The challenges and opportunities for Australian wine across the globe

The global alcoholic drinks market – including wine – has been in a downward phase over the past decade. Peter Bailey, manager of Market Insights for Wine Australia, provided an overview of the state of the wine market at the Wine Industry Update. Per capita consumption has been declining as people have been moderating their alcohol intake primarily due to health and wellness concerns and, more recently, in response to cost-of-living pressures as many prioritise spending on essentials over alcoholic drinks. Wine consumption has declined at a much faster rate than other alcoholic drinks in recent years. Figure 1 shows the consumption of wine (the green line) versus other alcoholic drinks (the pink line). The pace of decline in wine consumption has accelerated since the advent of the Covid-19 pandemic in 2020. Wine consumption has fallen by four percent per annum compared to other alcoholic drinks at one percent. Prior to the pandemic both were declining at one percent per annum. ...