This article explores the foundations of an industry whose rate of growth is surprising to most observers. Starting from an historical institutional (HI) perspective, we demonstrate that moderately adaptive institutions have been instrumental to the success of the Ontario wine industry up to this point. An analysis of coordination using a Triple Helix framework reveals, however, that the particularities of the institutional design have more recently served to reinforce a suboptimal policy trajectory that has consequently frustrated attempts to forge a coherent industrial strategy. Exploration of the role played by institutional venues as fora that encourage cross-coalition learning provides for a deeper understanding of an idiosyncratic sector and raises important theoretical issues concerning path dependency and the role of the state that can be overlooked easily in superficial applications of Triple Helix theory. The findings of this study suggest important lessons for sub-national innovation systems and innovation networks in high value-added, small market and low export industries.