Australian wine industry is in trouble as prices plummet due to overproduction of grapes

Published 2024년 3월 11일

Tridge summary

Australia's vineyards are grappling with an oversupply crisis that has led to a significant drop in prices and forced many to destroy large quantities of grapes or shift to other crops. The crisis has been worsened by China's 2020 ban on Australian wine imports due to political tensions, and despite expectations of the ban being lifted, demand in China is dwindling. As a result, many vineyard owners are now opting to plant citrus and nut trees, while some wine merchants are concentrating on selling more expensive wines. This comes in the wake of a global decrease in wine consumption, especially cheaper red wines, which has severely impacted Australia, the world's fifth-largest wine exporter.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

(Griffith Reuters) Australian vineyards are celebrating a bumper harvest, resulting in overproduction and plummeting prices. To make ends meet, vineyard owners and wineries have been forced to destroy large quantities of grapes, while some owners have removed vines and planted other crops. crop. Australia is the world's fifth-largest wine exporter, and the latest figures show the country's stocks will exceed 2 billion liters by mid-2023, equivalent to about two years' production. In 2020, China banned Australian wine imports due to political disputes, causing Australia to lose its largest wine market. Although China is expected to allow imports again this month, this will not solve the problem of Australian wine oversupply, as demand in China is declining at a much higher rate in other areas. Faced with the current situation, many Australian garden owners have chosen to abandon grapes and plant citrus and nut trees instead. In Griffith, New South Wales, which is rich in grapes, ...

Source: Zaobao