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Journal of Rural Studies 27 (2011) 63e72

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Journal of Rural Studies


j ou r n a l h o m e p a g e : w w w.e l s e v i e r.c o m / l o c a t e / j r u r s t u d

Playing the scales: Regional transformations and the differentiation


of rural space in the Chilean wine industry
John Overton*, Warwick E. Murray 1
School of Geography, Environment and Earth Sciences, Victoria University of Wellington, PO Box 600, Wellington, New Zealand

a b s t r a c t
Keywords:
Wine
Chile
Spatial differentiation
Restructuring
Regions
Scalar strategies

Globalization and industrial restructuring transform rural places in complex and often contradictory
ways. These involve both quantitative changes, increasing the size and scope of operation to achieve
economies of scale, and qualitative shifts, sometimes leading to a shift up the quality/price scale,
towards ner spatial resolution and identication with place of origin. This paper examines the
transformation of the Chilean wine industry noting its expansion and orientation towards export
production. As the industry has changed, it has become apparent that rms have adopted
different scalar strategies, sometimes downscaling by seeking low-cost production, homogenisation of
product and a weak iden- tication with place, and sometimes upscaling by improving quality,
claiming exclusiveness and xing products to ever ner denitions of place. Places have been
dened, reconstructed, promoted and
signicantly differentiated as a result.
2010 Elsevier Ltd. All rights reserved.

1. Introduction: scale, competitive space and rural


differentiation
Across a range of sectors the use of scale can be seen as an
important factor which is employed strategically in order to optimise the marketing of products. Globalization is comprised of
contradictory and dialectical process in this regard. In one sense
a tendency towards homogenisation can be discerned as iconic
brands that vary little in terms of quality and essential characteristics are diffused across the world economy. To a large degree
this homogenisation is associated with the pursuit of economies
of scale. Yet as well as this quantitative scaling of production,
glob- alization also involves qualitative changes and these, too,
involve considerations of scale. Increasingly, we are seeing
critical studies of scalar strategies within globalization that have
implications for industrial structure
and labour relations,
including in the wine industry (Ponte, 2009; Ponte and Ewert,
2009).
At one end of this qualitative scale is what we refer to as
downscale production which is associated with homogenisation,
the search for low-cost production locations and mass production.
Rarely is a particular region or place is imbued in the product and

* Corresponding author. Tel.: 64 4 4635281; fax: 64 4 4635186.


E-mail addresses: john.overton@vuw.ac.nz (J. Overton), warwick.murray@vuw.
ac.nz (W.E. Murray).
1
Tel.: 64 4 4635029; fax: 64 4 4635186.

0743-0167/$ e see front matter


2010 Elsevier Ltd. All rights
reserved. doi:10.1016/j.jrurstud.2010.07.002

the dominant spatial scale is global, in terms of evenness of quality


and availability. At the other end is upscaling, which offers an
alternative and potentially resistive counterweight. This operates
at a much ner degree of spatial resolution. This is strongly
associated with more localised and locally-identied production
and is aimed at carving out competitive niches in global space
where quality and exclusivity demand a price premium and as
such appeal to consumers in economically advanced countries
and to the elite in poorer nation states. This upscaling is a
tendency that can be observed in sectors as diverse as music,
where locally branded music is increasingly popular among
certain cosmopolitan consumers in the West; and food, where
produce is marked as product of a particular place where the
characteristics are
osten- sibly embedded to high quality
production such as in the case of Spanish olives, or Greek feta
cheese. This supposed embededness of quality through place
association is often as constructed as it is real and therefore
represents a factor that can be manipulated and evolved by
through regulatory intervention and other strategies that
demarcate place. Thus, geographical scale is increasingly utilised in order to locate and differentiate production (Barton and
Murray, 2009).
Without the networks that make globalization possible and
without the circuits of capital that underpin the global reach of
investment, this focus on localised products would not evolve. In
this sense, globalization and localisation of production are two
sides of the same coin, representing extremes of scalar strategies
in an evolving global economy. The use of scalar strategy varies
from

J. Overton,
J. Overton,
W.E.W.E.
Murray
Murray
/ Journal
/ Journal
of Rural
of Rural
Studies
Studies
27 (2011)
27 (2011)

63e72
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company to company, with some employing
both upscale and
downscale marketing simultaneously, whilst others focus on either
end of the spectrum of strategic scalar possibilities. In some cases
e as we will witness in the case of the wine sector e national
agencies are utilising scalar strategies in terms of the way they
regulate activity in order to market their produce on the global
market. Overall, however, we see evolving an increasingly
complex global space economy where scale is at once collapsed
and contracted in order to maximise economic exploitation.
Whilst a scalar strategy cannot be characterised as a factor
of production, it is increasingly utilised as a factor in production.
Scalar strategies both condition, and are conditioned by, patterns
of rural differentiation. They unfold, in part, in response to the
opportunities and threats offered by globalising agri-food
networks and the increased penetration of global value chains
into diverse places across the globe. Downscaling as a strategy
seeks to gain competi- tive advantage through price, exploiting
cheap labour and land and thus attaining economies of scale. In
this sense, when employed in agro-export sectors in the global
South it is a version of the rural race to the bottom. It can be
associated with productivist agriculture and the resultant
relatively homogenous economic landscapes that evolve in this
regard. In contrast, upscaling responds to globalising signals by
seeking to carve out competitive niches based on uniqueness
and quality. Such strategies often revive, reinvent, or fully
construct rural places and are thus associated with the rise of the
urban middle class across the world and the rural idyll that has
accompanied this. Localities and regions involved in upscale
activity of this nature are often multifunctional, where relatively
small-scale high quality agro-export operations co-exist with rural
tourism and other diversied agrarian activities. In this sense
upscaling could be seen as part of the shift to post-productive
ruralities, at least to the extent that they transcend homogenous
factory-type ruralscapes. In reality all ruralscapes exhibit a
mixture of productive and post- productive elements and the
response to globalization in this regard depends on the sector
under consideration and the nature of the extant patterns of
rural differentiation (Roche, 2005; Murray, 2008). The wine sector
exhibits all of the above and is at once a large homogenising
global industry and one which is subject to increas- ingly
complex geographical differentiation. Interestingly however, of all
the industries, it is particularly characterised by myths of place
employed as upscaling strategies.
The wine industry in Chile has undergone a fundamental
transformation in the past two decades. Export orientation,
signicant capital investment, expansion of output and qualitative
shifts in production techniques have restructured an industry
from one which was based on largely small-scale production of
relatively undifferentiated low-cost products for the domestic
market to one that is now well integrated with global markets
and characterised by
product
specialisation, regional
differentiation and quality improvements. This restructuring of
the industry has had both a marked imprint on rural space in
Chile but it has, in turn, been affected by a greater appreciation
and appropriation of rural space in the production and branding of
Chilean wine. In general, in order to make the most of the
opportunities afforded by the globalization of the wine sector, the
Chilean industry has employed at least two scalar strategies in
terms of the production and marketing of its product. The rst of
these involves the pursuit of economies of scale and the
predictability of production. The second searches for, and in some
cases constructs, increasingly differentiated localised condi- tions
in order to pursue niche geographical branding. On the
surface, these two strategies e downscaling and upscaling
respectively e bifurcate the industry towards homogenisation on
the one hand and increasingly intricate localisation on the other.
In this paper we analyse the way the Chilean industry plays
the scales in order to optimise economic advantage. The paper
has

