A decision last week to establish an inquiry into Australia’s winegrape and processing market has been welcomed by Liberal Barker MP Tony Pasin, who says the current supply and demand imbalance is “devastating” the Riverland.

The Senate agreed to refer the issue – which impacts the 2000 wineries and 6000 grape growers across the nation’s 65 wine regions – to the Rural and Regional Affairs and Transport References Committee for inquiry and report by 28 February 2025.

“The Riverland’s 22,032 hectares of vineyards is Australia’s largest winegrape region by geographical size and volume produced and as such, the current supply and demand imbalance is having a devastating impact on growers and the wider Riverland economy,” Mr Pasin said.

“While Labor has failed to heed my calls, I’m pleased my Coalition colleagues are listening and as a result the Senate will hold an inquiry into the issue.”

The inquiry will examine and report into the adequacy of the voluntary Code of Conduct for Australian Winegrape Purchases (code), with reference to:

a. the structure of, and any inequities in, the Australian winegrape and wine processing market;
b. the nature and impact of current market and trading arrangements on the winegrape and wine processing industries;
c. the impact of the current market structure on employment conditions for workers in the supply chain;
d. the availability, transparency and accessibility of winegrape market price information and its effectiveness in forecasting winegrape prices and demand;
e. the effectiveness of the current administration of the code;
f. the adequacy of winegrape and wine industry representation at regional, state and national levels;
g. policy and regulatory options to improve market competition and address any inequities, including the potential benefits and limitations of a mandatory code, and the applicability of existing mandatory codes of conduct in other primary industries; and
h. any other related matters.

Mr Pasin said he was encouraging the committee to hold a public hearing in the Riverland later this year.

“Labor Ministers may refuse to come to the Riverland to hear directly from the community and growers,” Mr Pasin said.

“But I have every faith that the committee, chaired by LNP Senator Matt Canavan will take the evidence needed to shine a light on the dire state of the sector.” 

This article appeared in the Murray Pioneer, 25 September 2024.