Ag touted as way to grow region's tourism

The Salinas Valley, often overlooked by tourists who flock to spend their dollars at the resorts and attractions of the Monterey Peninsula, may be able to draw some of those dollars back into Salinas and south Monterey County by developing itself into a destination for agricultural-based tourism.

The area already known as the nation's "salad bowl" could also seek to diversify its agricultural base further by growing crops for fuel, medical and other biotechnology applications.

At a daylong "Ag Innovation" action summit, government, education and business leaders, including those from the valley's $200 million wine grape industry, discussed how the county can further capitalize on its existing strength -- its $3.5 billion agriculture industry -- to launch what Salinas Mayor Dennis Donohue called a "green gold rush" of dollars and innovation.

The summit, organized by the Salinas Valley Chamber of Commerce, the city of Salinas and Hartnell College, was the second of two such events led by urban scholar and author Joel Kotkin, who has been hired by the chamber to undertake an economic analysis of the city, focusing on how to improve the work force and foster economic growth.

"You have to start looking at the competitive advantages of this place, and the ag sector just leaps off the charts. It's bigger, stronger and better than anything else and it's where you're going to distinguish yourself," Kotkin said. "It's the marriage of ag with technology, of ag with tourism and I would even argue the marriage of ag with urban revitalization."

Plans already are in the works to develop a "wine corridor," destination, which would include the areas surrounding River, Metz and Jolon roads in the Santa Lucia Highlands. The corridor would be a dedicated region where wineries and vineyards can establish tasting rooms, much in the same way that Paso Robles has developed its own wine destination.

The provision for the wine corridor in the county's General Plan, which has yet to be passed, would allow wineries producing less than 50,000 cases a year to bypass the lengthy and complicated Environmental Impact Report process if they build or expand in areas specifically designated by the county.

About 70 percent of the grapes grown in Monterey County are exported to be processed and labeled by winemakers in the Central Valley or Napa and Sonoma counties. While Monterey County has almost as much planted acreage as Sonoma County, it has only about 25 wineries versus Sonoma County's approximately 190 wineries.

"I have routinely said that I believe the Salinas Valley's best days lay ahead, and I believe there will be a second, green gold rush. But we're going to have to think differently and confront the financial realities that will make that possible," said Donohue, a former Silicon Valley tech salesman who now heads European Vegetable Specialties, the world's largest grower of radicchio.

Ag tourism, he said, is a possibility and could be much bigger than someone who drives a tour bus and takes small groups to "see a few places ... but it isn't a green gold rush," he said, adding that the wine corridor has the potential to turn south Monterey County into the next south of France.

"People roll their eyes when I say that, but the reality is ag will be big on a go-forward basis," he said. "If you're a commodity player or a processor, you're worried about the future. You know it's big, but you're not sure how profitable it is. We have to think about growing crops for things other than ... food, and with Monterey being uniquely who we are, it has to be done in a way that preserves our quality of life."

During a panel discussion on the wine corridor, Steve McIntyre, CEO of Monterey Pacific Inc., which grows 7,200 acres of wine grapes, said his company's 12,000-ton, custom-crush facility that opened in 2002 is one of the most high-tech wine facilities in existence. But it's also a very unattractive place from an ag tourism standpoint -- and that's why the wine corridor is key.

The facility "is impressive, but it doesn't want to make anyone fall in love," he said. "We're developing a small, artisan winery to do the romantic stuff, a lower volume, high margin, direct-to-consumer and direct-to-trade facility. Growers need to be looking to integrate and build facilities to add value to the product."

Scheid Vineyards chief operating officer Kurt Gollnick said in order for Monterey County's wine industry to develop a sense of place and get added value, it has to keep more of its grapes in the county, in bottles that carry the Monterey County appellation.

"That has to change in order for us to remain viable. The wine industry is a very technology-driven industry, but tradition is required in our presentation and packaging. Tradition is key, " Gollnick said. "In order for us to be competitive, we have to be the very best at what we do, and there are some things we do better than anywhere else in the world. We're great chardonnay growers. We have to keep the money home and brand Monterey. That's the concept and the added value."

Ellen Rilla, who heads the Univeristy of California Cooperative Extension in Marin County, said developing Monterey County into an ag tourism destination means understanding the audience, and knowing exactly what it is you have to offer.

For consumers, "being able to connect with the people who grow your food is perhaps a more sellable experience than selling the food itself," she said.