three broad objectives. Firstly, we wish review the growth of the


Chilean wine export sector and analyse the local and regional
restructuring impacts of the rapid integration into globalising
markets. Secondly, we aim to document and interpret the use of
scalar strategies in order to gain competitive advantage in export
markets. We are interested in this regard in both the institutional
reforms that have facilitated such strategies as well as their
unfolding on the ground among companies and growers. Finally,
we make broader comments with respect to the interaction of
scalar strategies in the industry and the differentiation of rural
space. In this regard we are interested in uncovering evidence for
the role of place-making in the Chilean wine sector, how this
interacts with shifting perceptions of rurality, and to what extent
this might herald the beginnings of post-productive ruralscapes.
Overall, the central aim of the paper is to throw some light on the
manner in which the scalar strategies we uncover build from and
upon rural differentiation in Chile.
2. Wine and the transformation of rural space
Wine and rural space are particularly closely connected and
have become more so as the industry has evolved in general. Wine
production as a viable industry depends on the availability of good
quality grapes from suitable environments. Such environments are
determined particularly by climate (a set of temperature conditions) and also the availability of suitable water, soils, aspect and
drainage. Particular combinations of such conditions and often
subtle variations amongst them also impart distinctive characteristics on the avour of the grapes and, thus, of the wine and its
perceived quality. Therefore, on one hand, environmental factors
are critical for industrial viability in terms of reliable supply of fruit
at reasonable cost e something which encourages high yields
and economies of
scale.
On
the other hand, however,
environmental factors are vital for the quality of the product e
and this leads to an often opposite trend towards lower yields
(for
greater avour concentration in the fruit) and close
identication
between
vineyards
and
smaller-scale
characteristics of particular sites.
Furthermore, this association between place and product
quality is strongly embedded in the minds of many consumers and
has been promoted through the discourse of terroir (Charters,
2006; Gade, 2004; Fanet, 2004; Wilson, 1998; Moran, 2001;
Sommers, 2008). Terroir is a concept which suggests that particular combinations of climate, soils, underlying geology and aspect,
together with the historical and cultural factors which construct
particular local winemaking techniques and traditions, construct
products that are unique to particular places (Moran, 1993).
Signicantly, such ideas have been recognised and promoted by
some national agencies, especially in Europe, and translated into
a regulatory framework which protects geographical indicators
(such as Champagne, Burgundy or Bordeaux). This protection has
been extended recently into global trade negotiations and agreements, so that the denition, codication and protection of rural
space through geographical indications as a form of collective and
localised intellectual property has been able to resist an otherwise
strong trend towards trade liberalisation and product homogenisation (Josling, 2006). The wine industry therefore represents
a particularly important and interesting case study of the way
place retains a niche within the emerging global economy.
However, the shift to terroir as a guiding principle for the wine
industry is far from inevitable or homogenous. The global wine
market is complex and there are global cultures of wine
consumption that seek value for money in many parts of the
market yet, in others, emphasise and celebrate high priced
exclusive products that some consumers claim to differentiate on
the basis of taste and reinforce through ostensible knowledge of
the wines history, origin and

unique characteristics. At the top end, there is a segment that


has a clear orientation towards high priced, highly quality wines
that are very closely associated with particular recognised and
favoured regions or vineyard sites as they are with particular
established brands (Beverland, 2004). At the other end of the
market, though, there is a very large demand for wines as a mass
product and these have a high price elasticity of demand. Here
the wines, in order to compete on the basis of price, tend to be
produced on an industrial scale, emphasising high yields and
uniformity of product and without particular attachment to
specied grape varieties or place of origin (Davis, 2005). In
between these two models lies a very large spectrum of wine
products. Protability and survival in a very crowded global
market depends on nding a balance between low costs of
produc- tion and brand acceptance e acceptance that demands
assurances of quality, increasingly through the surrogate indicator
of place of origin alongside specication of grape variety and
year of production. Producers often seek to upscale reaping a
higher price per bottle by marketing their wines with indicators of
place and variety e and in the process promoting certain places as
distinctive and favoured for wine e whilst still keeping a close
watch on costs of production.
The Chilean wine industry encapsulates these tensions amongst
costs and scales of production and quality indicators based on
variety and place. This paper examines the way the industry in
Chile has changed substantially in the past twenty years and traces
how wine regions and rural spaces have been recongured as
a result. Wine regions have been redened, some have been constructed from anew and others are in the process of being created
or reshaped.
3. The growth of the Chilean wine industry: from Pas
to
Carmenre
Grapes have been grown and wine has been produced in Chile
since the mid sixteenth century. For nearly all that time,
production was characterised by either small-scale peasant
production or a small number of larger family enterprises. Wine
was directly consumed by household producers or sold on the
small domestic market. Varieties of grapes grown descended from
those brought to the continent by Spanish settlers e and
these have persisted through to the present Pas variety, a
dark skinned grape (Robinson, 1994:702), and Moscatel. In the
mid nineteenth century a number of classical grapes were
imported from France and were accompanied by a number of
Basque settler families who engaged in wine production. They
had escaped the ravages of phylloxera in Europe, for this disease
of the grape vine, together with the hazard of downy mildew,
remains absent in Chile. The industry grew, notably in the mid
twentieth century, but by 1990 it was suffering from falling
domestic consumption and few exports. In 1989 only
28.6 million litres were exported, accounting for only 7% of the
countrys production (Benavente, 2006:228).
In the early 1990s Chilean wine was a product of its history.
The most commonly planted variety was Pas, still grown to
produce wine for domestic consumers at low cost. Most
production was spread throughout the middle regions of Chile,
from the Coquimbo region in the north, where most grapes grown
ended up in the fresh grape market or were made into pisco (a
grape-based brandy), to the Bo-Bo region further south where
Pas and Moscatel pre- dominated. It was the Central Valley in
the Metropolitan, Maule and OHiggins regions that contained
most wine production. The Central Valley was well suited to
grape production. Warm temperatures, high sunshine hours,
fertile soils and the availability of water from the rivers which
owed off the Andes produced high and reliable yields. Table
grape production, sold in the form of fresh fruit, co-existed with

