Australian wine exports grow in new markets, plunging 96% in China



New data show that Australia has successfully survived the storm of economic coercion in Beijing by finding alternative markets for growing wine exports in Europe, the United Kingdom and the United States.

Despite a decline in exports to China, Australia fell sharply from $ 325 million ($ 251 million) in the year-ago quarter between December and March, worth $ 12 million in wine. Was able to be sold to that market.

A new report from industry group Wine Australia reveals how awkward Chinese Communist Party (CCP) tariffs have affected Australia’s wine trade with China.

However, excluding China’s trade value from these figures, Wine Australia CEO Andrea Sclark said that world exports actually increased by 10% and Europe (including the UK) was worth $ 710 million in Australia. He said he received the wine.

“North America also grew 5% to $ 628 million, and Oceania grew 7% to $ 112 million,” Clark said. In the report..

By country, China was Australia’s largest market, at $ 869 million, despite a 24% reduction in trade primarily due to tariffs.

The UK surged 33% to $ 461 million, Australia’s second largest export market, overtaking the United States.

This is followed by the United States (up 4% to $ 432 million), Canada (up 9% to $ 195 million), Hong Kong (up 55% to $ 148 million), and New Zealand (up 10% to $ 100 million). $ 4 million) followed.

Hong Kong’s position as a consumer trading hub in mainland China may partially explain the significant increase in wine exports to Hong Kong.

Australia’s exports fell by 4% overall in the 12 months to March 2021 due to harvest and supply issues as well as Chinese tariffs.

In March, Beijing’s Ministry of Commerce (MOFCOM) imposed a tariff of 116-218 percent on Australian wine exports.

Tariffs were the result of MOFCOM’s investigation into allegations of “dumping” of wine products into the Chinese market by Australian companies.

Both the Australian Prime Minister and the Minister of Trade have violently denied this and are considering bringing the issue to the World Trade Organization.

Trade diversification has become the focus of exporters after Beijing began imposing some restrictions on Australia’s imports into China. Experts and politicians label this as economic coercion. The CCP began taking these actions after the Australian Government led an accusation calling for an investigation into the origin of COVID-19.

The CCP implemented a series of tariffs and suspensions during 2020 on Australian coal, beef, wine, barley, red shrimp, wood, lamb and cotton exports.

According to the April report from Lowy InstituteExporters quickly found new customers and diversified their trade from China, which was traditionally Australia’s largest trading partner.

Between October 2020 and January 2021, exporters confirmed that trade with China had declined overall from $ 7.1 billion to $ 2.9 billion. However, exports to other countries increased from $ 7.5 billion to $ 12.2 billion over the same period.