The wine industry in the United States goes back to the 16th Century. However, its history has been a moved and busted one. The key attempts to produce wine in North America occurred in the eastern part of the country, mainly Florida, North and South Carolina. This wine was made of native grapes and the nip was far from that of European wine. The taste of this wine was for different and menacing to the European palette that they nowadays bringing grape vines from Europe to branch out in America. The first off efforts to jump off vitis vinifera, a untouched European grape ( Vitis sylvestris in some classifications ) native over a broad area extending from Spain in the west to the eastern Mediterranean and parts of central Asia, took place in the eastern United States back in the 17th Century. Lined up hence, all efforts to get vitis vinifera in this region of America failed due to looked for conditions. Eastern America was a hostile environment where local pests and fungi, censure which the European vines had no free rein, grow up widely. Nevertheless, the winegrowing efforts abide during the 17th and early 18th Centuries. Vines spread throughout what is now Mexico and the southwest of the United States with the support of Spanish soldiers and missionaries. Growing conditions in the western part of America were much friendlier and the wine production efforts were moved to this part of the America. The elementary California wines were made toward the limitation of the 17th Century by Spanish Monks who cultivated a grape brought from Spain to Mexico and then up into California. This grape, avowed as the " Aim grape " was strong produce in this side of America and although it did not generate the best wine, it became the basis of California wine production for many senescence. The head main beat to the wine industry in America happened with the Mexican Independent movement. The business wine production slowdown and fail when the Spanish were forced out coming Mexico ( California included ) became independent in the 1830s. Mission vineyards were companionless and midpoint at sea. Gladly, by the 1840s California joined the United States as a part of the agreement of the war between the United States and Mexico and California wine not only regained gift but it also raise a new bazaar, the American soldiers. In addition, a humongous boost to the California Wine Industry came from the California Gold Rush ( 1848 - 1855 ) that going on in January 1848, when gold was discovered at Sutter ' s Mill, which was a sawmill owned by 19th century pioneer John Sutter. This data is high for the transformation of California from a dull and unknown place to a prosperous locus of hustle. Some 300, 000 people came to this region from the rest of the United States. This appearance and partial tens of thousands of sect from Latin America, Europe, Australia and Asia. Also, California was admitted as a new estate, as a proceeds, an economic eruption began that massed the demand for wine. This economic boom that California was experiencing besides demanded higher standard wines. This newly increased demand for wine greatly helped the fast expansion of the wine industry in California. During the decades of 1850 to 1860 the wine industry accelerated tremendously. Wine production in the United States jumped from about 9, 500 hl of wine to 57, 000 hl of wine annually. California was the major production state. Even after the end of the Gold Rush period, the productions of wine continue to be vigorous. Europeans learned that their winegrowing skills were valuable. This fact, along with the great growing conditions for wine grapes that California offered, made them to stay and engage in the wine industry. A tremendous contribution to the history of California Wine industry was the Hungarian Colonel Agoston Haraszthy, today known as the father of modern viniculture in California. Haraszthy came to California in the 1840s and was very well impressed by the great vineyards growing in California. In 1857, Haraszthy purchased land in California ' s Sonoma Valley, within the Arroyo Seco Creek watershed, and began planting vineyards. By this time, wine production had already fully shifted to this part of California, which was the Northern part of the estate known as Sonoma Valley. The climate over here was great for the growing of vine grapes. Today, the Sonoma Valley is considered the birthplace of wine Industry in America. Haraszthy enthusiasm for wine production made him write a manual on vineyard management and wine making procedures. This manual persistently recommended the experimentation with different grape varieties in different soils and different parts of the state. In 1861, the State Legislature commissioned him to travel to Europe in order to purchase grapevines of every possible variety. He pioneered a number of viticulture experiments and innovation. He introduced about 300 different grape varieties. Unfortunately, not all grape varieties survived because at that time it was difficult to preserve and handle them. The second major beat to the wine industry in California happened in 1863. Species of almost all native American grapes were taken to Botanical Gardens in England. These species carry phylloxera, a pest that attacks vine roots and leaves. Phylloxera is native to the Americas and rarely damaged American vines by its feeding. However, to European vines it was devastating. Only two years later, by 1865, phylloxera had spread to vines in Europe and over the next 20 years it destroyed nearly 75 percent of the vines of France. Although the resistant carrier vines were from American, they were native of the east coast, not from the vines growing in California. Then when viticulturist brought back infested vine clippings carrying the insects from Europe to California, California vineyards were infected and devastated as well. After a lot of struggles trying to save vineyards in America and all over the world, Thomas Munson, a horticulturist in Texas, suggested grafting the European vinifera vines onto American riparia rootsocks. This produced phylloxera - resistant plants that yield European varietal grapes and saved vineyards from extinction all over the world. Yet, recovery from phylloxera was slow and endless. It is estimated that more than 10, 000 of Napa Valley vineyards were lost by the end of the 1800s. After the battle with phylloxera, the United States wine industry saw an increase in production and quality, mainly due to the arrival of more than 6 million of immigrants coming from Europe. By the beginning of the 1900s mission wine was almost entirely replaced with higher qualities of wines and American wine industry fully developed. From 1904 to 1908, 85 percent of U. S wine was produced in California. Annual U. S. wine production was 1. 