Australia wine exports are booming.
The latest Wine Export Approval Report by the Australian Grape and Wine Authority shows a rise of 3.6% in volume to 711 million litres, and 3.9% in value to AU$1.85 billion, in the 12 months to end of March 2015.
The renewed interest in Australian wines in international markets has pushed up prices, with premium wines (above $AU10) proving to be the most popular, up 12% to 18 million litres.
AGWA’s chief executive Andreas Clark says that while the depreciating dollar has an effect on exports, the industry is also benefiting from the Japanese free trade agreement, a rebound in the Chinese market and improved buying conditions in the US and the UK — two of Australia’s biggest export markets.
“Asia continues to be a key driver of growth with more than half of exports in the above $AU7.50 per litre segment shipped to Asian markets (up 13%) with the average value of exports to Asia $AU18.77 per litre. The biggest Asian market is still China but Japan has also seen strong growth as has emerging Asian markets such as Thailand, Malaysia, Taiwan and the Philippines,” Clark said.
Most price points saw an increase in volume with the only exception being the $AU5.00-$7.49 per litre range, where volumes fell 4% to 37 million litres.
In the last 12 months, the number of Australian wine products exported hit 17,387, up 6.6% — a record high for the $5.6 billion industry.
Trading conditions over the next five years are expected to continue to improve for Australian wine producers, with forecasts from IBISWorld predicting industry revenue will increase by 1.8% to reach $6.1 billion in the five years through 2019-20.
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