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Canada a growth opportunity for SA wine as other exports climb

Canada a growth opportunity for SA wine as other exports climb
LCBO’s flagship store in Toronto, Ontario. Photo: Steven Neiman Photography

South Australia’s total trade to Canada has nearly doubled in the past year, now sitting at $663 million, raising hopes that there is room for an expansion in the state’s wine exports to Canada.

SA’s wine exports to Canada are stable at $99 million but in a statement released to media, the state’s minister for trade and investment, Joe Szakacs, said Canada presents a growth opportunity for SA wine producers amid current volatility in global trade conditions.

As global trade disruptions continue, South Australia’s four trade and investment offices based in the US are “supercharging” efforts to increase the trade of South Australian products with Canada, which Minister Szakacs said is paying dividends for local exporters.

These trade and investment specialists – based in New York, Washington DC, Houston, and San Francisco – are supporting South Australian companies to expand into Canada by connecting them with importers, distributors, and potential investors.

More than 30 South Australian wineries were represented in Toronto and Montreal in May as part of the Wine Australia North American roadshow, which was supported in-market by the Department of State Development’s (DSD) North America office.

In April, the South Australian Government ran a retail and tasting campaign across Ontario, with the Liquor Control Board of Ontario (LCBO).

With more than 680 retail stores importing over 32,000 products from 79 countries, LCBO is one of the world’s largest retailers and wholesalers of beverage alcohol.

Canada is SA’s fifth largest wine export market, sitting behind China, the UK, Hong Kong, and the US, in the latest Australian Bureau of Statistics (ABS) figures.

The recent growth of Canada as an export market for South Australia is thanks to a surge in energy and mining exports (up 177 per cent to $494.4 million), beef (up 262 per cent to $17.4 million), medical products (up 45 per cent to $10.8 million), and fruit and vegetables (up 44 per cent to $4.8 million).

“What we are seeing here is our business community adapting and leveraging the recent changes in global trade dynamics, capitalising on the world-class reputation of our state’s produce to increase sales and engagement with the Canada market,” said Minister Szakacs.

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