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Rully is in a northern commune of the Cote Chalonnaise sub-region of Burgundy, in eastern France.
The village's appellation extends to neighboring Chagny and covers both red and white wines. Typically Burgundian, Rully's red wines are made from Pinot Noir, while the white wines are produced exclusively from Chardonnay and are often fermented or matured in oak barrels.
Because it lacks the prestige of the communes just to the north around Beaune and Nuits, Rully's best vintages provide relatively inexpensive access to some high-quality Burgundy wines. Some of the best examples of Cremant de Bourgogne come from Rully, giving it a reputation as an all-rounder rather than a specialist in any particular wine style.
The village of Rully itself is situated at the eastern foot of the Montagne de la Folie, a limestone ridge running from north to south and dividing Rully from Bouzeron, the most northerly of the Chalonnaise communes. The soils here are light and have a high sandstone component; this makes for excellent land drainage, but often leads to light-bodied wines that are best consumed within a few years of vintage.
The Rully title was created in 1939, around the same time as most of the other Chalonnaise appellations. Bouzeron had to wait until 1998. More than 20 vineyard sites in Rully have been marked out as worthy of Premier Cru status, representing around a quarter of the appellation's output and about one-sixth of its 865 acres (350ha) of vines.
Rully has been particularly badly affected by outbreaks of phylloxera, notably at the end of the 19th century.
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