‘Not a short-term downturn’: Wine industry demands greater government support
Australian Grape & Wine has welcomed the federal government’s commitment to introduce a mandatory Code of Conduct for Winegrape purchases, but warns that significantly greater investment is needed to address the worsening crisis facing the sector.
“The introduction of a mandatory Code is an important step in improving transparency and fairness in commercial relationships; but regulation alone will not fix the underlying structural challenges in the sector or the severe financial hardship being experienced across wine regions," said Australian Grape & Wine CEO Lee McLean.
While the industry body welcomes the government’s existing funding commitments – such as the $4.6 million Long-term Viability Support Package and targeted market development initiatives – McLean says they are not sufficient in supporting a sector which has been under sustained pressure for several years, with conditions continuing to deteriorate.