Wine Companies

Australian Wine Producers

Number of wine producers

The total number of wine producers in Australia continued to decrease in 2019, dropping by 1% from 2018 (Table 8) to a total of 2,232 producers. Declining numbers were seen in every state of Australia except Tasmania. Tasmania is the only state that recorded a rise in the number of producers in 2019, with the total growing by 2%.

The biggest drop occurred in Queensland where the total number of producers decreased by 4.3% in 2019 (Table 8). Victoria experienced a continuing decline in the number of wine producers, with the state’s total number dropping below that of South Australia. South Australia is now home to the largest number of wine producers in Australia, with a total of 683 recorded in 2019 (Table 8).

Wine producer industry rankings

Treasury Wine Estates (TWE) maintained its dominance as the largest Australian wine exporter, with Accolade Wines being in close second place (Table 15). Casella Family Brands, Pernod Ricard Winemakers and Australian Vintage round out the top five local producers by export volume.

TWE continues its long reign as the largest Australian winemaker by value in the export market, with the top five exporters by value the same as the largest by volume (Table 16).

Accolade Wines crushed approximately 248,000 tonnes of fruit to easily retain its mantle as Australia’s largest wine company in terms of grape intake and wine production (Table 17). With some of the nation’s largest processing facilities, Accolade Wines was the country’s largest producer of wine products (Table 18). However, there are many changes set to take effect in 2019/2020,
with the company now owned by a private equity firm, a move which has already seen many of its assets consolidated and sold to streamline the business.

Andrew Peace Wines crushed a significant amount of winegrapes in 2019 to place it in top 10 for the first time.

The 10th largest company by crush, McWilliam’s Wine Group, was placed into voluntary administration in early 2020 with its future at that time uncertain.

The top 10 producers remained largely unchanged. However, Andrew Peace Wines has gained traction with winegrape intake and production (Table 18).

Treasury Wine Estates remains the biggest producer in terms of vineyard area with 72 vineyards and 8651 hectares under vines (Table 20). The company also operates eight wineries in Australia. The company is also the highest revenue earner among its competitors (Table 19). The success of TWE is likely to continue with the company having reported a strong result for the financial year of 2018/19 with net sales revenue from Oceania at $602.3 million (ASX: TWE). The earnings before interest, tax, SGARA and material items (EBITS) increased 17% to $156.5 million with EBITS margin improving to 26% (ASX: TWE). TWE will pursue a value growth that is driven by premiumisation of its products, particularly for those being exported into China. The company is hoping to achieve an aspirational target of 25% market within its luxury and ‘masstige’ portfolios.

Casella Family Brands ranks second with 5450 hectares (Table 20). There was no change to the company’s processing capacity over the past year (Table 2) with the capability to process 250,000 tonnes at its Yenda facility in the NSW Riverina.

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