Monday, January 27, 2025

Industry support ‘a drop in the ocean’?

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Hugh Schuitemaker, Murray Pioneer

Further federal government support measures will be needed to overcome current local wine industry challenges, according to two senior Riverland politicians.

The Federal Government last week announced a $3.5m Grape and Wine Sector Long-term Viability Support Package, aimed at assisting the wine industry to respond to the oversupply of red wine.

However, Chaffey MP Tim Whetstone said the severity of challenges facing the industry illustrated more support was necessary.

“There was a working group review for the wine industry, and in that comprehensive review, they said they were looking for (more than) $80m,” Mr Whetstone said.

“The (Federal) Government has given them $3.5m, so I think there should be more to come.

“I’m pitching for structural adjustment money… the $3.5m is a drop in the ocean for an industry worth in excess of $1bn, let alone the more than 100,000 employees within the wine sector.

“There is justification to expand on that support package. We’re grateful for the $3.5m, but I think there’s much more the government will need to put on the table to provide meaningful support.

Riverland-based MLC, and opposition spokesperson for primary industries, Nicola Centofanti said measures specifically tailored to the Riverland were needed.

“We welcome the $3.5m in funding to provide growers with better data, it is a start, however, it is a small start and nowhere near the reality of what the industry has been calling for,” Dr Centofanti said.

“Many growers I have spoken with do not see how $3.5m can cover all that was announced in a meaningful way for everyone facing issues in the sector. They don’t see how it can be impactful.

“The State and Federal Governments must work together on the kinds of support packages that I, Australian Grape & Wine, and other industry bodies have put forward, not invent something that barely skims the surface.

“Our growers need genuine support, and they need support now.

Mr Whetstone said he would accompany representatives of the Riverland wine industry to Canberra for a meeting with Minister for Agriculture Murray Watt, and South Australian Senator Don Farrell.

“I’m hoping there will be more announcements coming,” Mr Whetstone said.

“I’m taking what would be considered 75 per cent of the country’s (wine) export capacity to the meeting, as well as the concerns of the Riverland.

Mr Whetstone said more efforts were also needed to develop increased market shares in export destinations besides China.

“I’m concerned we’re hearing politicians talking about going into China and things will be the same, that’s not going to be the way things work,” he said.

“We need to put as much focus on alternative markets, and (all) global training partners, because China won’t be the silver bullet.”

This article appeared in the Murray Pioneer, 19 June 2024.

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