grapes for winemaking in the Metropolitan and OHiggins


regions, whilst in Maule apples were interspersed

with wine grapes. Production was dominated by a large number of


smallholder grape growers and small-scale wine producers
alongside a relatively small number of larger Chilean mostly
family- based wine companies.
The foundations for a signicant change in the industry,
however, had already been laid by this time and changes began
to occur rapidly. Through the 1970s and 1980s the Chilean
economy was liberalised extensively.
Although neoliberal
reform brought high costs in terms of socio-economic and
environmental change, it was built upon the comparative
advantage Chile possessed in resource-based sectors to operate
at the global scale. As a conse- quence of neoliberal reforms, and
building on the state-led rural capacitation programmes of Frei
Seniors government (1964e70) non-traditional export ourished
during these decades. The end of the 1980s such exports e which
included forestry, sh and fruit for example - had helped the
economy diversify away from its dangerous reliance on copper
to an extent and underpinned macroeconomic growth of high
average levels. By the end of the
1980s the low value-added sector had reached something of
a plateau and there was a new found emphasis in commercial
circles on the search for value-added exports that built from the
strong performance in the non-traditional sector (Murray, 2002).
This combined with the return to democracy in 1990 gave a
boost to Chilean wine exports which were seen at the time as
something of a panacea that might promote sustainable
economic growth. This new emphasis, led by commercial
winemakers and strongly supported by government, led to a
number of outcomes. Firstly, there was new investment in the
industry. This came from overseas sources with companies such as
Robert Mondavi from California, Miguel Torres from Spain and
Baron de Rothschild from France (Benavente, 2006). Probably
more important in terms of total investment was local capital.
There were existing wine companies such as Montes and Concha y
Toro who began to expand production signicantly and there

Fig. 1. Chile: vineyard area 1994e2007. Source: Wines of Chile (2009).

The industry has become more complex because of its differential engagement with the global wine market. Because Chile can
grow grapes reliably and with good yields, thanks to its
favourable climate and soils and relatively low land and labour
costs, it has been very well placed to exploit the rapidly growing
demand for mass produced wine at the lower end of the price
scale. Large vineyards in the Central Valley have been able to
produce grapes efciently and investment in large-scale
winemaking facilities has meant that Chile can successfully
produce bulk wines for export.

were new entrants, often drawing capital from the prots of


other businesses in Chile. These enterprises, together
with
some returning
Chilean winemakers such as Augustin
Huneeus who had learned their craft overseas, helped introduce
modern winemaking techniques to the industry and quality
improvements were rapid and recognised in the market. This
aided the turn to export orientation (Foster et al., 2002;
Gwynne, 2006a). Between 1989 and 2002, the share of Chiles
wine production that went to exports rose from 7% to 63%, representing an eleven-fold increase in the volume of exports
(Benavente, 2006:228).
These changes towards modern techniques and exports fuelled
a rapid expansion of vineyard area. In the late 1990s especially,
new vineyard developments were seen across the country but
especially in the Central Valley. Between 1994 and 2001 the area
planted in grapes for wine production doubled from 53,000
hectares to over
106,000 hectares. Thereafter, expansion continued though at
a slower rate so that by 2007 there were 117,500 hectares in
Chile producing grapes for winemaking (Fig. 1).
This major expansion of vineyards took place at a time when
other agricultural industries also continued to grow and competed
for land and labour. Fresh grape production sought new markets
overseas in order to overcome the plateauing of exports in the
late1980s and new plantings occurred albeit at a slower rate: between
1998 and 2007 the area under vines for table grape production
increased by 9.8% to just over 55,000 hectares. Whilst there may
have been rural industries that were larger in terms of export
value than wine or
occupied more land, employed more
people or produced a higher volume of output, it was wine that
seemed to symbolise the changes in rural Chile at this time.
Wine as an industry and a product provided an image of
what Chile was striving to be: worldly, cosmopolitan, vibrant e
and high value.
The industrial production of bulk wines for export has been
very successful and has spurred the rapid rise of Chile as a major
world wine exporter. Although only ranking tenth amongst
world wine producers in terms of volume produced, Chile has
risen from a small base to now become the worlds fth largest
wine exporter. These wine exports are split between bottled and
bulk (in casks or other large containers) wine. Table 1 shows the
relative importance of these two sources, together with the
relatively small contribu- tion of sparkling wine. Bulk wine is
signicant, accounting for over a third of the volume of wine
exported, and thus its imprint on the Chilean rural landscape is
marked. It is found in the large vineyards of the major companies
or those of contract suppliers who both strive for high yields and
low costs, and in the very large modern winemaking plants that
resemble large rural factories with banks of stainless steel tanks,
machines and large-scale service buildings. Such wine is often
labelled without its country of origin evintage or variety (Chi,
2008), and can thus be conceived as a relatively
placeless product that utilises a downscale strategy. Yet the
returns to bulk wine are not so important: bulk wine accounts for
only 10% of the value of wine exports from Chile and, unlike
bottled wine, the price received per litre appears to be static at
best (Table
1). The Chinese market is signicant for Chilean bulk wine, the
result of the rapidly growing demand for wine amongst new
Chinese middle class consumers. In 2007 China imported around
108 million litres of bulk wine, 70% of this from Chile (Chi, 2008).
As well as this bulk wine which is not packaged in bottles,
a signicant proportion of Chiles bottled wine seeks a competitive
space in the world wine market beyond and above that which
exists undifferentiated bulk wine. Signicantly, this higher quality
wine is still highly competitive in terms of price given Chiles
comparative advantage. One of the fastest growing but
competitive sectors of the market is for bottled wine that is

reasonably priced (below 5 in the UK market for example) and


placed in that it is

Table 1
Composition of Chile wine exports 2005e08.
2005

2006

Volume (million litres)


