Australian wine growers warn hefty tariffs imposed by China on reds, whites put industry at risk of oversupply as picking season approaches

Australia's wine industry has warned grapes will be left on the vines this year due to the ongoing trade dispute with China. Before tariffs were imposed on Australian

wines, China was the largest export market for the sector, with sales passing $1.2 billion a year. Many wine grape growers expected demand to continue to rise and planned

accordingly. However, the lucrative market all but dried up overnight after China imposed hefty tariffs on Australian reds and whites in 2020. Wine Australia Director

and Managing Director of Taylors Wines Mitchell Taylor said hard decisions would need to be made when picking starts next month. "Unfortunately, I think a lot of growers

will have to leave grapes on the vine this vintage," he said. "We've got great oversupply hitting the industry because it takes a lot of time to plan these markets and then

to make the wines, particularly red wines, which the Chinese love." The former Morrison government lodged a formal complaint with the World Trade Organisation (WTO) about

the tariffs imposed on wine and barley and the case is under consideration, with a final report due this year. As those cases continue, Trade Minister Don Farrell has

reiterated his willingness to travel to China for talks. "I've consistently said since assuming the role of Trade Minister, our preferred pathway to resolve these trade

blockages is through dialogue and discussion, rather than disputation," he told the ABC. "I look forward to discussing this with my colleagues in China as soon as

practicable."