Wine for National Vintage Australian Wine Report 2019

At a glance summary • The Australian winegrape crush in 2019 was 1.73 million tonnes – a decrease of 3 per cent from the 2018 harvest • The crush was very close to the long-term average of 1.75 million tonnes • Warm regions decreased less than cool/temperate regions: −−The crush in cool/temperate regions decreased by 5 per cent −−The crush in warm regions decreased by 2 per cent −−Warm inland regions increased their share of the overall crush from 72 per cent to 73 per cent • Red varieties fared better than white varieties in terms of production: −−Red varieties overall up by 2 per cent −−White varieties down by 8 per cent −−Shiraz down by 2 per cent −−Cabernet Sauvignon up 3 per cent −− up 13 per cent −−Chardonnay down 12 per cent • Average winegrape purchase prices increased across the board: −−The average across all varieties increased by 9 per cent to $664 per tonne – the highest since 2008 −−The average across all red varieties increased by 9 per cent to $845 per tonne −−The average across all white varieties grew by 4 per cent to $462 per tonne • The total estimated value of the crush increased by 6 per cent to $1.17 billion, with the lower tonnages offset by higher average prices • The proportion of winery grown fruit was up slightly to 32 per cent of the 2019 crush.

Overview of the 2019 winegrape crush

The 2019 winegrape crush is estimated to be 1.73 million in 2019 across all vineyards was 11.8 tonnes per hectare, tonnes, based on responses received by the National compared with 12.2 tonnes per hectare in 2018 and 13.6 Vintage Survey 20191. The estimated crush is 3 per cent tonnes per hectare in 2017 (assuming the same vineyard lower than the 2018 final crush figure of 1.78 million area for all three years). tonnes2 and only 1 per cent below the average over the past 10 years (2009-2018) of 1.75 million tonnes. This further reinforces Australia’s ability to deliver consistent winegrape harvests and mitigate the effects of difficult weather conditions such as those widely reported prior to the 2019 harvest.

The result of the recently published National Vineyard Scan 2018 indicates that the total area of vineyards in Australia is 146,128 hectares. Therefore, the average yield

1. See method section 2. Department of Agriculture levies unit recorded figure. Note this is different from the Wine Australia estimate reported in the National Vintage Report 2018 – see method section.

National Vintage Report 2019 Wine Australia 1 Figure 1: Historical Australian winegrape crush 2009–2019

2000 Wine Average 1.75m tonnes 2009–2018 Australia Estimate

1500

1000 Crush in ’000s tonnes 500

0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Source: Levies Revenue Service

The decline in tonnes was higher in percentage terms Across the states, ’s reported crush was from the cool/temperate regions, which were down by down 1 per cent, New South Wales was down 3 per cent, 5 per cent overall, while the warm inland regions (Riverina, was down 4 per cent and WA was down 6 per cent. -Swan Hill and Riverland) were down by 2 South Australia accounted for 50 per cent of the crush per cent. This led to a small increase in the warm regions’ (see Figure 2). share of the crush from 72 per cent in 2018 to 73 per cent in 2019.

Figure 2: Share of crush by state 20193

Western Australia 2% Victoria New 17% South Wales 30%

Tasmania 1%

Queensland <1%

South Australia 50%

3. The crush from Murray Darling-Swan Hill has been allocated to Victoria and New South Wales in the proportions 59 per cent/41 per cent – reflecting the respective vineyard areas according to the National Vineyard Scan 2018.

National Vintage Report 2019 Wine Australia 2 Looking at the largest GI regions across Australia, there trouble-free vintages after a low-yielding 2018. The were generally reduced yields in central regions in South warm inland regions generally had a very similar crop Australia as a result of extreme heat at crucial points in to last year, demonstrating the ability of irrigation, when summer and a dry winter, offset by significant increases available, to offset the effects of heat and dryness in the Limestone Coast regions, which had relatively (see Figure 3).

