China’s anti-dumping duties have seriously disrupted Australia’s wine trade, the latest research report from ABARES has found.
ABARES Executive Director Dr Jared Greenville said China’s anti-dumping duties – ranging from 116 per cent to 218 per cent – will cause China’s imports of bottled wine from Australia to cease entirely.
ABARES noted that only 60 per cent of wine destined for China will find a place in Australia's other existing markets by 2025 unless Australia makes the effort to find alternative markets or do things differently.
The NSW and South Australian state governments have funded programs to provide export support for the wine industry. Victorian Opposition spokesman and deputy leader Peter Walsh has previously been critical of the Victorian government's lack of similar support.
Dr Greenville said that for wine grape growers, the impact of the Chinese tariffs would be reduced production of $67 million annually. This represents annual losses of:
$11 million in the Riverina,
$11 million for the Victoria-North West region,
$23 million for South Australia-South East region, and
$21 million for growers everywhere else.
ABARES noted that so far this year Australian wine exporters have managed to redirect around 30 per cent of the wine destined for China.