By Amy Looker

The NSW wine industry has recorded record growth in sales over the last year, according to previously unreleased data from Nielsen.

Guests at the NSW Wine Awards earlier this week were told by Tiffany Nugan, chair of the NSW Wine Strategy, that sales of NSW wine have boomed by 12.8 per cent on the previous year to reach a record $64.3 million following the implementation of the NSW Wine Strategy in February last year to drive sales of NSW wine in its home state.

“Sales of NSW wine within our home state have grown a further 12.8 percent on the last 12 months bringing an additional $7.3 million retained income into the State on the previous year to reach a new total of $64.3 million.  NSW wine’s growth has outstripped the State’s growth, with NSW’s total bottled wine sales in the same period only growing by a meagre 2.5 percent,” said Nugan.

“That means the NSW Wine Strategy is working. As at December 2008 MAT sales in NSW were only $59 million. Now, eight months later, they are $64.3 million, having grown $7.3 million or 12.8 percent on the previous year!  This is a phenomenal result which we should all celebrate – particularly given the current economic climate.”

However, Nugan said that NSW consumers need to continue to show support for wine from their own backyard, especially when compared to sales results from other wine-producing states.

“Whilst a lot has been achieved in a short time frame, NSW wine still only represents 6.8 per cent of bottled wine sales in this State. This is not good when compared to other states such as South Australia where they consume 38 per cent of bottled wine indicated to be from their home state, Western Australia 29.6 percent and Victoria 14 percent (Nielsen MAT January 31 2009),” she said.

“If we can double our representation of NSW wine in NSW to match Victoria’s representation, we could bring an additional $65 million retained income into the State and support the predominately family wineries of our State who are producing some of the most exciting and interesting wines on the Australian wine landscape.

Just take a tour of the 2009 Top 40 Wines and you will begin an undiscovered journey of quality wines be it Hunter Semillon, Orange Sauvignon Blanc, Canberra Riesling or Nebbiolo from the Hilltops.”

The facts and figures

Nielsen figures (31 August 2009 MAT) indicate:
• NSW accounts for 37.5 per cent ($944million) of Australian Bottled Wine Sales with NSW experiencing 2.5 percent growth.
• NSW wine sales in the domestic market are predominantly in NSW with 67.8 percent ($64.3million) of NSW wine sold in its home state, followed by 14.6 percent VIC, 12.7 percent QLD, 3.3 per cent WA and one percent SA. NSW is the biggest domestic seller of NSW wine indicating the majority of NSW wine is exported and not appropriately represented in its home state.
• NSW wine now represents 6.8 per cent ($64.3 million) of the total bottled wine sold in NSW having grown 12.8 per cent or $7.3 million to reach $64.3 million indicating the NSW Wine Strategy is having an extremely positive impact.
• In dollar terms bottled wines sales in NSW indicated from NSW Wine have grown by $7.3 million on last year.

NOTE: All data prepared by Nielsen is based on wine sold in NSW that is indicated to be from NSW.

The Shout Team

The leading online news service for Australia's beer, wine, spirits and hospitality industries.

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