Figure 3: Percentage change in crush for largest 20 GI regions 2019 vs 20184

90 80 70 60 50 40 30 20 10 0 % change -10 -20 -30 -40 -50 -60

Hunter Riverina Riverland Tasmania Heathcote Swan Hill Padthaway Clare Valley Eden Valley Coonawarra McLaren ValeWrattonbully Hills Margaret River Great Southern Murray Darling – Langhorne Creek

Crush by colour and variety

The 2019 crush saw red varieties fare better overall than The top 10 red varieties had mixed results nationally, with whites in terms of yield. The 2019 red variety crush is Shiraz, Pinot Noir6 and Grenache recording decreases estimated to be 941,583 tonnes – an increase of 16,224 of between 2 per cent and 15 per cent, while Cabernet tonnes (2 per cent) compared with 2018. The white variety Sauvignon, Merlot and Ruby Cabernet increased by crush is estimated to be 786,871 tonnes, a decrease of between 3 per cent and 13 per cent (see Figure 4). The 66,949 tonnes (8 per cent) compared with 2018, and biggest percentage increases were in Durif (up 29 per cent) more than 100,000 tonnes below the record 2017 crush of and (up 46 per cent). Malbec reversed a 38 per 891,907 tonnes. This meant that red varieties increased cent decrease in 2018 and returned to the top 10 at the their share of the crush to 54 per cent, compared with expense of Mataro/Mourvèdre. 52 per cent in 2018. In tonnage terms, the biggest contributor to the increase Warm inland region5 reds were up by 5 per cent while was Merlot (up 13,589 tonnes), while Shiraz had the largest warm region whites were down by 8 per cent. This reverses decrease (down 7816 tonnes). the 2018 result, where reds were down and whites were Grenache recorded a drop of 15 per cent and slipped up. In the cool climate regions, both reds and whites were below Ruby Cabernet in the top 10 rankings. down – the whites by 9 per cent (in line with the warm regions) and the reds by 4 per cent. Pinot Noir reduced by 10 per cent (5317 tonnes) after an exceptionally high crop in 2018.

4. As response rates can vary from year to year, apparent changes in the crush may be partly attributable to a change in the response base. Percentage changes are particularly unreliable in smaller regions. 5. Murray Darling-Swan Hill, Riverina and Riverland. 6. The survey does not differentiate between Pinot Noir used for sparkling (white) and that used for red table wine. It is all counted as a red variety.

National Vintage Report 2019 Wine Australia 3 Durif increased by 29 per cent to a record 11,845 tonnes. The top three varieties account for 84 per cent of the red It has nearly doubled in crush since 2015. Most of the crush. Shiraz’ share of the red crush fell from 46 per cent to growth has been in the Riverina, which accounts for 44 per cent, while Cabernet Sauvignon remained at 27 per two-thirds of the Durif production. cent and Merlot increased from 11 per cent to 13 per cent.

Figure 4: Comparison of 2019 and 2018 crush for top 10 red varieties

500 -2% 2018 crush

400 2019 crush

% change YoY 300 3% ’000 tonnes 200

13% 100 -10% 1% 8% -15% 29% 46% 13% 0

Shiraz Cabernet Merlot Pinot Noir Petit Verdot Ruby Grenache Durif Malbec Tempranillo Sauvignon Cabernet

Only five of the top 20 white varieties increased their crush in the past five years and 7 per cent below the five-year volume in 2019. The Chardonnay crush decreased by average of 97,580 tonnes. Other top 10 varieties decreased 12 per cent (47,975 tonnes) to 356,250 tonnes, the lowest by between 7 and 14 per cent, except for Muscat Gordo in the past five years. This saw its share of the white crush Blanco (up 4 per cent) and Prosecco (up 42 per cent). decrease from 47 per cent in 2018 to 45 per cent in 2019. The Prosecco crush has increased from 2189 tonnes in Most of the decline in Chardonnay came from Murray 2015 to 9936 tonnes in 2019 – nearly a 50 per cent average Darling-Swan Hill, which was down by 17 per cent (19,422 annual increase. This has seen it jump from 17th largest tonnes) and may partly reflect changes in plantings and/ white variety in 2015 to 10th in 2019 – displacing Verdelho or irrigation strategies as well as seasonal conditions. in the top 10 (See Figure 5.) In percentage terms, the largest decreases were in Eden This growth in Prosecco production is mirrored in the Valley and the Adelaide Hills, where the Chardonnay crush domestic market, where sales of Prosecco have increased was down by around 50 per cent. by over 100 per cent in the past two years and it is now The second largest white variety, , the 11th largest varietal/wine style by value in the off-trade decreased by 1 per cent to 90,474 tonnes – the lowest retail wine market.7

