(WSJ) - New Zealand’s wine industry has news worth toasting: an oversupply of grapes that tainted the country’s reputation as a maker of premium wines has peaked. New Zealand’s wine grape harvest for the 2012 season was 18% lower on year due to cool weather. This has combined with a shortage of grapes in California and increasing consumption of wines in Asia, particularly China, to boost demand. “The smaller vintage is having a significant impact on our supply demand equation in the industry,” said New Zealand Wine chief executive Philip Gregan. “Grape grower and wineries are looking more positively to the future than they have been for a little while. It’s certainly not all doom and gloom.”