Wine Australia has welcomed the announcement by China’s Ministry of Commerce (MOFCOM) that the Australian wine duties to mainland China have been removed, effective Friday 29 March 2024.
Wine Australia CEO Dr Martin Cole said prior to the imposition of the wine duties, mainland China was Australia’s most valuable export market, and it is a market where opportunities remain for Australian wineries.
“Mainland China remains an important market for the Australian wine sector. Over many years, Australian wine companies have developed close relationships with importers, buyers and consumers of Australian wine in China and these relationships remain important to our wine community. Pleasingly, we know that trade and consumer sentiment for Australian wine in China remains positive," said Dr Cole.
“However, the wine market in mainland China is different now to what it was at the end of 2020. Wineries seeking information to re-enter the market are encouraged to review the Export Market Guide, market insights and sign up for information about upcoming activities at wineaustralia.com. We will support the Australian wine sector to re-enter the market through a coordinated set of activities and advice on market requirements, while continuing our market diversification efforts in other markets.”
Australian wine exports to mainland China peaked at $1.3 billion and 121 million litres in the 12 months ended October 2020. Since the introduction of the duties on Australian wine, exports to the market have fallen to 1.4 million litres valued at $10.1 million in the 12 months ended December 2023. The number of exporters to the market has also decreased from 2198 to 117 over the same period.
In 2022, almost 90 percent of imported wine drinkers in mainland China said they would be happy to recommend wines from Australia or proud to serve wines from Australia. Also that year, imported wine consumers in mainland China rated the quality of Australian wine very highly, scoring it 8.49 out of 10.
Australian wine was the number one imported wine category in mainland China, with a third of the market value in 2020. Since the imposition of the wine duties, no other country's wine imports have replaced the volume of wine that Australia exported to mainland China.
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