7. IRI MarketEdge March 2019

National Vintage Report 2019 Wine Australia 4 Figure 5: Comparison of 2019 and 2018 crush for top 10 white varieties

500

-12% 2018 crush 400 2019 crush

% change YoY 300 ’000 tonnes 200

-1% 100 -7% 4% -10% -9% -7% -7% -14% 42% 0

Chardonnay Sauvignon Pinot Gris/ Muscat Semillon Colombard Riesling Muscat Gewürz- Prosecco Blanc Grigio Gordo Blanco Blanc à traminer Petits Grains

Crush by wine sector structure

The Australian wine sector is made up of a small number Table 1: Crush by winery size 2019 of large wineries and a large number of small wineries. # of respondents % of crush The National Vintage Survey results demonstrate this.

There were 39 respondents that crushed 5000 tonnes or 50,000 tonnes + 7 56% more and they accounted for 89 per cent of the reported 5,000–49,999 tonnes 32 33% crush, while the smallest group (crush less than 50 tonnes) 1,000–4,999 tonnes 48 6.6% accounted for 40 per cent of the respondents and less 500–999 tonnes 32 1.5% than 1 per cent of the crush (see Table 1). The number of respondents increased from 421 in 2018 to 547 in 2019 and 50–499 tonnes 207 2.6% the estimated non-response rate decreased from 17 per Under 50 tonnes 221 0.3% cent to 12 per cent. This makes the survey a very accurate Total 547 100% reflection of the Australian winegrape crush.

National Vintage Report 2019 Wine Australia 5 Analysis of grape purchases

The winegrape purchases collected in the National Vintage The national average purchase price in 2019 was $664 per Survey 2019 totalled 1,046,883 tonnes, with a reported tonne, up by 9 per cent on the 2018 overall average value total value of $692,750,202. Over 31,500 transactions8 of $611 per tonne. This figure is the highest since 2008 were collated from 357 different purchasers and form the and it is the fifth consecutive vintage where the average basis of this analysis. purchase price for winegrapes has increased. Since hitting a low in 2011, the national average grape price has Purchased grapes9 accounted for 68 per cent of the grape increased by a compound average annual rate of 6 per crush in 2019 – slightly higher than in 2018. The share cent. However, the national average value is still only 71 of purchased grapes is much higher in the warm inland per cent of its peak in 2001 ($933 per tonne). regions (74 per cent overall) than the cool/temperate regions (52 per cent), while across the states, excluding Growth in exports underpins the continuing success of the warm inland regions, the share of purchased grapes the Australian wine sector. Exports account for 63 per cent is highest in NSW (66 per cent) and lowest in Tasmania of wine production. There has been a strong correlation (22 per cent) and Queensland (8 per cent). between winegrape prices and average export value over the past 20 years, which has continued in 2019 (see Figure 6).

Figure 6: Winegrape prices and average export value historical10

Winegrape average Export average value ($ per tonne) value ($ per litre)

1000 6.00 900 5.00 800 700 4.00 600 500 3.00 400 2.00 300 200 1.00 100

0 0.00

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

8. Most transactions represent individual purchases but some respondents choose to group transactions by variety and region 9. Grapes purchased by wineries from independent grapegrowers – as opposed to grapes grown by the wineries themselves or an affiliated company. Note that some independent grapegrowers may also be wine producers. 10. Export average values are for YE June each year except 2019 which is YE March.

