Australian wine exports to China rose to a new high as the world’s second-largest economy developed its palate for premium labels.
The value of exports to Australia’s biggest customer increased 7 percent to A$1.2 billion ($845 million) in the 12 months to June 30, Wine Australia said Monday. That’s despite overall volumes to China falling 16 percent as demand for cheaper varieties declined -- a trend that was echoed globally.
Australian labels grew in popularity on US wine lists, with export values rising 2 percent to A$432 million -- after the second-biggest market shrank in the prior year. Meanwhile, the value of exports to the U.K. dropped 3 percent to A$373 million.
The total value of Australian wine exports grew by 4 percent to A$2.86 billion, some way off last year’s 20 percent surge. Overall export volumes fell 6 percent, driven by falling shipments of wine costing on average less than A$2.50 per liter. Wine fetching between A$100 and A$200 a liter delivered the fastest growth of 102 percent, while last year’s main driver -- the A$50-A$100 price bracket -- declined 17 percent.