That decline is a bit strange, since Andreas Clark, CEO of Wine Australia, suggested “there is positive sentiment about Australian wine in the USA among key influencers and consumers.
“While consolidation at the distribution level of the three-tier system is proving to be a difficult barrier to overcome, the hard work of Australian exporters willing to get in to market is starting to pay off, he said, adding:.
‘Australian wine sales in the on-trade have increased by 4% in value in the year ended June 2018 to US$267 million (Nielsen-CGA) and sales in the off-trade have increased by 3% to $522 million (IRI Worldwide).
‘In the off-trade, ground is being made at premium price points, with Australian sales up by 1% in the $15.00 to $19.99 per bottle segment and up 29% in the US$20.00 to $24.99 per bottle segment. There is also solid growth in sales of Australian Cabernet Sauvignon and Chardonnay. These positive trends, as well as a favorable exchange rate, are laying the foundations for Australian wine to find success again in the world’s largest wine market.”
Globally, Australian wine exports continue to experience strong growth in both value and volume, with an increase of 11% in value to $2.71 billion and 5% in volume to 842 million liters (or 94 million 9-litre case equivalents) for the year ended Sept. 2.
Shipments of bottled wine increased by 8% in value to $2.16 billion and 2% in volume to 366 million liters (41 million 9-litre case equivalents). Shipments of unpackaged wine also grew strongly, with a 23% increase in value to $525 million and a 9% increase in volume to 468 million liters.
There were also increases in the average value of wine exported, with a 7% increase for bottled wine to $5.90 per liter, a 13% increase of unpackaged wine to $1.12 per liter and a 5% increase of all wine exported to $3.21 per liter.
“Today’s export figures show that there has been strong and sustainable growth over the past 12 months, delivering the third year of double-digit growth on a year ended September basis”, Clark said.
“In the 12 months to Sept. 30, there was healthy growth across the price spectrum. Exports above $10 per liter increased by 20 % to $804 million, with the $20 to $29.99 segment in particular, showing considerable growth. Below $10 per liter, the $5 to $7.49 segment was the star, growing by $50 million”, he said.