National Vintage Report 2019 Wine Australia 6 The average purchase price of red grapes overall Warm climate grapes increased in average value by more increased by 9 per cent from $772 per tonne in 2018 to in percentage terms than cool climate grapes (19 per cent $845 per tonne, while the average price of white grapes vs 3 per cent). increased by 4 per cent from $444 per tonne in 2018 to The largest percentage increase in average value in 2019 $462 per tonne this year. The divergence between red was in warm climate reds, which increased by 26 per cent and white average price has increased steadily since 2011, to $592 per tonne despite an increase of 5 per cent in driven by strengthening relative demand for Australian red tonnage. Warm climate whites increased by 9 per cent wine in export markets (see Figure 7). to $361 per tonne. Cool climate reds and whites both increased by 3 per cent to $1530 and $1096 per tonne respectively (see Table 2).

Figure 7: Comparison of red and white average winegrape purchase value 2007-2019

900

800 Red

700 Total 600 White 500

400 $ per tonne 300

200

100

0

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Table 2: Comparison of warm and cool average winegrape purchase value 2018 vs 2019

YoY percentage YoY percentage YoY percentage Warm Cool/temperate Total change change change Red $592 26% $1530 3% $845 9% White $361 9% $1096 3% $462 4%

Total $473 19% $1394 3% $664 9%

National Vintage Report 2019 Wine Australia 7 Over the past four years, the percentage increase in year-on-year percentage decreases in warm climate prices average value for warm climate grapes has exceeded that were greater on average than those in cool climate prices of cool climate grapes, regardless of relative differences in (see Figure 8). crush. This reverses a trend from 2009-2014 where

Figure 8: Percentage change YoY in average grape prices for warm vs cool climate regions 2009-2019

Cool climate Warm climate

40

30

20

10

0

% change -10

-20

-30

-40

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

National Vintage Report 2019 Wine Australia 8 An analysis of price dispersion by colour indicates a price grades did not change. In the case of whites, there dramatic shift upward in the prices paid for red varieties, was virtually no change in the price dispersion (Figure 9 with the majority moving from the $300-$600 range into and Table 3). the $600-$1500 range. The proportions in the top two

Figure 9: Percentage change YoY in average grape prices for warm vs cool climate regions 2009-2019

Tonnage of grapes sold in each price range

400000

350000 White 2018 300000 White 2019 Red 2018 250000 Red 2019

200000

’000 tonnes 150000

100000

50000

0 <$300 $300 to <$600 $600 to <$1500 $1500 to <$2000 $2000+

Table 3: Price dispersion nationally by variety and colour 2019

Price dispersion 2019 Percentage of fruit sold in each price bracket Variety $300 to $600 to $1500 to < $300 $2000+ <$600 <$1500 <$2000 Shiraz 0% 15% 71% 7% 7% Cabernet Sauvignon 0% 16% 72% 8% 4%

Red overall 0% 26% 62% 7% 5% Chardonnay 0% 88% 9% 2% 1% Sauvignon Blanc 0% 78% 18% 3% 1%

White overall 16% 71% 10% 2% 1% Total overall 8% 47% 38% 4% 3%

National Vintage Report 2019 Wine Australia 9 Total value of the 2019 winegrape crush

Extrapolating to the total crush by assigning the same 2019 Australian winegrape harvest of $1.17 billion, compared average price to own grown fruit as purchased fruit at a with $1.10 billion in 2018 – an increase of 6 per cent despite national varietal level gives an estimated total value of the the reduction in tonnage (see Table 4).

