In the year ended June 2018, Australian wine exports increased by 20 per cent in value to $2.76 billion, the highest growth rate in 15 years, according to Wine Australia’s Export Report, released today. Volume grew by 10 per cent to a record 852 million litres, or 95 million 9-litre case equivalents. The average value per litre increased by 9 per cent to $3.24, the highest level in almost a decade.
There were 2298 active exporters, shipping 23,761 unique products, in the year ended June 2018 – a 15 per cent increase in the number of exporters compared to the previous 12-month period (see Figure 1). Of these exporters, 1616 either started exporting or increased the value of their exports; these exporters contributed $653 million to the growth in overall export value. This growth was partially offset by those companies that either stopped exporting or decreased their export value during the period; these 1125 companies declined in value by $203 million.
Figure 1: Number of Australian wine exporters (year ended June 2018)
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Healthy growth at nearly all price segments
There was healthy growth at nearly all price segments (see Figure 2). Exports above $10 per litre increased 45 per cent to a record $855 million. The key price segments that drove this growth were the $20–29.99 per litre FOB and $50–99.99 per litre FOB categories; both increasing by more than 80 per cent. Also driving growth in overall value is the $2.49 per litre FOB and under segment, reflecting the increase in demand for bulk shipments.
Figure 2: Exports by price point (Million AUD FOB)
|
Price segment (A$/litre FOB) |
MAT June 2018 |
Value change |
Growth rate |
|
$2.49 and under |
$550 |
$71 |
15% |
|
$2.50 to $4.99 |
$837 |
$38 |
5% |
|
$5.00 to $7.49 |
$356 |
$59 |
20% |
|
$7.50 to $9.99 |
$158 |
$19 |
14% |
|
$10.00 to $14.99 |
$209 |
$30 |
17% |
|
$15.00 to $19.99 |
$74 |
-$10 |
-12% |
|
$20.00 to $29.99 |
$167 |
$78 |
87% |
|
$30.00 to $49.99 |
$106 |
$37 |
55% |
|
$50.00 to $99.99 |
$222 |
$102 |
86% |
|
$100.00 to $199.99 |
$22 |
$9 |
66% |
|
$200.00 + |
$56 |
$18 |
46% |
|
Total value |
$2,757 |
$450 |
20% |
Destinations
Nearly all export regions for Australian wine increased in value in the past 12 months, with Northeast Asia the stand out performer, growing by 51 per cent to $1.2 billion.
Other regions that experienced encouraging growth included:
- Europe, up 7 per cent to $608 million
- Southeast Asia, up 3 per cent to $168 million
- Oceania, up 15 per cent to $99 million, and
- the Middle East, up 39 per cent to $30 million.
North America was the only region to decline in value, by 4 per cent to $624 million, with a $12 million increase in the value of exports to Canada only partially offsetting a $39 million decline in the exports to the United States of America (USA).
Europe
Taken together, the countries in Europe approach the same export value as North America. Australia exported to 30 different countries within Europe, with exports growing to 19 of these destinations. The countries that grew in export value contributed $65 million to the overall increase in exports.
Standout performances in Europe include:
- United Kingdom, up 12 per cent to $384 million
- Germany, up 19 per cent to $59 million
- Sweden, up 12 per cent to $23 million
- Finland, up 6 per cent to $17 million, and
- Belgium, up 3 per cent to $15 million.
