A comprehensive, $109 million wine industry package to support the industry to transition, expand market demand, promote new regional investment and position the state’s wine sector for sustainable long-term growth has been announced by the South Australian Government.
The state’s iconic $2.4 billion wine industry, which products 80 per cent of Australia’s premium wine and supports more than 90,000 jobs, is contending with global oversupply, declining grape prices, shifting consumer demands and ongoing market pressures.
The $109 million South Australia Wine Industry Transition and Growth Package features a suite of measures including government-backed loans, business support, market promotion and the appointment of a Wine Industry Coordinator.
The package, which builds on existing state and federal government support, includes:
- Government-backed loans: A $100 million loan scheme will be established to help growers that wish to transition unviable vineyards to more sustainable and higher-value land uses. Eligible growers will be able to access loans of up to $500,000, with no principal or interest repayments required for the first two years of the loan.
- Export and market growth: $5 million to extend the Global Wine Growth Program for a further two years to drive international demand for South Australian wine. In addition, a targeted $675,000 advertising campaign will showcase South Australia’s premium food and wine, boosting tourism opportunities.
- Waste and inventory support: $2 million to enable government, council and industry collaboration on a waste solution for CCA (copper chrome arsenate) treated timber posts, including seeking to establish regional aggregation and storage sites.
- Vineyard transition support: $1 million over two years to provide growers with independent diversification planning advice to achieve sustainable transition outcomes.
- Surplus wine inventories: $500,000 over two years for assessment and development of industry-led solutions to address surplus wine inventories.
- Industry coordination: A new Wine Industry Coordinator will identify and address barriers to an orderly transition and strengthen engagement between industry, government and regional stakeholders.
- Planning changes: The Riverland Economic Recovery Joint Code Amendment will support winegrowers in the Riverland by facilitating housing and employment land, generating additional land-use opportunities.
“South Australia’s wine industry is built on generations of investment, innovation and regional expertise, and this support provides important confidence as the sector responds to changing global markets and consumer preferences,” said Kerrin Petty, Chief Supply Sustainability Officer at Treasury Wine Estates. “We welcome the government’s commitment to backing growers, producers and regional communities, helping ensure South Australian wines such as Penfolds, continue to be recognised and enjoyed around the world.”
The Wine Industry Transition and Growth Package was developed through consultation with key wine industry stakeholders following a wine industry forum convened by the South Australian Government.
The initiatives will help safeguard the sector’s long-term competitiveness while supporting regional economic resilience.
Further information on how to access the package will be available soon.
