Wine exports drop to 20-year low, excluding

sales to China

June 2025 Australian winemakers are deeply concerned about recent data indicating the nation is exporting some of its lowest wine volumes in more than two decades. Excluding China, the amount of Australian wine exported to the rest of the world declined in the past 12 months, as cheaper, bulk wine falls out of favour and health-conscious consumers drink less. While China took $1.03 billion worth of Australia’s premium wine last year, Wine Australia’s latest report shows the lucrative market has cooled from its peak. This has prompted Australian winemakers to again call for support to find new markets or transition out of the industry. Wine Australia marketing insights manager Peter Bailey said the industry faced tough times, and it could get worse. “What it shows is the global wine market is facing considerable headwinds, which are impacting on the results outside of China, and they’re unlikely to be resolved in the near term,” he said. “We’re seeing a long-term trend of consumers drinking less alcohol due to health and wellbeing concerns and, more recently, around cost-of-living pressures, and these could get worse in certain markets given the economic and political turmoil taking place globally.” Australia’s overall wine exports increased 41 per cent in value last year to reach $2.64 billion, while overall volume increased by just six per cent. The increase in value was attributed mainly to premium wine heading to China after the removal of hefty tariffs last year. But the volume of wine exported to China was well below its pre- tariff peak, while exports to the rest of the world dropped by nine per cent. Mr Bailey said China remained keen on Australia’s premium wine but was not the solution to the industry’s wider crisis. “The lower volume and higher value demonstrate that China is very much a premium market for Australian wine and will therefore not solve any oversupply issues,” he said. Call for government support Kingston Estate Wines, in South Australia’s Riverland, is one of Australia’s leading bulk wine exporters. Managing director Bill Moularadellis said the entire industry was adapting to a very different Chinese market since tariffs. “We’re all competing in a much smaller market, and there’s been significant price deflation,” he said. Mr Moularadellis said the “seismic shift” in global drinking habits required new markets and products to revive the industry. Source: abc.net.au

Greek Tribune Adelaide, South Australia