Bottled
Bulk
Sparkling

290,281
125,691
1931

307,806
163,950
2204

375,128
231,538
3290

385,841
198,619
4053

Value ($US million)


Bottled
Bulk
Sparkling

776,391
95,321
5456

856,587
99,232
6672

1,120,268
125,370
10,742

1,212,796
148,071
14,970

Average price ($/litre)


Bottled
Bulk
Sparkling

2.67
0.76
2.83

2007

2.78
0.61
3.03

2008

2.99
0.54
3.27

3.14
0.75
3.69

Source: Wines of Chile (2009).

identiable by at least country of origin and year if not always


variety (Gwynne, 2006b, 2008). Thus a Chilean wine such as Gato
Negro has been very successful in the American and European
market building a reputation as a good value, consistent quality
wine. Again these are wines that are produced on an industrial
scale by companies such as San Pedro and continue to drive largescale grape production in the fertile valley oors of the Maule and
OHiggins regions.
Counterbalancing the growth of the bulk and industrial wine
enterprises has been a marked growth and change in bottled wine
production at the higher end of the price spectrum. These changes
have also been inuenced particularly by the evolution of the
export market. Here the demand is for quality wine but wine that
is distinctive. In this regard, consumers in overseas markets will
seek to buy wine from Chile not just because it is well priced e
and this might not be a major consideration as the perception of
quality increases in the higher price segments e but also
because it provides something different and
something
identiable with Chile. Both varietal and locational specialisation,
or upscaling, are important elements of this.
Red wine varieties from Chile have largely been based on the
Bordeaux varieties, Cabernet Sauvignon and Merlot, and these two
varieties were the most important components of the rapid phase
of expansion in the late 1990s. Chile produces well-regarded
wines from these grapes and they are in the vanguard of the
growth in global demand where they compete not only with
Bordeaux wines from France but also similar red wines from
Australia, California and South Africa. It is often difcult to
establish a point of difference in the market with such varieties.
Thus, there has been an attempt to develop less common varieties
that might more readily develop a niche. Syrah in Chile appears to
produce well-regarded wines that are different from both the
Rhne styles of France or the Shiraz styles of Australia. Pinot
Noir has also been experimented with, though as a more cool
climate variety it does not seem to be well suited to most of
Chiles established wine regions and is not planted in large
quantities. White varieties, principally Chardonnay and
Sauvignon Blanc, have also increased in area, partly to supply the
bulk end of the market but also to help ll both local and global
market demand for higher priced dry white wine styles.
One variety has emerged as the icon of the modern Chilean wine
industry, though ironically its identity is based on its survival and
anonymity over more than a century. Carmenre is a red grape
variety that was common in Bordeaux until the mid nineteenth
century. It proved highly susceptible to phylloxera and all but disappeared thereafter. It was one of the varieties that had been
brought to Chile prior to the phylloxera outbreak in France and it
was adopted and planted quite widely. Yet, its identity as a distinct
variety was lost, it being regarded as a Merlot grape. It was not
until

1994 that it was identied as a separate variety and the only


surviving plantings of Carmenre of any signicance in the world.
Since then, winemakers have focused on the variety, producing
distinctive wines that are sought-after worldwide. Its appeal lies
not only in its taste but in its uniqueness e so far only Chile can
icon of the
Chileaninwine
industry,
analogous
from
produce
the variety
this way.
Carmenre
thustohasMalbec
become
an
Argentina, Shiraz from Australia or Sauvignon Blanc from New
Zealand, recognised at the global scale as a distinctive product
closely identied with its country of origin.
The result of these market-led developments has been a significant restructuring of the countrys national vineyard as revealed
in the varieties of which is it comprised (Table 2). Clearly,
traditional varieties, principally Pas, have not been a part of
the modern
expansion and as such has declined in area by 6%.2 Cabernet Sauvignon and Merlot have been the major components of the
expansion in area in absolute terms experiencing a four-fold
increase in area between 1994 and 2007. The white varieties
have basically doubled in area over this time; Pinot Noir has
increased very rapidly though remains a minor variety; but it has
been Syrah and especially Carmenre that have emerged from
obscurity to become signicant varieties at the national scale. This
signicance is greater when it is considered that unlike all the
other named varieties, except Pinot Noir, they are not produced
for bulk or lower end bottled wine.
Thus the Chilean wine industry is now signicantly restructured
from that which existed 20 years ago. Many of the names of the
producers are the same, most of the areas traditionally under
grapes remain so and the domestic wine market is still largely
lled by Chilean wine. However, there has
been a major
expansion and grape vines are much more widely planted than
before. New wine districts, such as Casablanca (Pino, 2008),
have appeared and established wine areas such as the Rapel
Valley have experienced a major concentration on grapes, with
vineyards replacing other land uses. Underlying this rural
restructuring is the fact that exports are driving growth and
Chilean wine brands such as Montes and Concha y Toro are
recognised and sought worldwide. Furthermore, despite the
persistence of downscale strategies that result in
placeless bulk wine production and large-scale industrial methods
of production, there are attempts to position much of its
production towards the higher end of the market, utilising
strategies with bottled varietal wines and specialist varieties
such as Carmenre alongside the marketing of specialist wine
districts.
4. The re-conguration of Chiles wine regions
Accompanying this transformation of the wine industry in
Chile has been a new geography of wine in the country. This is
partly a matter of the search for the best districts and sites for
either premium or bulk wine production; it is also a result of the
growing importance of upscaling e that is to say, regional
specialisation and branding in ways which associates place of
origin with perceived product quality. The result is both a
greater denition and promotion of place in the wine industry
and the construction of new rural and regional landscapes and
economies.
Underpinning the
trend
towards
the
demarcation,
construction and promotion of wine regions through the
operations of capitalism has been institutional and political
reform. The legislative frame- work for this new geography of
wine in Chile was provided in 1994 by Decree 464. As well as
establishing standards for the labelling and sale
of wine
(varieties, year of harvest, descriptors such as
2

Similarly the area of grapes used for making pisco declined by 2% between
1998 and 2007.

