Wine, Whine

In the midst of contentious state budget discussions, the important issues emerge:

Gov. Paterson’s proposal to expand wine sales in New York — and pour money into state coffers — has pitted supermarkets against liquor shops, and in some cases, it’s gotten vicious.

The liquor stores are lobbying to hold onto their near-exclusive right to sell wine, posting signs that say “Save Our Store” and urging customers to help kill Paterson’s plan to allow wine sales in grocery aisles. The proposal is estimated to bring in $150 million in franchise fees over two years.

Whole Foods fired back last week, sending e-mails to its clientele telling them to “Vote for Wine in 2009.” Included in the missive was a sample letter to send to lawmakers in support of the measure.

Whole Foods has joined with other supermarket chains, including Stop & Shop and King Kullen, and business groups to push the plan. Currently, only liquor stores, wine shops and wineries can sell wine in New York.

One supporter, upstate vineyard owner Scott Osborn, said that after he testified in favor of the proposal at a budget hearing last month, several liquor-store owners threatened to pull his wines from their shelves.

“I used to be pushing your wines, but now just looking at them makes me want to puke,” one liquor-store owner wrote in e-mail. “I’ll never sell any of your wines ever again!”

Osborn, who owns Fox Run Vineyards in the Finger Lakes, said the expanded market for his wine would help business. He asked Attorney General Andrew Cuomo to investigate what he said was a “coordinated campaign of intimidation and retaliation.”