The Beginnings of the Chilean Wine Industry
Winemaking in Chile began with the arrival of the Spanish Conquistadors. Missionaries introduced grapevines to Chile during the middle of the 16th century to supply wine for religious ceremonies. Francisco de Aguirre reportedly planted the first recorded vineyards in Chile on his land in Copiapo, in the north of Chile. In 1554, Diego Garcia de Caceres planted Santiago's first vineyard. Grapes from the Santiago area were used to make wine for religious ceremonies, according to archives dated as early as 1555. During the next 100 years the cultivation of grapevines and the production of wine continued southward to and beyond the Bio Bio River.

The Spanish Crown Restricts the Growth of Chile's Burgeoning Wine Industry
Chilean wine production had become so widespread and successful that in 1620, King Phillip II began issuing a series of royal decrees prohibiting the planting of new grapevines. The growth of Chilean wine production had begun to obstruct the export of wine and fortified spirits from Spain. King Phillip ordered a tax on the vineyards to secure Spain's share of the world wine market. According to historian Francisco Encina, settlers in Chile mostly ignored this decree and continued to plant grapevines in spite of the prohibition.

Look Out Europe!
Between 1784 and 1789 in Chile, wine exports increased dramatically and Chile began competing with European wines on the international market. By 1831 there were well over 19 million grapevines planted in Chile between Conception and Cauquenes.

The Beginnings of Chile's Modern Wine Industry
In 1830, a Frenchman named Claude Gay convinced the Chilean government to create a Quinta Normal de Agricultura, a state-owned agricultural station. The main varieties of grapes grown in Italy and France were introduced there for winemaking and consumption. By 1850 the Quinta Normal had over 40,000 grapevines and 70 different varieties.

French Vine Cuttings Arrive, Chile Enters a Modern Age of Winemaking
In 1851 Don Sylvestre Ochagavia Echazarreta carried today's most classic and internationally recognized varieties from France to plant on his land in Talagante. Echazarreta introduced the noble varieties including Cabernet Sauvignon, Merlot, Pinot Noir, Sauvignon, Semillion and Reisling. These cuttings represented a renaissance for winemaking in Chile. The vines adapted easily to Chile's climate and soils and today, they are thought to be the only pre-phylloxera clones that exist in the world.

Commitment to Quality
Prominent winegrowers began to plant the same European varietals that Echazarreta had introduced to Chile. French winemaking and vineyard experts were hired to oversee the planting of grapevines, to manage the vineyards, and to produce and age wine as it was done in Europe. These wealthy, aristocratic Chilean vintners recognized the importance that vineyard and wine management played in the quality of wines produced.
The importation of European experts to the Americas and the exchange of rootstocks between Europe and the Americas is closely associated with the blight of Phylloxera, a vineyard pest which devastated European vineyards in the 1880s. Chile remains the world's only wine-producing nation where Phylloxera has never been found.
By the 1880's Chilean wines were being successfully marketed and exported to Europe. The quality of Chilean wines gained recognition at exhibitions and competitions culminating in 1889 when Chilean wines were awarded the "Grand Prix" at a prestigious Paris tasting. By 1938 Chilean vineyard acreage grew to over 100,000 hectares, as wine exportation reached its pre-war peak.

Politics and World War II Thwarted the Thriving Chilean Wine Industry
During the 1940's with the onset of World War II, the Chilean wine industry began a decline that lasted into the 1980's. Heavy taxes were imposed on the winemaking industry and social policies designed to fight alcohol consumption drastically hurt wineries and growers. In 1980, there were 106,000 hectares of grapevines under cultivation, roughly the same number as in 1938, although the population of Chile had almost doubled.
In the 1970's and 1980's domestic demand for Chile's basic wines declined, causing grape prices to fall dramatically. About half of Chile's vineyards were uprooted. The unstable political climate at the time in Chile was another factor that caused the wine industry to weaken.

The Modern Recovery of the Chilean Wine Industry
After the return of democracy in 1990, the Chilean wine industry has slowly but steadily recovered. Between 1990 and 1993 10,000 hectares, have been planted to premium wine grape varieties. Major investments have been made in modern winemaking technologies and the focus has changed from quantity for the domestic market to quality for export markets.