Table 2
Changes in planted area by grape variety 1994e2007 (hectares).
1994
Cabernet Sauvignon
Syrah
Merlot
Carmenre
Pinot Noir
Pas
Chardonnay
Sauvignon Blanc
Other

11,112
0
2353
0
138
15,990
4150
5981
13,369

Total

53,093

2000
35,967
2039
12,824
4719
1613
15,179
7672
6790
17,073
103,876

2007
40,766
3513
13,283
7284
1413
15,042
8733
8862
18,663

% Change
1994e2007
267
465
924
6
110
48
40

117,559

Source: Wines of Chile (2009).

reserve etc), this legislation dened the wine regions of Chile.


It distinguished between wines that included an indication of
their geographical origin3 (vinos con denominacin de origen or
D.O.) and
those that did not (vinos sin denominacin de origen). The former
could use only designated regional descriptors (Table 3) that
dened wines regions in a hierarchy that basically mirrored the
adminis- trative divisions of Chile e from region to comuna, with
comunas as the basic building block. However, it also added
categories that overlaid these administrative divisions and
dened certain valleys and zones that could be named as
geographical indicators. The Central Valley region was by far the
largest and, unlike the others which encompassed only a single
administrative region of the same name, the Central Valley region
traversed the three administrative units of Metropolitan,
OHiggins and Maule.
This framework led the way in terms of the closer association
of place and winemaking in Chile, underpinning subsequent
branding and re-branding at the global scale. Yet it soon proved
inadequate for newly emerging districts. The development of the
cooler climate area of coastal San Antonio and the Leyda Valley lay
outside of the Central Valley designation whilst the southernmost
Malleco Valley was not included. On the other hand, the
Atacama region in the north, although designated under the
legislation, has
no
recorded area under grapes for wine
production.
Although the regional denomination framework in Chile is still
in its infancy and still evolving, it is possible to discern some broad
elements of regional differentiation in the countrys wine industry.
These processes are sharpening the image of Chilean wine in both
domestic and global markets and they are also transforming rural
space. Five broad spatial transformations that are integral to this
broader capitalist restructuring and rural differentiation are
explored below:
4.1. Stagnation at the margins; concentration at the centre
As the wine industry of Chile has developed rapidly over the
past 20 years, both the northern and southern regions of the
country have been left behind. Production in these regions has
tended to remain in the hands of small producers making wines
for domestic consumption. New investment has been rare and
there has been little or no attempt to use the DO system to brand
wines. In the north, the Atacama region has not engaged in
wine production at all though in 2007 there were 576 hectares
producing grapes for
pisco and a further 8600 hectares
producing table grapes. Coquimbo has expanded with some
development of wineries in the Limar Valley but regional
production remains

Wines that indicated a place of origin had to contain a minimum of 75% wine
from that named region.

Table 3
Designated geographical indicators of wine origin in Chile.
Region

Subregion

Atacama

Valle de Copiap
Valle del Huasco

Coquimbo

Valle del Elqui

Zone

Vicua
Paiguano
Ovalle
Monte Patria
Punitaqui
Ro Hurtado
Salamanca
Illapel

Valle del Limari

Valle del Choapa


Aconcagua

Valle
Central

Area/comuna

Valle del Aconcagua


Valle de Casablanca

Panquehue
Casablanca

Valle del Maipo

Santiago
(Pealoln, La Florida)
Pirque
Puente Alto
Buin (Buin, Paine, San
Bernardo)
Isla de Maipo
Talagante (Talagante,
Peafor, El Monte)
Melipilla

Valle del Rapel

Valle del
Cachapoal

Valle de
Colchagua

Rancagua (Rancagua,
Graneros, Mostazal,
Codegua, Olivar)
Requnoa
Rengo (Rengo, Malloa,
Quinta de Tilcoco)
Peumo (Peumo,
Pichidegua, Las Cabras,
San Vicente)
San Fernando
Chimbarongo
Nancagua
(Nancagua, Placilla)
Santa Cruz
(Santa Cruz, Chpica)
Palmilla
Peralillo

Valle de Curic

Valle del Teno

Valle del Lontu

Valle del Maule

Valle del Claro

Valle del
Loncomilla

Valle de
Tutuvn
Sur

Valle del Itata

Valle del Bo-Bo

Source: Benavente (2006).

Rauco
(Rauco, Hualaa)
Romeral
(Romeral, Teno)
Molina (Molina, Ro
Claro, Curic)
Sagrada Familia
Talca
(Talca, Maule, Pelarco)
Pencahue
San Clemente
San Javier
Villa Alegre
Parral (Parral, Retiro)
Linares (Linares, Yerbas
Buenas)
Cauquenes
Chilln (Chilln, Bulnes,
San Carlos) Quilln
(Quilln, Ranquil,
Florida) Portezuelo
(Portezuelo, Ninhue,
Quirihue,
San Nicols)
Coelemu
(Coelemu, Treguaco)
Yumbel (Yumbel, Laja)
Mulchn (Mulchn,
Nacimiento, Negrete)

dominated by grapes for pisco (Fig. 2) as well as the welldeveloped table grape specialisation that has driven the evolution
of exports in that particularly successful non-traditional sector
(Murray, 2002,
2006). In the south, the Bo-Bo region also experienced only slow
growth over the past decade and its vineyards remain in the
traditional varieties of Pas and Moscatel Alejandria.
Whilst these northern and southern regions have largely stagnated and remained inward looking in terms of their markets (Pas
and pisco for local consumption) the Central Valley has been the
main engine of growth. Of the countrys overall growth rate of
area planted in the period 1998e2007, the highest rates and the
largest areas of increase have been in the Rapel, Maipo, Curic and
Maule Valleys (Table 4). This is where the countrys wine industry
e and its export orientation e is concentrated. Here, broadly on
either side of the Pan American Highway from Santiago in the
north to
Linares in the south, are to be found both the largest industrial
scale wineries with extensive vineyards and the smaller
premium producers, often nding niche sites in side valleys and
hillsides. The only
other notable area of growth is in the
Valparaso administra- tive region (the Aconcagua wine region),
most of whose wine is produced in the Casablanca Valley.
Geographical concentration in these central regions has been
accompanied by a focus on the premium varieties, both red and
white rather than on Pas, pisco or
other long-established domestic varieties, although Pas is still
grown extensively to the south of the Maule region.
4.2. The evolution and socio-economic construction of upscale wine
regions
Whilst there has been this larger scale pattern of concentration
in the Central Valley, within these larger regions, there has been
a notable identication and development of certain favoured zones
and areas. Also, although the larger scale regional descriptors
(Central Valley, Curic, Maule etc) are still used on wine labels, it is
apparent that, in premium wines at least, there is a trend to
identify the wines with smaller localities, and practice what
we term upscaling as an economic strategy, usually at the zone
level (for example, Colchagua) but sometimes down to comuna
level (for
example Molina or Rancagua). This move to identify wines with
smaller areal units follows the trend to specialise production in
certain locations which are developing reputations for high quality
and high priced wines, often with associated varietal
specialisation. Conversely the continued use of some broad level
regional names (Central Valley especially) or ones associated
with bulk wine production
(Curic for
example)
are
avoided by premium

Fig. 2. Varietal
composition by region
2007. Source: Wines of
Chile (2009).

