Australian wine exports increase in 2016–17
Market Bulletin | Issue 69
The latest Wine Australia Export Report for the financial year 2016–17 shows the value of Australian wine exports grew by 10 per cent to $2.31 billion and volume increased by 7 per cent to 778 million litres.
The average value of exports grew by 3 per cent to $2.97 per litre free on board (FOB) – the highest level since 2008–09.
Overall, an additional $201 million in revenue was generated by Australian wine exporters compared to the previous year.
Australia is the world’s fifth biggest exporter of wine – behind France, Italy, Spain and Chile. In 2016–17, Australia outperformed each of the four larger exporters in its rate of export growth.
Exports at $10 and above per litre free on board (FOB) increased by 19 per cent to $594 million.
Exports by market
Australian wine exports were destined for 125 countries and value increased to 80 of these.
The top five markets by value were:
- mainland China (26 per cent share of export value)
- United States (20 per cent)
- United Kingdom (15 per cent)
- Canada (8 per cent), and
- Hong Kong (5 per cent).
Together, these markets accounted for 74 per cent of the value of Australian exports.
Exceptional growth to mainland China continued in this latest report, with the value of exports up 44 per cent to a record $607 million.
Exports to the United States also increased, by 3 per cent to $464 million, the highest value since 2011–12.
The United Kingdom market continues to be our largest in volume terms but, because 80 per cent of wine is shipped in bulk, it ranks third in value and exports were down 5 per cent to $341 million. There was very strong growth in exports at the high-end of price points, although it was more than offset by a decline at the low-end.
Exports by wine style
Red wine continues to be the dominant Australian category with a 73 per cent share of export value, ahead of white wine with 23 per cent, and other wines with 4 per cent.
Red wine was the standout growth category for table wine, up 12 per cent to $1.7 billion. Exports of white wine also grew but at a much lower rate, up 1 per cent to $540 million.
Visit the Market Insights section of our website for more detailed reports by market, variety and GI region.