Table 4: Crush by major variety 2019

2019 weighted 2019 % change % change Est. total value Major varieties average tonnes in tonnes in price ALL grapes purchase value Red Shiraz 418,364 -2% $901 9% $376,768,911 Cabernet Sauvignon 253,581 3% $846 14% $214,549,368 Merlot 118,117 13% $645 20% $76,160,940 Pinot Noir 47,569 -10% $1,027 2% $48,865,279 Petit Verdot 22,119 1% $511 18% $11,301,528 Grenache 11,872 -15% $986 -7% $11,709,312 Ruby Cabernet 13,402 8% $531 25% $7,113,283 Durif 11,845 29% $695 16% $8,226,673 Malbec 6,098 46% $904 19% $5,513,204 Tempranillo 6,016 13% $1,038 -4% $6,242,863 Other red 32,600 15% $25,512,407 Red Total 941,583 2% $845 9% $791,963,767 White Chardonnay 356,250 -12% $464 7% $165,388,709 Sauvignon Blanc 90,474 -1% $569 -3% $51,523,917 Pinot Gris/Grigio 70,474 -7% $628 -6% $44,280,961 Muscat Gordo Blanco 59,931 4% $276 11% $16,540,973 Semillon 53,921 -10% $409 2% $22,042,161 Colombard 50,711 -9% $277 11% $14,032,387 Riesling 23,520 -7% $907 1% $21,329,706 Muscat Blanc à Petits Grains 20,400 -7% $352 9% $7,178,355 Gewurztraminer 11,884 -14% $384 4% $4,562,904 Prosecco 9,936 42% $835 10% $8,295,529 Other white 39,371 -3% $19,311,527 White Total 786,871 -8% $462 4% $374,487,128

Grand Total 1,728,454 -3% $664 9% $1,166,450,895

National Vintage Report 2019 Wine Australia 10 Table 5: Crush by state and region 201911

Tonnes Winery grown Winery Total collected Share of Number of Region purchased fruit grown share tonnes national crush respondents12

Murray Darling - Swan Hill 243,430 102,424 30% 345,854 22.4% 33 Murray Darling - Swan Hill 243,430 102,424 30% 345,854 22.4% 33 New South Wales (exc. MD-SH) 221,195 99,746 31% 320,941 20.7% 85 Big Rivers zone other 1,678 4,010 71% 5,688 0.4% 3 Canberra District 110 405 79% 515 0.0% 12 Central Ranges zone other 3,259 430 12% 3,689 0.2% 8 Cowra 2,939 0% 2,939 0.2% 3 Gundagai 3,465 47 1% 3,512 0.2% 9 Hastings River 4 2 36% 6 0.0% 2 Hilltops 1,235 564 31% 1,800 0.1% 16 Hunter 1,925 2,987 61% 4,911 0.3% 31 Mudgee 464 1,582 77% 2,046 0.1% 9 New England Australia 32 0% 32 0.0% 1 Northern Rivers zone other 7 3 28% 9 0.0% 2 Orange 2,345 2,221 49% 4,566 0.3% 35 Perricoota 162 0% 162 0.0% 3 Riverina 203,092 87,489 30% 290,581 18.8% 18 Shoalhaven Coast 5 6 54% 11 0.0% 1 Southern Highlands 5 0% 5 0.0% 1 Tumbarumba 470 0% 470 0.0% 11 Queensland 68 794 92% 862 0.1% 14 Granite Belt 63 545 90% 607 0.0% 11 Queensland zone other 2 146 98% 148 0.0% 3 South Burnett 3 103 97% 107 0.0% 2 South Australia 535,356 233,507 30% 768,863 49.7% 238 Adelaide Hills 12,718 3,284 21% 16,002 1.0% 75 Adelaide Plains 2,964 0% 2,964 0.2% 9 Barossa Valley 25,487 14,681 37% 40,169 2.6% 76 other 87 731 89% 818 0.1% 7 Clare Valley 7,765 7,809 50% 15,573 1.0% 40 Coonawarra 10,649 26,593 71% 37,242 2.4% 41 Currency Creek 1,256 1,883 60% 3,139 0.2% 12 Eden Valley 2,672 2,804 51% 5,477 0.4% 41 Fleurieu zone other 2,221 322 13% 2,543 0.2% 15 21 43 67% 64 0.0% 4 Langhorne Creek 26,216 16,920 39% 43,137 2.8% 47 Limestone Coast zone other 4,530 10,917 71% 15,447 1.0% 24 other 8,224 316 4% 8,540 0.6% 8 McLaren Vale 21,260 11,778 36% 33,038 2.1% 83 Mount Benson 1,577 1,312 45% 2,889 0.2% 10 Mount Gambier 889 0% 889 0.1% 9 zone other 984 33 3% 1,017 0.1% 10 Padthaway 22,823 14,392 39% 37,215 2.4% 17

