Close Menu
News

Domaine Tariquet announces a major phase of reorganization to secure its future

Domaine Tariquet, a major player in the white wine and Armagnac markets in south-western France, has been granted a financial safeguard procedure from its local commercial court. 

Autumn grape harvest in Gascony France (image: istock)

The family-run business in Gascony applied for the safeguard protection from the Commercial Court of Auch, which was granted yesterday (20 January). The measures are designed to support solvent companies whose strategic and financial management has fallen victim to uncontrollable external shocks. It places the company under the protection of its local commercial court for an initial six-month observation period.

The move comes in the wake of unfavourable weather conditions which resulted in four successive poor harvests, combined with economic and structural difficulties that have had a major impact on the company’s profitability.

The Grassa family, who has owned the estate since 1912, announced that it would prefer to “act rather than suffer” and that the court protection would enable it to arrive at a “new plan of action adapted to both the economic situation and its structural capacities”, according to a report in Vitisphere.

The four poor harvests accumulated a loss equivalent to more than one whole annual harvest, the company said, with total sales at the estate falling from around 8 million bottles to 5.5 million bottles in the three years since 2021 – a reduction in sales volumes of over 30%.

A range of other external factors have also impacted the business in recent years, notably the pandemic, rising inflation (and the associated rise in production costs), geo-politics including the impact of US tariffs, climate change as well as the threat of frost, hail and mildew, it said.

Partner Content

The company’s management has also launched a strategic reorganization to adapt its financing to a new business plan and put new strategic vision in place based on “sustainable reorganization”.

The aim of this initiative is to ensure the long-term by providing Domaine Tariquet with the organizational and financial capacity to maintain the continuity of its operations, it said, with the priority being to maintain production of the highest quality wines and Armagnac.

“After many years of harmonious growth, the management of Domaine Tariquet wishes, in a delicate economic situation , to look to the future with serenity”, it said.

The development of an exit plan is already underway, which will be carried out in collaboration with all stakeholders, it added.

Located in Eauze in the heart of Gascony, Domaine Tariquet owns and cultivates over 1,125 hectares of vines and produces around 8 million bottles of white wine and 120,000 bottles of Bas-Armagnac every year.

Related news

Hallgarten expands into global travel retail

Paragon Wine Estates expands fine wine business in Asia

Pop the cork on Prosecco glory: enter the Prosecco Masters 2025

Leave a Reply

Your email address will not be published. Required fields are marked *

It looks like you're in Asia, would you like to be redirected to the Drinks Business Asia edition?

Yes, take me to the Asia edition No