Table 4
Vineyard area by region 1994e2007 (hectares planted).
Region (principal valleys)

1998

2003

2007

Atacama
Coquimbo
Valparaiso (Aconcagua)
Metropolitan (Maipo Valley)
OHiggins (Rapel Valley)
Maule (Curic and Maule Valleys)
Bo-Bo
TOTAL

793
10,009
2962
6823
17,994
33,900
13,089
86,368

615
11,432
5174
10,530
31,055
47,342
13,800
120,566

576
11,717
5567
10,800
34,257
50,574
14,028
128,118

% Increase
1998e2007
27.3
17.1
87.9
58.3
90.4
49.2
7.2
48.3

Note: Area includes grapes grown for pisco and wine but not table grapes.
Source: Wines of Chile (2009).

producers because of their possible association with lower quality


wines produced from higher yielding crops or blends from
different sources within the wider region.
Two smaller-scale regions provide clear examples of emerging
regional specialisation. Casablanca, because it has a climate that is
cooler than the Central Valley, has developed as the countrys
specialist white wine producer. It has developed as a specialist
wine area from a base 30 years ago when almost no wine grapes
were grown at all. Even though there are other regions (Maule in
particular) which grow equally large quantities of white wine
grapes, none (except the much smaller San Antonio and Leyda
localities) approach Casablancas concentration on white varieties, Chardonnay and Sauvignon Blanc in particular. On the other
hand the red varieties Merlot, Carmenre and Cabernet Sauvignon have actually declined in area, even though these varieties
are favoured elsewhere in the country for making premium red
wines.
Another region which has both grown rapidly (though from
a much more established winemaking base) and developed
a reputation for high quality wine is Colchagua. This subregion of
the Rapel Valley has about four times the area under grapes
compared to Casablanca. This is a red wine specialist area and the
proportion of white varieties grown has fallen, even though plantations in absolute terms have increased. Notably the only
varieties to have declined in area over the past decade have been
Pas and some older white varieties. The Bordeaux varieties,
Cabernet Sau- vignon and Merlot, are dominant and they were
responsible for the most rapid period of growth in the late 1990s.
However, the fastest rates of growth of planting has been in the
Carmenre and Syrah varieties.
Thus, as the Chilean wine industry continues to develop, as its
exports expand and the trend towards higher quality wines
continues, it is likely that localities such as Casablanca and Colchagua or Maipo and Rengo will cement their positions as areas
and communes that are associated with quality wine with
particular characteristics and varieties. It is a long way yet from
this situation in Chile to the appellation controle system of
France with its branding of wines such as Burgundy, Bordeaux
and Champagne by region rather than variety but the upscale
parts of the Chilean industry are moving slowly towards this
end.
4.3. The search and construction of niche microsites
At yet a higher spatial resolution, another trend is evident in
Chile. This is the shift towards particular vineyard sites within
areas and, again, is associated with the push to produce higher
quality wines for the export market. Until recently it was rare
to see vineyards in Chile away from the at valley oors where
the soil was good and water was available. These sites
encouraged high yields of
grapes and
reliable harvests.
Viticulturalists, however

learned that hill slopes often offer better conditions for the
growing of grapes with more distinctive and concentrated
avours. thus
Site became critical. Slopes could offer better drainage of
selection
both water and cold air; their usually poorer soils meant that vine
roots had to struggle to nd water and nutrients and their fruit, as
a result, was smaller with more concentrated avours; and the
aspect that some slopes offered to the sun could optimise
temperature and sunshine conditions for ripening. So although
these sites required more expensive vineyard development and
maintenance (in irrigation, planting and access) and yields were
lower, they have come to be associated with the best wines from
the country. It is evident in both the Casablanca and Colchagua
areas that much of the new vineyard development is taking place
not on valley oors alongside old-established vineyards but is
creeping up slopes e sometimes on undulating hills; sometimes
on slopes as steep as 45 .
The denition and naming of certain sites has also now become
part of the marketing apparatus of companies. Being able, as
premium wines from France and elsewhere do, to specify a particular vineyard or site helps establish a brand as comprised of
unique characteristics. Quality may vary from one vintage to
another but this is seen as part of the putative mystique and
exclusiveness of the brand. One of the pioneers of hill slope
development has been the Montes winery and one of its top
brands (Montes Folly) bears a name which tells the story of this
development: Thus the Montes Folly name was born: The
conventional wine growers and trade considered it Folly to
plant Syrah, an untested variety in the region, and double
Folly to do so in the higher slopes, extremely expensive to clear,
plant and grow (Via Montes, 2009; also Ross,
2006).
Again, this type of wine development is leaving an imprint on
the rural landscape. The historical pattern of valley oors being
cultivated and grazed and the steep surrounding hills being either
left fallow in bush or grazed only very extensively is being transformed in the more dynamic areas. While the valley oors
continue to have cultivation the vineyards, rather than competing
with other land uses as they have done traditionally, are nding
new niches on the slopes. Furthermore, the rows of vines on
the slopes over- looking the valleys often sit alongside the newlybuilt residences of vineyard proprietors or sometimes new and
expensive winery buildings that invite visitors to their tasting
rooms and restaurants. This latter development can be seen as
part of a broader trans- formation in the Chilean countryside
towards multifunctional use of space involving aspects of
what some have termed post- productive spaces (Murray,
2008).
4.4. The (re)branding of place
The denomination of origin laws of 1994 protected the use of
certain geographical indications in Chile. These place names
(Maipo Valley, Colchagua, Maule Valley) acquire value when the
wines from them develop reputations for quality. Place thus has
economic value, protected by law, and land in these areas
can attract
a premium.4 Yet this process only occurs when such places are
recognised and preferred over others by consumers. The
recognised wine place names (Table 3) present a catalogue of
possibilities for place brands but market realities will be such
that only a few of these are likely to become xed in the minds
of
consumers and therefore acquire value. Many may be
recognised in the domestic market and develop customer
recognition and loyalty, especially as many Chilean consumers will
have family histories that tie them to