11. This table reports only the collected tonnes - not the estimated total tonnes. The estimated non-response rate is 12% nationally. 12. The total number of respondents is less than the sum of respondents by state/region as respondents can source fruit from multiple regions.

National Vintage Report 2019 Wine Australia 11 Tonnes Winery grown Winery Total collected Share of Number of Region purchased fruit grown share tonnes national crush respondents12

Riverland 371,189 102,901 22% 474,090 30.6% 51 Robe 498 1,439 74% 1,937 0.1% 5 Southern Fleurieu 798 47 6% 845 0.1% 12 585 517 47% 1,102 0.1% 5 The Peninsulas 155 0% 155 0.0% 1 9,790 14,783 60% 24,573 1.6% 24 Tasmania 2,557 9,319 78% 11,876 0.8% 13 Tasmania 2,557 9,319 78% 11,876 0.8% 13 Victoria (exc. MD-SH) 27,785 39,099 58% 66,885 4.3% 161 2,231 434 16% 2,665 0.2% 17 278 88 24% 366 0.0% 6 1,677 222 12% 1,899 0.1% 12 Central Victoria zone other 476 3,208 87% 3,684 0.2% 3 194 676 78% 871 0.1% 11 162 100% 162 0.0% 3 Glenrowan 19 851 98% 870 0.1% 4 Goulburn Valley 1,761 5,177 75% 6,938 0.4% 11 843 1,471 64% 2,314 0.1% 12 Heathcote 3,783 5,612 60% 9,395 0.6% 35 94 428 82% 522 0.0% 2 King Valley 7,664 6,973 48% 14,637 0.9% 21 Macedon Ranges 53 64 55% 117 0.0% 9 Mornington Peninsula 1,249 2,570 67% 3,819 0.2% 36 zone other 35 82 70% 117 0.0% 4 North West Victoria zone other 336 197 37% 533 0.0% 3 Port Phillip zone other 9 47 83% 56 0.0% 2 276 997 78% 1,272 0.1% 16 Rutherglen 429 1,010 70% 1,439 0.1% 13 Strathbogie Ranges 164 1,488 90% 1,652 0.1% 5 Sunbury 39 0% 39 0.0% 2 1,090 4 0% 1,094 0.1% 7 Western Victoria zone other 76 0% 76 0.0% 2 Yarra Valley 5,009 7,338 59% 12,348 0.8% 40 Western Australia 16,490 15,504 48% 31,994 2.1% 93 Blackwood Valley 697 9 1% 706 0.0% 5 Geographe 763 594 44% 1,357 0.1% 19 Great Southern 2,620 1,950 43% 4,570 0.3% 22 Greater Perth zone other 20 0% 20 0.0% 1 Manjimup 67 191 74% 258 0.0% 4 Margaret River 10,959 9,372 46% 20,330 1.3% 62 Peel 3 11 80% 14 0.0% 2 Pemberton 1,059 640 38% 1,699 0.1% 9 Perth Hills 32 100% 32 0.0% 3 Swan District 302 2,706 90% 3,008 0.2% 15

Grand Total 1,046,883 500,394 32% 1,547,276 100.0% 547

12. The total number of respondents is less than the sum of respondents by state/region as respondents can source fruit from multiple regions.

National Vintage Report 2019 Wine Australia 12 Method

The National Vintage Survey is a single annual crush and price survey conducted by Wine Australia on behalf of the Australian wine sector. This report has been prepared by Wine Australia based on an analysis of survey results.

