Several unfavourable factors have hit grape growers hard over the past five years. Industry revenue is projected to fall at an annualised 3.5% over the five years through 2014-15, to reach $1.0 billion. This includes a forecast decline of 3.1% in 2014-15. The Grape Growing industry is highly dependent on the downstream Wine Production industry, which consumes approximately 90.0% of local grape production. A persisting oversupply of wine and wine grapes since the 2000s has been the most critical issue for growers. Rapid expansion by wine producers and wineries created an oversupply of wine, which producers have been forced to sell at a low price over the past five years.
Operators in the Grape Growing industry primarily grow or sun-dry grapes. Grapes are grown for winemaking or to be sold as table grapes. Some of the grapes are dehydrated or dried for sale as sultanas.
The report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecast, growth rates and an analysis of the industry key players and their market shares.