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UK remains top volume market for Oz

Published:  20 October, 2017

The UK is the top export market for Australian wine with 28% of volume, new data from Wine Australia’s Export Report has revealed.

The UK topped the list of markets by volume for the 12 months ended to 30 September 2017 followed by the United States at 23%; mainland China at 17%; Canada at 8% and Germany at 5%.

Interestingly, the UK did not top the board for Australian wine exports by value. Mainline China topped the list with 30% of value share.

This was due in part to the reduced tariffs through the China–Australia Free Trade Agreement that has seen exporters now shipping directly to mainland China instead of Hong Kong.

China was followed by the United States at 19% share; the UK at 14%: Canada at 8% and Hong Kong at 5%.

Red wine continued to dominate exports, contributing 74% of export value. Red wine was also the standout growth category for table wine, growing by 16% to (AUS) $1.8 billion. Exports of white wine also grew but at a much lower rate of 2% to (AUS) $546 million.

In the period, it said Australia exported wine to 124 countries and the value of exports increased in 82 of them.

Export value grew 13% to $2.44 billion and volume grew by 9% to 799 million litres.

The average value of bottled exports increased by 1% to $5.53 per litre and the average value of bulk exports increased by 3% to $1.00 per litre.

“Established and new-to-market exporters are sharing in this strong export growth”, said Andreas Clark, CEO of Wine Australia.

Wine Australia said that 80% of exported to the UK and Germany was shipped in bulk containers.