Slump puts a cork in wine exports
Blair Speedy | July 09, 2009
Article from: The Australian
THE value of Australia's wine exports fell by 10 per cent over the past financial year, the second straight year of decline as the global financial crisis led drinkers to trade down to cheaper tipples.
Figures released by the Australian Wine and Brandy Corporation showed wine export revenues fell by $257 million to $2.427 billion in 2008-09, their lowest level in six years. AWBC senior analyst Peter Bailey said consumers had become increasingly conservative as the global economy soured, boosting demand for lower-priced bulk wine at the expense of bottled.
At the same time, the price of both bulk and bottled wine fell, with the average sale price dropping by 14 per cent to $3.24 per litre, the lowest in more than 10 years.
Export volumes managed growth of 6 per cent to reach 750 million litres, the second-highest figure on record following 2006-07, when 798 million litres were sold offshore.