Wine Australia, a wine authority supported by the Australia Government's $50 million Export and Regional Wine Support Package, announced the 6th Annual Wine Australia China Awards and ProWine China which was held on Nov. 12 and will be held on Nov 13-15 respectively in Shanghai.
Australia recognized China as its largest wine export market value by volume in the same rank as the United States. China, however, is a key focus of Wine Australia's marketing activities under the $50 million package from the government.
Wine exports to China, counting Hong Kong and Macau, increased 24 percent to $766 million in the 12 months to Sept. 30 according to data from Wine Australia. This accounted to as much as 40 percent of all wine exports Land Down Under.
The China Awards, which was held at the Bvlgari Hotel in Shanghai, awarded the strongest driver of Australian wine in China. These awardees came across different sectors of the market, including trade, media, and education sectors.
ProWine China, on the other hand, is akin to a wine expo where nearly 90 wine brands representing over 20 wine regions across five states will be presenting their products to the discerning Chinese market.
In an announcement, Wine Australia Chief Executive Officer Andreas Clark underscored that China is Australia's "most valuable wine export market." The consistent interest among Chinese consumers on Australian wine is recognized by his country as a testament to the country's strong wine sector, he added. Wine Australia sees to it that Australian wine sector has a strong presence in China, Clark said.
Aside from wine lovers from China, the Australian wine sector has also been attracting Chinese investors. For instance, up to 10 percent of the Barossa Valley in South Australia is now owned by Chinese nationals according to James March, chief executive of the Barossa Grape and Wine Association.
The Barossa Valley is one of the most popular wine-producing regions in Australia. It is a favorite among tourists because of its wineries tours and cellar-door tasting. The region is also home to Shiraz grapes, the variant that is primarily used to make red wine.
Stephen Strachan, director of Langley and Co, added that the rate at which Chinese are investing in the Barossa Valley is also growing. Langley and Co is a firm which specializes in wine company acquisitions.
Strachan said six of the seven most recent acquisitions which the firm handled belonged to Chinese investors. He estimated that 50 percent of all the calls and inquiries the firm is receiving came from interested Chinese parties or other firms which represent Chinese investors.
Arthur Wang, a Chinese businessman, owned two wineries in the Barossa Valley. He acquired the Chateau Yaldara in 2014 and 1847 Wines in 2010.
Anthony Grundel, a general manager for 1847 Wines, said tours were usually dominated by Chinese tourists since Wang bought the winery. He noted that Chinese tourists are not shy spending on wines during tours on top of another spending they make when they visit Australia.
