The
domestic producers are facing a double-edged sword as the sales of imported
wines has kept on increasing. It now accounts for a record 14.8 per cent
of sales, up from 3.3 per cent a decade ago.
"These are the worst times that we've experienced in our industry
in a generation," Winemakers Federation Australia acting CEO Andrew
Wilsmore said He said a global oversupply of wine coupled with the higher
Australian dollar had seen international wines, including traditionally
expensive varieties such as Champagne, available at more competitive prices.
He also rued the strengthening of the Aussie dollar. He said if the Australian
dollar had remained between 70-80 cents, as it was a couple of decades
ago during the boom period of Australian wines, the industry would have
been more sustainable.
During the March quarter, wines from Italy and France recorded a surge
in Australia compared to a year earlier, while Chilean wine sales doubled,
according to the ABS figures. However, while New Zealand wines remained
the most popular of the imported varieties; they sell seven times the
sales of the second highest country, Italy, their sales fell nearly 10
per cent, indicating that this love affair of Aussies might be waning.
Australian Liquor Stores Association Chief Executive Officer Terry Mott
said, according to the news report in WAToday,
the quarterly figures did not account for Easter being later this year
and simply reflected the general downturn in the retail market, with consumers
becoming more conservative.
He said the Australian dollar was supporting a flood of imported wines,
particularly the New Zealand Sauvignon Blanc – Aussies have fallen
in love with the Marlborough offerings.
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