Market research
A tough year in the US was the backdrop for Australia's wine producers in 2018, although the increase in value exports outstripped volumes, according to figures released this week.
Trade association Wine Australia has published the country's latest wine exports numbers, with values in the 12 months of last year increasing by 10% to AUD2.82bn (US$2.02bn). Volumes also improved, but only by 5% to 850m litres.
Australian Wine Exports 2018: Top ten markets by value
| Market | Value | +/- on 2017 | |
| 1 | China (inc. HK and Macau) | 1140 | +18% |
| 2 | The US | 425 | -5% |
| 3 | The UK | 389 | +12% |
| 4 | Canada | 210 | +12% |
| 5 | New Zealand | 93 | +14% |
| 6 | Singapore | 89 | +18% |
| 7 | Japan | 55 | +17% |
| 8 | Germany | 54 | -7% |
| 9 | The Netherlands | 42 | +15% |
| 10 | Malysia | 32 | -35% |
Source: Wine Australia
Australian Wine Exports 2018: Top ten markets by volumes
| Market | Volumes | +/- on 2017 | |
| 1 | The UK | 27.3 | +10% |
| 2 | China (inc. HK and Macau) | 19.1 | +7% |
| 3 | The US | 17.9 | -7% |
| 4 | Canada | 8.2 | +19% |
| 5 | Germany | 3.9 | -12% |
| 6 | New Zealand | 3.6 | +11% |
| 7 | The Netherlands | 2.2 | +14% |
| 8 | Japan | 1.9 | +31% |
| 9 | Denmark | 1.3 | +14% |
| 10 | Belgium | 1 | -2% |
Source: Wine Australia
Shipments in the AUD10+ price segment improved markedly, climbing 22% in value terms. The AUD2.50-AUD4.99 segment - historically Australia's largest for exports - came in flat and was overtaken by AUD10+ in the year.
Looking geographically, and North-East Asia topped the chart for value exports, with the region coming in 19% up on the previous year. Europe, meanwhile, delivered a 7% value lift, although North America was flat, bucking the geographical trend for increases.
Wine Australia said: "Pleasingly, exports to North America are starting to level out after being in decline for more than 12 months."
Association CEO Andreas Clark added: "These figures demonstrate strong international demand and they highlight how Australian wine exporters have worked diligently to develop and maintain international markets."
Shipments were dominated by bottled wine, which accounted for AUD2.24bn of exports - rising 7%. However, bulk wine, which is bottled in-market, jumped by 27% in value terms to AUD560m.
Looking forward, Australia's wine industry will likely focus more of its efforts on China, where the tariff on Australian wine dropped to zero at the start of this year.
Why Australia will be the wine to watch in China in 2019 - Click here for a just-drinks analysis
Sectors: Wine
