in place.”

• Direct shipping update: Five states still don’t allow their residents to buy wine directly from out of state wineries – but that’s the good news, reports the Napa Valley Register. Just 20 years ago, 44 states didn’t allow the practice. But “There’s been a lot of progress made over a long period of time,” says Jeremy Benson, who heads the Free the Grapes! Lobbying group. “But I think the No. 1 reason why this works is that [the industry groups] got together and they realized they needed a lobbying plus litigation plus PR strategy and that’s been really what has made this entire campaign.”

• Only in Mississippi: Mississippi officials are suing four mail-order wine sellers, saying they illegally shipped wine and liquor into the state. It’s one of a handful of states that don’t allow wine to be shipped to someone’s house for any reason. All wine and liquor is supposed to go through the Madison County warehouse operated by the Revenue Department’s Alcoholic Beverage Control division. Because, Mississippi. And, of course, the three-tier system.