Wine grapes levy payers (approximately 2000 businesses) were surveyed. Wine Tasmania conducted the survey in Tasmania in collaboration with Wine Australia to ensure alignment of method and to minimise survey load.

Respondents were asked to provide individual transaction data by variety and region for grape purchases and a summary of their own (winery) grown fruit by variety and region. This enables accurate reporting of crush (production) and price dispersion data by variety and GI region as well as at a national and state level.

Responses were received from 574 businesses, including all wineries known to have crushed over 5000 tonnes. The collected tonnage is estimated to account for 88 per cent of all winegrapes crushed in 2019.

Calculating the national crush estimate

At a national level, the data collected has been scaled 2019 estimated crush calculation up to provide an estimate of the actual crush by variety Change in crush from respondents who responded in 2018 (including non-collected tonnes). and 2019: -2.9% The actual crush figure for each vintage is taken to be the Department of Agriculture figure for 2018: 1,779,179 tonnes figure provided by the Department of Agriculture levies unit, which collects levies based on crush and is the most Calculation: 1,779,179 x (1-0.029)=1,728,454 accurate crush figure available. This figure is updated as Wine Australia estimated crush for 2019: 1,728,454 tonnes levy returns are received and is not finalised until 12-18 months after the vintage it refers to. Therefore It should be noted that the 2018 figures reported in this Wine Australia prepares an early estimate of the crush report will vary slightly from those reported last year, as for the wine sector based on the survey results. they have been adjusted based on using the updated Department of Agriculture recorded figure for 2018 rather The crush estimate is based on calculating the ratio than the Wine Australia estimate. of tonnes collected in the survey in the current year to the tonnes collected from the same respondents in the Wine Australia estimate in 2018 survey: 1,794,182 tonnes previous year13. This is assumed to be representative of Department of Agriculture figure for 2018: 1,779,179 tonnes the change in crush between the two years. The Wine Australia estimate for the 2018 crush was 1 per This change in crush is applied to the final Department of cent above the final Department of Agriculture figure. Agriculture figure for the previous vintage to provide an estimate for the current vintage.

13. The tonnage collected from this group is estimated to be 85% of the total crush

National Vintage Report 2019 Wine Australia 13 Notes on the regional summary tables

Individual regional tables and state reports prepared to protect confidentiality. However, the calculated value using the survey results use the collected figures rather is included in the total purchase value for red and white than scaled-up figures, and are therefore likely to varieties overall. underestimate their total crush but do not build in any The value of own grown fruit is estimated using the assumptions, which would be less reliable at a variety- same calculated average purchase value as applies for region level of detail. purchased fruit of that variety in that region. Where there Where tonnes purchased have been reported without a are no purchases of a particular variety, the average for price attached, these tonnes are not included in the price that variety across all similar regions is used to estimate dispersion section of the table or in the calculation of the the value, or – if that is not available – then the average for average price for that variety. Therefore the total tonnes red or white in the same region is used. It should be noted purchased may be higher than the sum of tonnes in each that this figure is an estimate only as own grown fruit by price bracket and the average purchase value may be definition does not have a commercial purchase value. higher than the total reported value divided by the total Note: there are variations in the calculation of total reported tonnes for that variety. winegrape value depending on whether the calculation is Where there are fewer than three wineries reporting made at a varietal/regional or varietal/national level as a purchase of a particular variety, the total purchase a result of changes in the proportion of own grown and value and average price are not displayed in the report purchased fruit.

Disclaimer

This information has been made available to assist on Note: data published in this report supercedes that in the understanding that Wine Australia is not rendering earlier reports. Minor variations in reported figures can professional advice. Wine Australia does not accept occur due to data revisions. responsibility for the results of any actions taken on the Any questions about the report should be directed to: basis of the information contained in this report, nor for Wine Australia Market Insights the accuracy, currency or completeness of any material +618 8228 2000 contained in it. Wine Australia expressly disclaims all and [email protected] any liability and responsibility to any person in respect of consequences of anything done in respect of reliance, whether wholly or in part, upon this report.

National Vintage Report 2019 Wine Australia 14