India's First Wine, Food and Hospitality Website, INDIAN WINE ACADEMY, Specialists in Food & Wine Programmes. Food Importers in Ten Cities Across India. Publishers of delWine, India’s First Wine.
 
 
Skip Navigation Links
Home
About Us
Indian Market
Wine & Health
Wine Events
Hotels
Retail News
Blog
Contact Us
Skip Navigation Links
Wine Tourism
Book Review
Launch
Winery
TechTalk
Photo Gallery
Readers' Comments
Editorial
Media
Video Wall
Media Partners
Ask Wineguyindia
Wine & Food
Wine Guru
Perspectives
Gerry Dawes
Harvest Reports
Mumbai Reports
Advertise With Us
Classifieds
US Report on Indian Market Released
Top Ten Importers List 2015-16
On Facebook
 
On Twitter
Delhi Wine Club
 

Posted: Saturday, January 16 2010. 10:06

Casella Calls for Culling Vineyards

The Maharashtra farmers do not face this situation today but it might be relevant for them to understand the implication of John Casella, owner of the company that owns Yellow Tail, the biggest selling Aussie brand in the US agreeing that thousands of acres of vines need to be ripped out because of the continuing grape glut in Australia.

John Casella, MD and the patriarch figure of Griffith-based wine company Casella Wines says there is no painless way to end the grape glut that has led to plummeting prices and profit margins of the Australian wine industry. ‘Some growers just will have to remove vineyards. Whether that's individual growers or portions of their vineyards, it's up to the industry to decide,'' he said.

Doug Lehmann, MD of  Peter Lehmann Wines had reportedly warned last week that 35,000 hectares of vineyards needed to be removed to correct the huge imbalance between supply and demand.

A recent wine industry report said Australia was producing 20-40 million more cases than it was selling every year. This equals from 270,000 to500,000 tons of excess grapes, or 20,000 to 40,000 hectares of surplus vines.

Casella said there was about a 20 per cent gap between the amount of wine produced and total sales and the situation could not continue, according to the report .''We all are working as hard as we can to build markets, but we can't be reforming the Australian wine industry at the present time, '' said he reportedly.

Yellow Tail wine is the world's fourth-biggest wine brand and the No. 1 imported wine in the US. It is the biggest Australian wine brand in more than 10 countries and sold in 40 export markets. Last year the company's sales climbed to A $427 million.

The Maharashtra farmers have had a crisis year in 2009 and 2010 may not be much better because the wine producers are being conservative in buying grapes. The former number one producer Indage Vintner had a meteor crash from which it is struggling to recover. Although there is talk of its streamlining its house and even th4e possibility of coming back to the national market from April 2010, clearly the worst is not over yet.

But whether it is through the Indian National Grape Board or any other quasi government agency, the farmers might expect some help but must have realized that all is not always honky dory with growing Cabernet Sauvignon and Shiraz.

       

Want to Comment ?
Name    
Email       
Please enter your comments in the space provided below. If there is a problem, please write directly to arora@delwine.com. Thank you.
 

Captcha
Generate a new image

Type letters from the image:


Please note that it may take some time to get your comment published...Editor

Wine In India, Indian Wine, International Wine, Asian Wine Academy, Beer, Champagne, World Wine Academy, World Wine, World Wines, Retail, Hotel

     
 

 
 
Copyright©indianwineacademy, 2003-2020 |All Rights Reserved
Developed & Designed by Sadilak SoftNet