Australia signs wine Brexit deal with UK
The Australian and UK Governments has signed a new agreement, which will allow for a smoother transition for wine exporters to the UK which it formally separates from the EU, currently scheduled for 29 March 2019.
The Australia-United Kingdom Wine Agreement mirrors provisions currently in place between Australia and the European Community on Trade in Wine. The new deal will provide greater certainly of market for Australian wine exporters once Brexit is completed.
Tony Battaglene, the Chief Executive of Australian Grape & Wine Incorporated (AGW), welcomed the deal, saying: “[We] have been working with the Australian Government to ensure this agreement came to fruition, and we congratulate the Minister for Agriculture and Water Resources, the Hon. David Littleproud MP, and the Minister for Trade, Tourism and Investment, Senator the Hon Simon Birmingham, for getting the deal across the line.”
The UK is the world’s sixth largest wine market, and Australia’s number one export destination by volume. It is also Australia’s third largest export destination by value, with $380 million worth of Australian wine exported to the UK in the 12 months to September 2018.
“With the outcome of Brexit shrouded in so much uncertainty, it is great to see the government on the front foot, maintaining access to this vital market for Australian winemakers,” Battaglene added.
“Although, there will be still be challenges for exporters in the immediate post-Brexit environment, this deal will significantly help the Australian wine sector during this turbulent time and provides advantages to Australian wine exporters that most of our competitors will not enjoy,” he said.
AGW has said it will continue to work with the Australian Government before and after Brexit to make sure the interests of Australian winemakers are considered.