Wine comes at all prices, from the quite inexpensive to what many of us cannot imagine paying for a single bottle of wine. But the question is, how does that price break down and who gets what piece?

In states like Idaho where liquor, including wine, is state-regulated, we all pay the same amount at the wholesale level. So whether it is a shop like the dinner party, a big box retail store, or a restaurant, the wholesale price for all of us is the same and "posted" with the State of Idaho Alcohol Beverage Control Board. Restaurants mark the price up a bit more than retailers to cover their labor and glassware costs in serving a bottle of wine. There is also a markup at the distributor level.

From the wholesale level, though, the question is, where does the money go? Raw materials represent the biggest piece, which means grapes. While high-end well-grown Napa Cabernet from the most sought-after vineyards runs about $8,000 per ton, a more reasonable average is between $2,000 and $2,500 per ton, with each ton producing about 155 gallons. Using the mid-level tonnage price, that works out to about $3.60 in grapes per bottle. If they are lower quality grapes from a less desirable appellation or perhaps a varietal that yields more juice per grape the cost can be lower, but that is a good average.

Other costs that are difficult to quantify are the barrel cost for aging the wine, as well as the cellar labor and geography in the cellar the wine takes up prior to bottling. All of the other ingredients that go into wine, like yeast and the various chemicals used, rent for winery equipment if the winemaker does not have their own facility or the operating costs of the equipment if they do have their own winery, also must be included.

Continuing with hard costs, a typical bottle costs about $1 each, including the actual cardboard case box it comes in. The bottles are removed from the box, placed on the bottling line, and then returned to the box once filled, labeled and sealed. Half-bottle sizes and large format bottles or heavier caliber glass cost more.

Most wineries do not have their own bottling line, which is a huge investment. Instead, they use a mobile bottling line, which shows up in a semi-trailer. The rent for these engineering masterpieces that fill each bottle, label and seal the wine, and then place the foil on top of the bottle is charged on a per case basis and costs about $4.50 per case, so figure about $.40 per bottle for bottling.

Foils add another $.04 to $.10 per bottle and labels printed, depending on how elaborate they are, add $.30. Corks are about $.65 per cork for the real ones and around $.12 for the plastic ones. Stelvin twist caps run about $.50 per bottle, but require a specialized bottling line.

Another cost that is difficult to quantify is the filing and legal cost to get each label approved by the government, which is a longer process in the first year. There is a recurring cost, as each label for each vintage must be approved by the US Government and in most cases, by the state where the winery resides or the wine is marketed.

Freight charges are added to get the wine from the winery to the market where it is sold, and storage costs to hold the wine until shipped can't be ignored, either.

There is a significant cost of capital for wines that are aged, as all manufacturing costs incurred along the way are not recouped until the wine is actually sold. Finally, profits to the winery owner need to be considered as well.

The U.S. Government charges an excise tax that is applied at the manufacturing level, and in some cases there is a state excise tax as well. These taxes are based on alcohol percentage, percentage of the grape, and manufacturing costs difficult to quantify but payable to the governing bodies as the wine moves through the process, and is then passed on to consumers.

In Idaho and many other states, wine must be purchased from state-licensed distributors. The distributors charge a percentage for their shipping, storing and handling of the product, as well as their labor and all other costs of doing business and providing for their profits.

Wine consumers are ultimately concerned with the price on the shelf and if the wine meets their value expectations. However, it is helpful to consider all that goes into that equation, from the time the grapes are harvested until the cap is twisted or the cork pulled at our dinner table on any given evening.

If there is a topic you would like to read about or if you have questions on wine, you can email George@thedinnerpartyshop.com or make suggestions by contacting the Healthy Community section at the Coeur d'Alene Press.

George Balling is co-owner with his wife Mary Lancaster of the dinner party, a wine and table top decor shop in Coeur d'Alene by Costco. George is also the managing judge of The North Idaho Wine Rodeo and is the wine editor for Coeur d'Alene Magazine (www.cdamagazine.com). You can learn more about the dinner party at www.thedinnerpartyshop.com. You can get all of these articles as well as other great wine tips by friending us on Facebook http://www.facebook.com/#!/dinnerpartyshop.