Australian wine sector sees signs of adjustment, but red stocks remain high

Total sales of Australian wine exceeded production for the second year in a row, following successive small vintages, according to the Australian Wine Production, Sales and Inventory Report 2024 released today by Wine Australia. Wine production was just over 1 billion litres (116 million 9-litre case equivalents), an 8 per cent increase compared with 2022–23 but still the second-smallest reported production in 17 years, and 16 per cent below the 10-year average of 1.24 billion litres. Peter Bailey, Manager, Market Insights at Wine Australia said that the below-average production from the small 2024 vintage was the result of a combination of seasonal factors and economic and market conditions. “This was another difficult season in many regions, with heavy rainfall and flooding, widespread windy conditions affecting flowering, and dry spring weather leading to cold nights and the potential for frost damage,” Mr Bailey said. “However, the result has also stemmed from deliberate ...