The value of China
Is Australia winning in China?
The exciting but unpredictable Chinese market for imported wine took another lurch in the first six months of this year, according to data released in July by China Customs. As our infographic shows, Australian wine exports surged in the first half of 2015, achieving an eye-popping landed price of USD 8.69 per litre, almost twice that of France and four times greater than Spain, which sold marginally more volume (19.8m vs Australia’s 19.7m) but achieved the lowest price per litre of all major imports at only USD 2.15.
Clearly there are other factors at work here, including Australia’s recently signed Free Trade Agreement. However this data, and Treasury Wine Estates’ strong Chinese sales in the 2015 financial year, suggests that Australia’s heavy investment in the Chinese market over the past five years is finally paying off.