Producers get a sniff of better wine times

WA wine producers are predicting top-quality red and white wines this year as the Australian wine industry shrugs off the drought with predictions of a big jump in production.

The Australian Bureau of Agricultural and Resource Economics has forecast a 19 per cent increase in this season’s production.

The national wine grape tonnage is expected to reach 1.67 million, boosted by drought-hit growers in irrigation areas buying in water for crops and vines coping better than expected in harsh conditions.

While the figure is well below the record 1.9 million tonne crush achieved in 2004-05, ABARE predicted a return to average seasons could deliver a bumper two million tonne crop by 2009-10.

Wine Grape Growers’ Australia executive director Mark McKenzie said water supply would remain a key concern for growers and irrigators this season.

A tipped two million tonne crop “would put pressure on prices, there is no doubt about that”, Mr McKenzie said. “But I don’t think we will see the same oversupply issues we have seen in the past,” he said. “In 2010, we would have been tracking under our annual requirements for the last three years, our stocks will have run down, the industry will be in a better position to absorb a higher vintage.”

In WA, wine grape production is tipped to reach 85,000 tonnes, well up on pre-harvest estimates of 68,000 tonnes despite reports of mixed yields from WA growers.

WA Wine Industry Association vice-president Kerry Smart said early December rains and a mild summer had provided an ideal finish for fruit in many wine regions, resulting in top-quality red and white varieties. “Certainly the quality is as good as we have seen for a number of years,” he said.

Constellation Wines, whose brands include Houghton, Brookland Valley and Goundrey, said its total 2008 vintage intake was up 15 per cent from the drought affected 2007 vintage, to 294,300 tonnes.

The stronger result was driven by the purchase of temporary water by River Murray growers and fruitful crops in the cool regions of south and eastern Australia.

Claus and Lisbet Petersen, of Henley Park Wines, are a few weeks away from bottling their 2008 vintage chardonnay, chenin blanc and semillon in a “return to normal” production at their Swan Valley winery after a smaller crop in 2007.

Mr Petersen said the cabernet sauvignon was the stand-out performer in yield and quality.

This year’s rise in national production will be dominated by red varieties, expected to jump 31 per cent from last year to 884,000 tonnes.

May, 21 - 2008

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