Wine Australia

Wine Australia

Organisation type: 
Network / partnership
Funding agency
Ministry / public service

The Australian Grape and Wine Authority (AGWA), trading as Wine Australia, is the single Australian Government statutory service body for the Australian grape and wine community.

We support a prosperous Australian grape and wine community by investing in research and development (R&D), building the international and domestic markets, disseminating knowledge, encouraging adoption and protecting the reputation of Australian wine.

Our governance and operations seek the best possible return on our investments.

- What we do
We are governed by the Australian Grape and Wine Authority Act 2013. Our role under the Act is to:
coordinate or fund grape and wine research and development, and facilitate the dissemination, adoption and commercialisation of the results
control the export of wine from Australia, and
promote the sale and consumption of wine, both in Australia and overseas.

- Our priorities
All of our activities are in support of our two strategic priorities outlined in our five year Strategic Plan 2015-2020.

- Priority 1: Increasing demand and the premium paid for all Australian wine
We will address the challenge of general global perception leading to lower prices through an unwavering focus on increasing the appreciation of our fine wines. We must continually invest in supporting the pursuit of excellence in viticulture, winemaking and the business of wine to better understand and express our unique terroirs and to increase the international esteem of the resulting wines.

- Priority 2: Increasing competitiveness
We will address the challenge of the fiercely competitive global marketplace by increasing competitiveness in our vineyards, our wineries and our wine businesses. We will invest in capturing the opportunities of new technologies, understanding supply and demand, and improving performance to become more sustainable, differentiated and more competitive.

- Our funding sources
We are funded by grape growers and winemakers through levies and user-pays charges, and by the Australian Government, which provides matching funding for RD&E investments. We have four primary sources of funding:

-- Marketing funding
Wineries pay the promotion component of the wine grapes levy in a stepped amount per tonne. The promotion component is payable on grapes delivered to a winery once the threshold of 10 tonnes has been reached.

Wine businesses also pay the wine export charge on wine produced in and exported from Australia. The amount of levy payable is based on the free-on-board (FOB) sales value of wine for the levy year.

Projected market development funding from levies for the five years 2015–2020 is $28.3 million.

-- Regulatory funding
Regulatory activities are funded on a cost-recovery basis through activity-based fees.

Projected regulatory funding for the five years 2015–2020 is $18.4 million.

-- Research, development and extension (RD&E) funding
The grape research levy (grapegrowers pay $2 per tonne of winegrapes crushed) and the R&D component of the wine grapes levy (wineries pay $5 per tonne of winegrapes crushed) are matched dollar-for-dollar by the Australian Government.

Projected RD&E funding for the five years 2015–2020 is $120.3 million.

-- User-pays activities
Wine businesses, regional associations and state governments pay voluntary contributions to participate in market development activities. Projected user-pays contributions for the five years 2015–2020 is $10.6 million.