The decline in Australian wine exports from 2021 is clearly evident. In 2023, the total export value fell to its lowest level since 2014, with the export volume being the lowest in the last 20 years.
Despite the red wine cellars being full, red grapes being partially cut to the ground, and vineyards being converted to white varieties, the proportion of red wine in exports remains similar to that of 10 years ago.
The United Kingdom has been, is, and remains the most important market for Australian wines. Export to the USA has been declining for some time. There were high hopes for China at one point, but these came to an abrupt end following the tariffs imposed at the end of 2020. Recently, more wine has been exported to Hong Kong than to mainland China.
"First signs of improvement"
Like many wine producing nations, its been a challenging few years for wine exports. In 2023, Australian wine exports were still well below long-term averages. However, there were early signs of improvement. For example, the United Kingdom, Australia’s largest export market by volume, saw export growth for the first time since mid-2021. Asia remains a strong region for Australian wine and the recent announcement by China’s Ministry of Commerce of the removal of duties on Australian wine has brought optimism. While mainland China is a different market now to what it was at the end of 2020, opportunities remain for Australian wine.
Our aspiration is to ensure that Chinese consumers once again have the option to enjoy Australian wines and believe that over time, Australian wine will again prove a favourite for many wine drinkers in China. Looking forward, the Australian wine sector will continue to focus on building a balanced export market portfolio, with activities focused on enhancing our market diversification.