55 million hl. By 1913 wine production increased to 2. 01 million hl. California wines industry was prosperous. International market started and wines were exported to Australia, Canada, Central America, England, Germany, Mexico and the Orient. Perhaps, one of the worst battles to the American wine industry came from National Prohibition. The 18th Amendment to the U. S. Constitution, which implemented the Dry Law, was ratified by thirty - six states in January of 1919. The used of beverage alcohol, other than for medicinal or sacramental purposes, was prohibited by law from January 1920 until 1933. Production of wine was permitted only for use in the home of the winemakers. Although some wineries managed to survive by obtaining permits to make wines used for medicinal, sacramental and non - beverage additive purposes, production dropped and amazing 94 percent from 1919 to 1925. By the time of Repeal of Prohibition, that took effect in December 5, 1933, the wine industry in California was almost eradicated. From 1920 to 1930, the years of prohibition, California grape production drop tremendously. During the 1930s wine production remained low. The impact of prohibition on the commercial wine industry was severe. Almost all 713 of the California commercial wineries that existed in 1920 were closed for more than a decade. The expansion of the market for high - quality commercial wines was cut short. Moreover, prohibition created an emphasis on the production of sweet dessert wines that lasted many years after repeal. By 1933, fortified desert wines were 3 of every 4 gallons produced and shipped in California. It was not until 1968 that table wines sales surpassed fortified or dessert wines. But the major damage caused by prohibition was not wine production or wine quality, those 13 years of abstention greatly impacted American wine consumption patterns. Its profound effects remain until these days. A rebirth of the wine Industry came with World War II when table wine was introduced to the American service men and the demands for table wine, once again, started to grow strongly. In 1965, Robert Mondavi, an Italian descendent of a family dedicated to wine growing for generations, initiated his own winery in Oakville, California. It was the first new large scale winery to be established in the valley since before prohibition. Following the founding of the Mondavi winery, an increasing number of wineries in the valley started to form and operate. This new wave of wine industrial production was flourishing. Wineries were not only worry of production increase, but also of wine quality. Premium quality wine was booming. This changed the reputation of California wines greatly. However, for some reason, the marketing and sale of this new production of high premium wine was not prosperous enough. Wineries were looking to different approaches to increase their wine markets. Frank Schoonmaker, a very known journalist and wine writer of the 1950s, recommended to label wines using varietals ( Pinot Noir, Chardonnay, Riesling ) rather than generic names borrowed from famous European regions like Burgundy, Chablis, Rhine, etc. Robert Mondavi was one of the first to label the majority of his wines by varietals names. He not only adopted this practice, but he also promoted it greatly in California. The 1960s and 1970s were successful times to the California wine industry. U. S. wine consumption increased by about 60 percent. Many premium wineries floured in California by the 1970s. Sales gained 13 percent by 1970 marking 265 million gallons. By this time, wineries were producing already premium and ultra - premium varietals of wine, bottled in. 75 liter standard bottles. The success was so great that California was victim of him own success. The mid 1970s were characterized by an overflow of the market. The California wine industry suffered a 25 of the county ' s contribution to the gross domestic product ( GDP ). According to the latest report of the Sonoma County industry series, the local wine industry is in the center of a healthy recovery. The grape crush was robust in 2005. An increase in prices, made 2005 one of the best years for the local wine industry, in almost a decade. The report also points out that the industry remains very positive. Furthermore, 2005 showed a sign of economic recovery in some quarters which was reflected in more people eating at fine restaurants. Selling wine to restaurants constitutes a significant portion of wine sales. Besides, the demand for cheap wine seemed to reach its highest level. The report says that Consumers were moving up market again. Total grape tonnage set a new record in 2005 for both Sonoma County and California. The total 2005 grape tonnage for the Sonoma County increased by 39, the fastest pace of growth since 1990. In addition, consumer spending data for the first quarter of 2006 showed that spending continues to grow. This suggests that 2006 wine demand will show to be another excellent year for California wine industry. Finally, the report prognosticates a favorable outlook for the wine industry. It also points out that wine was named in a recent survey as the most preferred alcoholic beverage by a majority of Americans.