Wine Grapes

NSW wine grape GVP was $209 million over 2024-25, up 20% year-on-year.
While grape prices lifted 2% from a year ago, weak global demand and high inventories still weigh on prices overall.
Exports strengthened over the year as 2024-25 was the first year to fully benefit from the removal of China’s punitive tariffs.

2024-25 NSW wine grape production increased 16% from a year ago to 478,000 tonnes. The annual lift in production was the second in a row, with production now 36% above the low point in 2022-23. While Chinese wine demand rebounded strongly following the end of punitive tariffs, overall market demand remains weak. Accordingly, grape and wine prices remain subdued and for some red producers, current wine grape prices remain below the cost of production.²⁰² Looking ahead, we expect some improvement in wine market conditions as the Chinese market recovers further, and Australia benefits from a relatively low US tariff. However, any improvement is likely to be incremental and patchy.

Production

2024-25 production increased 16% to 478,000 tonnes. The crush has lifted over two consecutive vintages, with 2024-25 production reaching 36% above the 2022-23 nadir. Growing conditions across NSW’s wine-growing regions were broadly supportive of increased production. The Murray Darling-Swan Hill region led the way, with production jumping 18% to 140,000 tonnes over the year. For the year, NSW accounted for 30.6% of Australia’s nationwide crush, up from 29.2% in 2023-24.²⁰²

White grape production posted solid growth (up 16%) to 294,000 tonnes over the year – white grape production is now broadly in line with the 10-year average. Red grape production also posted strong growth, up 15% to 184,000 tonnes over 2024-25. However, production remains low by historical standards at 19% below the 10-year average. Chardonnay grapes remained NSW’s number one variety; however, production fell 5% over the year to 96,000 tonnes. Shiraz at number two had a strong production year, increasing 31% to 71,000 tonnes. Pinot Gris and Sauvignon Blanc grapes also saw production surge, with production up 52% and 49%, respectively.²⁰²

NSW Red and White Grape Crush

White Harvest
Red Harvest

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Source: Wine Australia (2025)

Price

NSW Wine Grape Prices ($/tonne)

Warm region
Cooler region

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Source: Wine Australia (2025)

The average NSW price posted a modest gain of 2% reaching $399 per tonne over the 2024-25 year. Red and white wine grapes prices lifted by 1% and 2%, respectively. Murray Darling/Swan Hill grape prices rose slightly above the state average, increasing 4% year-on-year to $419 per tonne.

Meanwhile, Riverina prices rose in line with the state average price gain (up 2%), posting $354 per tonne for the year. While prices fell slightly in the cooler regions over the year (down 1%), prices remain healthy on a historical basis with prices 27% higher than the 10-year average.²⁰²

Trade

NSW wine exports increased 8% to $476 million over 2024-25. China accounted for the largest share of the increase as 2024-25 was the first full year after the removal of the punitive tariffs. Overall, NSW exports to China jumped to $43 million for a 241% year-on-year gain. While this lift offsets some of the tariff-related damage, exports still have a long way to go to fully recover. Indeed, in the four years to 2020, NSW wine exports to China averaged around $60 million. In other markets, exports to the UK were also strong, lifting 25% to $108 million.

Meanwhile, exports to the US slipped 14% to $179 million. The US continues to account for the largest share of NSW’s exports at 38%, however this share fell from 47% in 2023-24. Wine export prices rose a modest 2.9% over 2024-25, slightly above the year's inflation rate (2.1%). Since 2019-20, inflation (up 21%) has significantly outpaced wine export prices (down 2%), squeezing exporter margins over that time. Cost of living concerns continue to dampen demand and prices in key markets, while high global wine supply continues to weigh on export prices.¹⁷⁵

Bulk Wine Prices - Selected Exporters

Australia
Chile
France
Italy
South Africa
USA

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Source: UN (2025)

Outlook

Looking ahead, some improvement in wine market conditions is expected as the Chinese market recovers further, and as Australia benefits from a relatively low US tariff. However, cost-of-living concerns in other key markets like the UK and Europe and an ongoing excess supply of wine globally are likely to cap any price gains.