The soaring Australian dollar is costing major wine exporters millions of dollars and has caused a slowdown in bottled sales. While exports reached a record $3.02bn last year, experts say a combination of drought, the high dollar and foreign competition means the industry now faces significant challenges. Bottled wine exports are still growing but at a declining rate and experts believe the growth may stop within two months. The rising dollar is particularly hitting the price-sensitive cheaper end of the market, as the buoyant Aussie dollar makes exports more expensive. Premium brands that tend to sell on quality and reputation rather than price appear to be more shielded from the exchange rate impact. Australian Wine and Brandy Corporation manager of information and analysis Lawrie Stanford said the rising dollar also was seeing an influx of cheaper wine from South Africa, Argentina and Chile. Sunday Mail, May 4.
May 16
