The Australian Grape and Wine Authority’s (AGWA) latest Wine Export Approval Report December 2014, released on Wednesday, reports that Australian wine exports are up by 1.9 per cent in both volume and value.
This is the first increase to have been seen in export values since the global recession in 2007.
In addition, the Wine Export Approval Report also finds that Australian wine was exported to 121 destinations in the 12 months by 1,329 exporters – a significant increase from 893 exporters in 2013.
AGWA says the increase in volume was partially aided by the depreciating Australian dollar. However, the Spanish crush in 2013 put downward pressure on bulk wine prices, which continued to decline by 2 per cent to A$0.99 per litre. Nevertheless, bulk wine export volumes increased by 8 per cent.
The average value of bottled wine exports also grew, by 7 per cent to A$4.85 per litre – the highest recorded in a decade and driven by demand for Australian premium wines in North America, Europe and the majority of Asia, AGWA also reports.
Moreover, Wine Australia, a subsidiary of AGWA said this week that the Australia Business Week in India (ABWI) – Australia’s largest ever trade mission to India – has identified emerging opportunities for Australian wine in the market.
In attendance was Wine Australia’s General Manager, Stuart Barclay, who reports: “All week, I saw people really enjoying the wines they tasted and wanting to learn more about Australian wine. Our wines are exciting for a market like India where consumers are just starting to explore wine and discover what they like.”
“While the market may be small today and not the easiest to export to (the current tariffs are among the highest in the world at 150 per cent), the growth we’re seeing in our exports to India is an indicator of how quickly the market is developing and as a result of ABWI, Wine Australia will be exploring new opportunities to show local consumers the depth and breadth of Australian wine.”
Currently, India is ranked as the thirteenth biggest export market for Australia in terms of value growth and sixteenth for volume growth. In 2014, Australia exported approximately 1 million litres of wine to India, valued at $A3.7 million. This represent an increase by 27 per cent by volume and 24 per cent by value year-on-year, and both are expected to continue to grow.