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Delaware to Mull DtC Shipping of Wine

A bill to permit direct-to-consume wine shipping and permit the state to collect sales and alcohol beverage taxes on sales of the products will be introduced in the state legislature.   Currently, Delaware is one of three states that prohibit out of state wineries from shipping into the state. "To

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by Joel Whitaker

A bill to permit direct-to-consume wine shipping and permit the state to collect sales and alcohol beverage taxes on sales of the products will be introduced in the state legislature.  

Currently, Delaware is one of three states that prohibit out of state wineries from shipping into the state.

"To be clear, I am not proposing legalizing the online retail sale of wine,” State Rep. Mike Smith (R) said. "My bill will deal solely with direct-to-consumer sales, with shipments sent from wineries to buyers."

He said the three-tier system excludes small business.  He cited industry data showing most of the nation's 10,000 wineries are low-volume operations that are too small to establish relationships with regional distributors, "making it impossible to get their products in Delaware."

He said he wasn't being critical of wholesales for not stocking or ordering niche wines.  “You can hardly blame them," he said. "The profit margins don’t justify the greater investment of resources when compared to marketing the top sellers for which there is a ready clientele and steady demand.”

Joel Whitaker profile image
by Joel Whitaker

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