AUS: Riverland wine grape glut shows signs of easing

Dec 2, 2011

(ABC) - There hasn't been much good news for Riverland wine grape growers, but a marked increase in demand for grapes could see prices increase for growers. In recent years, a glut and low prices have meant it's cost more to produce wine grapes than growers could sell them for. Now the new owners of the Loxton Winery, US firm The Wine Group, are actively seeking more grapes for their 2012 vintage. Chris Byrne, from the Riverland Wine Grape Growers Association, says vine pulls and exit packages in the region have helped the industry in the long run. "The fact that we've removed almost 20 per cent of our production capacity had an effect and that was exactly what was predicted."

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