Australian wine export values and volumes have reached all-time record levels with the value of wine exports up 20 per cent to $2.76 billion.
And export volumes climbed 10 per cent to 852 million litres, according to the latest Wine Australia Export Report.
Nearly all of the regions where Australia exports wine increased in value in the past 12 months.
Northeast Asia was again the standout performer, growing by 51 per cent to $1.2 billion.
Other regions that experienced encouraging growth included:
- Europe (7 per cent to $608 million)
- Southeast Asia (3 per cent to $168 million)
- Oceania (15 per cent to $99 million) and
- the Middle East (39 per cent to $30 million)
The top 5 markets by value in 2017-18 were:
- China, including Hong Kong and Macau (40 per cent of export value)
- USA (15 per cent)
- United Kingdom (14 per cent)
- Canada (7 per cent), and
- New Zealand (3 per cent)
North America was the only region to decline in value, by 4 per cent to $624 million.
However, a $12 million increase in the value of exports to Canada partially offset a $39 million decrease in US exports.
Wine Australia is now focussing its efforts on growing the US market.
“Importantly, the USA is the world’s largest wine market and Australia has the opportunity to capture more of the premium end of the market as American consumers trade up to higher priced wines,” said Wine Australia CEO Andreas Clark.
“Australia has been very strong in the commercial half of the USA market (54 per cent of the US off-trade volume is wines under US$8 per bottle), but this market is shrinking,” he said.
“As American consumers transition from commercial wines to more premium wines, Australia has to be there to capture the opportunity.”
Mr Clark said the premium end of the US wine market is now enjoying robust growth.
“We’re working to accelerate this growth in demand through a marketing push supported by the Australian Government’s $50 million Export and Regional Wine Support Package,” he said.
Last weekend Wine Australia launched an inaugural Australia Decanted wine event at Lake Tahoe, California.
The four-day wine education program attracted 100 key influencers from the US helping to raise awareness of the profile of Australia’s premium wines.
“Australia Decanted will become Wine Australia’s signature annual event in the USA and will be followed by Aussie Wine Week in September this year and Aussie Wine Month in September 2019,” said Mr Clark.
Assistant Minister for Agriculture and Water Resources, Senator Anne Ruston said wine regions across Australia are benefiting from growing export opportunities.
“They are a win for the wine industry and a win for regional Australia,” she said.
Ms Ruston said Australia’s free trade agreements are opening up new market opportunities for Australian wines.
“The market in China is continuing to expand with the value of wine exports up 55 per cent to $1.12 billion and volume up 47 per cent in the year to June 2018.”
The Wine Australia's Export Report is available at: www.wineaustralia.com