AUSTRALIA: Analysts warn of Australian over-supply
The marketing consultant told the second conference, held in Adelaide, that premium wines were becoming available on the bulk market for the first time. He spoke as the Australian Wine Export Council gave a bullish reading to just released financial year figures showing strong growth in export volumes and value.
By contrast, van der Lee said: "Export growth has slowed to 18% in the past financial year. I think there are some reasons why that growth might drop away further."
No Australian wine region was immune from over-production and international competition would put added pressure on Australian wine styles, he said.
He estimated exports would grow from the A1.61 billion figure of 2000-01 to nearly A$3.5 billion (US$1.8 billion) in 2010. However, this is significantly down on earlier industry projections of a target of sales of A$5 billion.
But the 450 delegates at the meeting also heard from Mr Foale an economist with the ANZ Bank group. "The world is likely to be awash with higher quality bottled wine over the next decade," he said.
Global wine production had shrunk in recent years due to vine uprooting and replacement programmes and the Australian industry had occupied a comfortable niche, shared with the United States and New Zealand.
But he went on: "Now that the other New World (Chile, Argentine and South Africa) and European producers (France, Spain and Italy) are making a concerted effort to increase their quality, competition in the premium and super-premium bottled wine is set to intensify," Mr Foale said.
The UK market is developing in terms of sales and sophistication. Drawing on up-to-the-minute consumer research, Alex McPhee, Neville Calvert and David Matthews of management consultants, KPMG, examin...
Recently published research indicates that while consumers have taken to the clear and modern marketing techniques employed by New World producers, they still cherish the romance and mystique of wine,...
Seven French wine co-operatives have joined forces to create a brand to compete with its New World rivals....
US wine and spirits distributor New World Brands has appointed David Rudden as CEO....
UBS has begun its coverage of the Chilean wine producer Concha y Toro (VCO)....
Vincor International has reported a 46% increase in first quarter sales, compared to the same period last year, to C$165.8m, following its acquisition of Western Wines in July last year....
The Norwegian drinks distributor Arcus is to launch its own Argentine wine brand....
The French wine industry's troubles are unlikely to be helped by this year's harvest as preliminary figures predict a bumper crop, placing more pressure on winemakers who are still struggling to sell ...
- Brown-Forman's march on premium whisk(e)y -Comment
- Will US consolidation leave craft alcohol exposed?
- Are consumers getting tired of consuming?
- Where does AB InBev see the future of beer?
- Should Boston Beer Co put up the For Sale sign?
- Brown-Forman to buy BenRiach Distillery Co
- AB InBev snaps up Italy's Birra del Borgo
- Smirnoff Ice Electric flavours - NPD
- Bacardi rolls out new global Martini ad - video
- Brown-Forman appoints new GTR marketing head
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends
- Consumer and Market Insights: Wine Market in China
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends
- What Next for Beer and Brewers Following the MegaBrew Deal?
- Emerging Drinks Industry Trends