Industry Analysis & Industry Trends
Difficult trading conditions have plagued the Wine Production industry over the past five years. Volatile economies in key export markets, a soaring Australian dollar for much of the period and rising competition from overseas low-cost wine producers have hurt wine exports. In the domestic market, producers have lost bargaining power to the supermarket giants and been forced to contend with changing consumer preferences. Additionally, an oversupply of wine grapes, and the resulting oversupply of wine, has pushed prices downwards, squeezing margins and forcing many producers out of business. The emergence of ciders has helped to offset falling international demand for Australian wines, with savvy marketing driving substantial growth in demand for cider... purchase to read more
Industry Report - Industry Products Chapter
Wine manufacturing is expected to account for approximately 92.2% of industry revenue, while other alcoholic beverages within the industry account for the remainder.
Australian red wines are among some of the most prestigious and widely consumed red varieties in the world. Despite similar production volumes between red and white grapes, red grapes have contributed to a greater proportion of industry revenue. Collectively, the proportion of industry revenue derived from red wine sales has fallen over the past five years, due to strong growth in other segments. This is because the production process for red wines is relatively more complicated and cost intensive, adding to the cost of red wines... purchase to read more