Australia has come to represent the most 'successful' New World producer to
date, the benchmark by which other new world producing countries have come to
judge themselves. It has been achieved however not without significant cost to
a industry which has been forced to consolidate in every decreasing circles in
order to keep the wheels from falling off the Brand Australia
juggernaut. In 2003/4, twenty businesses accounted for 86% of all production.
The prize has been a 24% share of the UK market (& a rapidly improving one
in the USA), a position it ironically held 'before the Wars' as a supplier of
fortified 'Empire wine'.
Commercial viticulture was established during the early part of the 19th
century, with South Australia the last to plant in the 1840s before quickly
establishing itself as the major source of fortified wine. A post (WWII) move
towards consumption of still dry table, encouraged by the stream of immigrants,
was accelerated by the introduction of (German) pressured fermentation vats,
stainless-steel & refridgeration units during the 1970s, enabling the
winemaker to ferment to dryness. At the same time, French barrels made their
debut, adding complexity & a premium allure, while fruit from the likes of
new cooler zones of Coonawarra & Padthaway facilitated a lighter style to
be made.
These seismic improvements were not lost on the UK market, itself in near
revolution during the early '80s as Thatcher's government bounced the economy
back to life. With Neighbours dominating the airwaves, supermarkets were given
carte blanche to spread far & wide, immediately creating a demand for a new
style of wine, a brand; consumers only too willing to move from Bulgarian plonk
to an Aussie fruit bomb (especially one with an Emu on the label). The
Australians grasped the opportunity, only too willing to supply the right
product at the right price, supported by aggressive pricing & discounts. On
the supply side, the structure of their industry allowed them to cross-border
blend & so maximise production. Corporate consolidation further improved
their effectiveness to compete on volume yet has not hitherto allowed them to
grow sales value.
Only the ramifications of a current chronic seven year 'dry'/drought, with
saline levels at unprecedentedly high levels & the evaporation of the
Murray Darling River (S.Australia's only real source of irrigation since
viticulture began) to a virtual trickle has prompted the AWBC (Australian Wine
& Brandy Corp.) to finally inflict water quotas. And yet even when an
oversupply still exists, key Australian brands are now being forced to import
wine from the likes of Chile to meet demand. 40% of wineries are running at a
loss, largely the result of over-capitalisation.
Meanwhile there's a significant minority of winegrowers making
regionally expressive, terroir wines of real distinction clamouring to make
themselves heard; unfortunately it is the corporates not them that control how
the marketing budget is spent; the big five being Fosters Wine Estates
(Wolf Blass, Penfolds,
Rosemount, Lindemans), Hardys Wine Co. (Banrock Station,
Leasingham), Orlando Wyndham (Jacob's Creek), McGuigan Simeon,
Casella Wines (Yellow Tail). Maybe global warming will have the final
say.
Though blending away regional differences has essentially been key to
Australia's brands competing, there is a range of regional styles clearly
defined & demanding recognition, notably: Barossa Valley Shiraz, Eden
Valley Riesling, McLaren Vale Shiraz & Cabernet Sauvignon, Langhorne Creek
Cabernet Sauvignon, Coonawarra Cabernet Sauvignon, Wrattonbully Cabernet
Sauvignon, Clare Valley Riesling, Adelaide Hills Chardonnay, Yarra Valley Pinot
Noir, Hunter Valley Semillon, Margaret Valley Cabernet Sauvignon.
Climatically the continent could be divided into two: a tropical weather
pattern affecting New South Wales & north, while the southern half of the
country, covering the key viticultural states of W Australia, S. Australia,
Victoria & Tasmania, enjoys a less extreme band of warm to hot weather
oscillating between 25 - 35 celsius. But without the cool oceans enjoyed by California or mountain
ranges of Italy, the climate
does not benefit from significant diurnal shifts in temperature (between day
and night). There are however notable cooler spots such as Barossa Valley, Clare Valley, Eden Valley, Coonawarra, Wrattonbully, Adelaide Hills,
Macedon Ranges, Yarra Valley, Tasmania. High relative humidity
(55% ) seems to be a prerequisite for successful photosynthesis in these
climes.'
Of the 167,000 ha, producing 14.3hl of wine, in 2005, the state of South Australia
accounts for 43% of the vineyard area (Riverland, Barossa Valley, McLaren Vale); New South Wales
24% (Riverina,
Murray
Darling, Hunter
Valley); Victoria 23% (Heathcote,
Swan Hill, Yarra
Valley); Western Australia
8% (Margaret River,
Great
Southern).