This phenomenon has been widely observed in wine regions elsewhere e


for examples see Overton and Heitger (2008) and Morris (2000).

some of these places or they will draw on romantic images of


rural life in what some have identied as an emerging reversal
of the image of rural life e from one of poverty and
backwardness to a idyll of simplicity and clean environments in
stark contrast to the stresses of urban life (UNDP Chile, 2008).
On export markets however, familiarity with Chilean places is
much less evident. It is possible that a handful of names may gain
acceptance, alongside varieties such as Carmenre but this is likely
to be a slow process. To help establish such a recognition of
brands, it is important for wine producers to market regions in
particular ways. This requires a degree of industry co-operation
so that there is agreement over what the core elements of that
image will be. It may be through varietal specialisation (as with
Shiraz from the Barossa Valley in South Australia or Malbec from
Mendoza in Argentina); or it may be through promoting a
particular style; or it may come from partic- ular lifestyle
associations or images used in labels and advertising campaigns
(Banks et al., 2007; Lewis et al., 2002)
Chile, still in its early stages of promoting its wine to the world,
has yet to develop strongly such associations between wine and
place. It is most likely to come from varietal specialisation in
certain localities e and both Casablanca and Colchagua show
a degree of this occurring in Chile. As yet the iconography used in
wine labels presents a confusing picture of identity and environmental origin. Some brands attempt appeal to European wine
linkages (for example the Torres global brands); others portray an
idealised image of a Chilean colonial past (Misiones de Rengo,
Cousio Macul); others family origins (Montes); but relatively
few Chilean brands use place names as brands. However on wine
labels it is common to see portrayals of the Chilean landscape. The
Andes mountains are used in many cases to give a wine an
indication of its Chilean origins, even though the vineyards are
not on the mountain ranges, nor might the mountains even be
in sight in some cases. Another device is to portray images of the
landscape that include old
hacienda buildings, modern
architecture or
even European styled chateaux that are
transplanted as winery build- ings and become icons for
particular brands even if they are rather divorced from the actual
history and environment of the locality. There is clearly much to
be done to identify and promote regions and locations in a
more concerted way as devices for selling Chilean wine.
4.5. Place and hybrid rural identities
While this production and marketing exercise in terms the
way places and wine regions are reconstructed and promoted is
still in its infancy, there are clear signs that regional identities are
being formed in rural Chile that are strongly linked to the rapid
growth of the industry and transformation of society in general.
Wine pres- ents a particularly potent product in terms of
reconstructing identities of place. Wine implies worldliness,
modernity and sophistication that in many ways is the
antithesis of dominant stereotypes of traditional Chilean rural
life, despite the fact that wine has been produced in the country
for over 450 years. This new globalised identity is combined with
more traditional idylls of the countryside to create a new hybrid
formation that captures imag- inations of the rural in the urban
population of Chile and is utilised also for the international
marketing of the brands. This develop- ment is associated with
the rise of tourism in rural areas and the more general shift to
a multifunctional rural economy which illustrates elements of
post-productivity and hybridity that have been identied in
other locations across the globe (Roche, 2005). The increasing
importance of tourism in the wine sector in Chile has links to the
restaurant trade (and thus to other forms of quality rural food
production, such as beef, sh or fruit), and it is seen to involve
new and substantial forms of investment in rural areas that

were often forgotten or dismissed in the public perception as


traditional and poor. The wine industry has therefore allowed
some areas to reinvent themselves and promote themselves in a
quite different way with considerable multiplier effects. On one
hand the new images draw on the global nature of the
industry and (contradictions ignored) its modern character
alongside its sophisticated
and
centuries-old
European
characteristics. Yet on the other, it allows Chileans to re-attach
themselves to their rural origins and allegiances, seeing their rural
traditions and lifestyles in a new and appealing light.
One example of this remaking of rural places has been the town
of Santa Cruz at the centre of the Colchagua wine district. This
town, formerly a fairly typical and quiet Chilean rural service
centre has been radically transformed by the wine industry
and one particular individual, Carlos Cardoen. Cardoen, who grew
up in the area, went on to make a fortune in industry and arms
dealing. But in later life, he returned to Santa Cruz, reinvesting his
considerable prots in the local wine industry. In the centre of
town is a luxury hotel, a casino and a very impressive private
museum, all of which he founded. He has also bought and
developed the Santa Cruz winery which is strongly linked not
only to wine production but also to the tourist industry. Wine
has therefore meant that this place e Santa Cruz and with it the
zone within which it is located (Colchagua) e has emerged as the
leading wine tourism destination in
the continent with a
relatively prosperous
and vibrant local economy in
the
aggregate, although much remains to be learned concerning the
socio-economic distributional implications of this vibrancy.
Colchagua is perhaps the exception rather than the norm and it,
like Casablanca and the Maipo Valley, has been fortunate enough to
nd a new identity at the top end of the wine industry. A few
others may be able to emulate these examples, particularly
when promoting tourism at the same time. San Antonio or the
Elqui Valley may be possible future examples of where a rural
and regional identity has the potential reconstructed with the
latter in particular already having a particular association with
idyllic rural life given the birth there, in Vicua, of Gabriela
Mistral one of Chiles two Nobel prize winning poets. However, the
impact of wine in terms of the reconstruction of rural identities
will be multi- faceted according to the type of strategy that is
adopted in a given zone. In areas characterised by downscaling
strategies, where wine is grown on large-scale plantations, where
large wine factories appear in the rural landscape and where
restaurants and tourist facilities are absent, regional identities
may instead be associated with unappealing images of rural
industrialisation, social inequal- ities
and monotonous
landscapes. This suggests that not only is wine contributing to
rural differentiation in Chile based on the distinction between
wine and non-wine regions, with markedly different landscapes,
economies and linkages to the outside world, but also it is leading
to an emerging hierarchy within and amongst wine regions, with
a few elite localities able to position themselves as zone
characterised by
upscale strategies where place is being
reinvented to cater for emerging cosmopolitan tastes and others
which are deemed to be associated with inferior quality bulk
products and as unattractive destinations.
5. Conclusion: capital, spatial differentiation and multi-scalar
strategies
The Chilean wine export boom in Chile is transforming rural
space profoundly. As Chilean companies seek competitive niches
on the world market they do through the employment of a range
of strategies which are both geographical in their essence and
bear important implications for resulting geographies. Chile has
become one of the most rapidly growing and dynamic export
economies in

