This new report from the Foundation for Alcohol Research and Education examines the balance of supply and demand within Australia’s wine markets.
Some key points:
- Over the last 15 years, production of wine in Australia outstripped demand, leading to a “wine glut”
- A Wine Restructuring Action Agenda was formed to rebalance supply against demand through voluntary industry action
- Analysis of six progress indicators shows that the wine industry has now stabilised, suggesting the wine glut is over
- The paper calls for this finding to be a prompt for decision makers to now review the Wine Equalisation Tax (WET).
Full report: Foundation for Alcohol Research and Education (2012) The wine glut: an analysis of the oversupply of wine in Australia and progress of the voluntary industry restructure [PDF: 1.4MB], Deakin ACT: Foundation for Alcohol Research & Education.