Grape growing, winemaking and wine-related tourism has contributed $51.3bn to the Australian economy and supported more than 200,000 jobs, according to a new report.
The Economic Contribution of the Australian Wine Sector 2025 report, prepared by AgEcon Plus and Gillespie Economics for Wine Australia, shows for every additional $1m in output, the wider economy benefits by $2.16m.
It showed flow-on from production, tourism experiences and employment contribute significantly higher to the Australian economy than the initial farm gate value.
Wine Australia CEO, Dr Martin Cole, said the grape and wine sector is a unique contributor to the Australian economy given its significant multiplier effect and importance to the vitality of regional communities.
“Wine grapes are grown and wine [is] produced in regional communities around Australia,” Dr Cole said.
“The sector is an ambassador for these regions, attracting people from all around the world back into our regions and businesses for first-hand experiences.
“The sector also indirectly contributes to regional communities through the flow-on effects to supplier industries, as well as the goods and services used locally by employees.”
The report found the $51.3bn contribution includes $25.4bn in value-added activity, as well as $15bn in wages and salaries.
Wine tourism continues to play a major role, with 7.5 million winery visits recorded in the year ending December 2024.
Visitors who included a winery stop on their trip spent a combined $11.6bn, with average spending of $1487 per trip.
The Federal Government has also confirmed it will extend the Wine Tourism and Cellar Door Grants program for another three years.
The $10m-a-year scheme provides grants of up to $100,000 to eligible producers to boost cellar door sales and visitor experiences.
Australian Grape & Wine CEO, Lee McLean, said the announcement was a clear signal of the Government’s commitment to regional Australia.
“The Wine Tourism and Cellar Door Grants Program is instrumental in helping wineries reinvest in their cellar door experiences, attracting more visitors and strengthening regional economies,” McLean said.
“Extending this program for another three years provides certainty for producers at a challenging time for our industry.
“The new Economic Contribution of the Australian Wine Sector report confirms what we already know: wine is not only a key export industry, but also one of Australia’s most important agritourism drivers.”
A similar report was produced in 2019 but direct comparison is not possible due to changes in data, however, it shows losses in economic contribution of grape growing and wine making have been offset by growth in wine tourism.