the world. This is remarkable when it is considered that just 25


years ago virtually no wine was exported from the country. There
is a long history of winemaking however, for domestic markets,
and this has provided a solid basis for the re-invention of the
sector. This has come at a crucial time following what might be
termed the exhaustion of
the easy phase of
export
orientation where the emphasis has shifted to cultivation and
production of value-added and ultimately more sophisticated
products both
from the producers and the consumers
viewpoint (Gwynne and Kay, 1997; Barton and Murray, 2009).
In a sense, wine can be seen as the latest stage in the diversication of the Chilean economy away from dangerous reliance on
non-processed primary commodities and therefore as part of the
ongoing geographical restructuring of the Chilean countryside
driven by neoliberal reform beginning in 1973. In many ways
underpinning all of this is a deeper shift in Chilean society which e
in some quarters at least e now views rural area as idyllic
in contrast to former stereotypes associated with traditionalism
and cultural backwardness (Kay, 1997, 2008).
Driven by forward sighted intervention at the institutional
level there has thus been a push to recognise and demarcate
regions of wine in Chile. This strategy has provided a framework
upon which various scalar strategies undertaken by the rms
have evolved. In our discussion above we identied ve ways in
which this policy change, in concert with the boom in exports
was restructuring the geographies of the Chilean wine industry in
particular and the associated rural spaces in general terms. In sum
these ve processes are: centralisation; upscaling in certain
regions combined with simultaneous downscaling in others; the
search for micro-niches; place-making and shifting rural
identities.
The sector was tending to concentrate in the Central Valley
region and in SantiagoeValparaiso corridor. This is a process which
is compounding the centralisation and primacy of the Chilean
space economy (Barton et al., 2007). Against the backdrop of this
trend towards centralisation we have seen processes that are
tending towards homogenisation and differentiation in terms of
the geographies of rural space simultaneously. Some companies,
especially in the better located central sites where economies of
scale are more readily available, have employed what we call
downscaling strategies, where large-scale production of bulk wine
on large plantations is carried out. This production, as is typied by
San Pedro in the vicinity of Curic can be seen as relatively placeless. Many of the bottles exported overseas will list the wine as
produce of Chile only e and sometimes not even that e and
on markets where low price is the main determining factor of
success. In areas where such strategies are employed we see the
evolution of an industrialised almost Fordist type ruralscape with
large rows of vines, enormous service buildings, well-maintained
highways that service this section of the industry and wage
workers living in nearby towns.
At the other extreme we are increasingly seeing the evolution
of what we have termed upscale production where the location
of production adds value to the product. This added value may
well be imbued by the physical geography of the area, and
microsites with especially positive attributes are increasingly
sought. It is in this sense that Chilean wine companies are
increasingly playing the scales. Companies are
developing
strategies which use the DO system to enhance their brand
development and thus make land more exible as a factor of
production whilst at the same time dissipating risk. Such
strategies include buying vineyard land in different regions to
plant varieties in places that are best suited to them, using
contract growers in other regions, and purchasing established
wineries elsewhere as a strategy of horizontal integra- tion. A
company is likely to employ a multi-scalar strategy seeking

advantage in different competitive niches and making the most of


supply networks in order to reduce cost. This will tend towards the
further differentiation of the Chilean rural space economy. A few
preferred areas e such as Casablanca or Colchagua e will receive
continued attention, investment and intensication with vineyards
becoming the dominant feature of the landscape and the local
economy prospering; whilst others e such as perhaps the Curic
Valley e may become more known for bulk or lower priced wine
production with vineyards competing with and being interspersed
with other land uses.
Many wine companies are xed to a single location, not least
given their evolution as family owned local oligopolies, dating in
some cases back to the pre-reform period in Chile (Kay, 2002).
Small and medium operators, often family enterprises, have
their own vineyard which supplies the grapes from which they
make wine on site. They produce wines xed to their site of
operation e single region wines. This can be an advantage in terms
of marketing when there is a strong association of the brand with
the place of origin, very much along the lines of the Bordeaux
chateaux or estate-bottled models in France and elsewhere. Yet
for the larger companies in Chile, this is not the common model.
Instead, companies seek to develop a portfolio of wines which
they can market, including a range of varieties and regions.
Customers thus develop brand loyalty and seek the brand to
supply a range of wines, whether different varieties, regions or
different quality/price grades.
Thus we can see that capital investment in the Chilean wine
industry is active in both building and deepening wine regions.
The industry will seek to identify and develop new regions e
this is typically a lower cost (because of cheaper land) but higher
risk (the region may not succeed) strategy e but more
commonly it will latch on to areas which have a history of
production in the market and, through strategic investment, it
will promote both the infra- structure and the essence of the
area in order to facilitate accu- mulation further. Such an
approach is more expensive at the outset because land e whether
developed as vineyards or undeveloped e costs more in
recognised and well-regarded wine districts. Furthermore
horizontal integration involving the buying of existing companies is
also costly. Yet the risks are lessened and there is the opportunity,
if
adequate investment is
made in
terms of
place
reconstruction, to collect a spatial economic rent from the regions
reputation which will manifest itself in terms of higher prices for
the bottles of wine. This tendency then to intensify or deepen
existing favoured wine areas rather than develop completely new
ones or re-brand perceived lower quality areas again is likely to
widen disparities amongst wine regions in terms of the way they
are perceived and the manner in which this feeds back into any
given zones competitive advantage.
Integral to the scalar strategies above a number of reconstructions of place are being employed in order to increase the
competitive advantage of certain products. Such strategies often
draw on an imagined past and build geographical myths around
companies and regions. This is part of a re-branding of place. As
a consequence the concept of the rural in Chile is becoming
hybridised; it is a place where the traditional and the modern coexist. This could be seen as part of the broader shift in Chile to
multifunctionality in the countryside and post-productive rural
spaces. Much of the heritage of wine regions is invented as part of
a witting strategy to add value. Yet as the industry looks to its
history to brand itself, it is fundamentally changing Chiles rural
geography: in landscapes, socio-economic organisation, relations
between capital and labour and in the very denition of rural
places. In this sense the rolling out of globalization does not create
homogenisation; it builds from and further perpetuates differentiation in the countryside. This renders the role of geography
increasingly dynamic, uneven, and multi-scalar.

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