Look closely at the chart above and note the price points where undersupply and oversupply are evident.
This chart is another ‘green shoot’ for Riverland growers. The ‘ongoers’ who have worked hard to understand cost of production, the demands of competition and the harsh reality of global markets are well poised for the new era.
Another encouraging sign for the region is the renewed interest being shown by some of the ‘majors’ as they re-calibrate and recognise Riverland growers are in a strong position to form a key part of longer term (sustainable) value chain relationship. EO Chris Byrne said “The interest in uncommitted grapes is strong and some of the (very) early feedback on prices is promising. There have been some reports also wineries prepared to look at contracts for period up to six years!