CANBERRA: Wine Australia, the generic body for the Australian wine industry, has announced that the value of exports grew by 11%, driven by bottled exports, particularly at higher price points, from July 2015 to June 2016. Wine Australia’s Export Report shows that bottled exports grew by 15% to AUS$1.7 billion and the average value of bottled exports increased by 9% to $5.35 per litre, the highest since October 2003.
Wine Australia CEO Andreas Clark (pictured) said: “Pleasingly, demand for Australian fine wine has continued to grow, particularly in North America and Asia. “Our finest wines contributed to almost half of the total value growth in the last 12 months, with exports priced at $10 FOB (free, on board) and over per litre up 26% to a record $499 million. “This increased demand for Australia’s finest wines was reflected in all of our top five export markets. “Exports priced $10 FOB and over to the United States grew by 16%, mainland China by 71%, the United Kingdom by 15%, Canada by 12%, and Hong Kong by 5%. ‘This growth contributed an additional $102m to the value of Australia’s wine exports’, said Clark.
All export regions recorded growth in the last year, except for Europe, which declined by 1% to $574m. North east Asia continued to lead growth, with value increasing by $158m (34%) to $618 million. Next in absolute growth was North America, growing by $46m (8%) to $646m. Growth slowed to Southeast Asia, up $7m (5%) to $142m.
Australian exporters continue to see benefit in export markets with free trade agreements (FTAs). Exports to mainland China grew by 50% to $419m, despite a slowing economy, Sahys Wine Australia. This exceptional growth was aided by the China–Australia Free Trade Agreement, and the growing Chinese middle class’s increased interest in wine. When combined with Hong Kong ($124m), China is the largest market for Australian wine exports. Value to mainland China increased across the price segment spectrum, says WA, with the greatest growth once again in exports valued at over $10 per litre, up 71% to $169m. Exports to Japan increased by 4% to $45m, while exports to South Korea were up 29% to $13m.
