GROWERS will not be able to maintain vineyards and and produce high quality wine grapes unless a price recovery occurs.
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The Riverina Wine Groups Marketing Board believes consecutive years of depressed grape prices has left many growers no choice but to exit the industry.
The board is advising all growers to talk directly with their wineries about the prospects of the industry conditions improving for the following year.
Riverina Wine Grapes Marketing Board chief executive officer Brian Simpson said wineries should provide indications about prices for the next vintage.
“This season we understand that a small percentage of the region’s wine grapes will be left on the vines to rot as wineries reduce their intake this season amid declines and/or plateau of sales,” Mr Simpson said.
“These are difficult and challenging times for the grower base as they will be required to make the hard on-the-ground decisions about their own future.
“The Riverina Wine Grapes Marketing Board will work to present to growers the options they have to ensure that our government is acutely aware of the issues facing the industry as they may be able to provide support.”
The Riverina Wine Grapes Marketing Board has vowed to help growers face the ongoing downturn in the industry.
The board believes grape production costs prior to harvest make up around 70 per cent of the total cost of production, leaving growers in the uncomfortable position of accepting price offers made by wineries when grapes mature or lose the crop.
The board will host an agricultural options open day on Mary 5 at Calabria Family Wines.
At the sessions growers will be presented with some alternative farm practices and businesses opportunities they may wish to consider.
The options day was held for the first time in 2014.
Following that all growers will be encouraged to attend a multi government agency visit on May 12 at the Griffith Exies.
This is being organised by the NSW Small Business Commissioner office following representations made by the board for assistance.
It will be part of the Regional Activation Activation Program to assist small business and wine grape producers.
Representatives of the Small Business Commissioner, Australian Tax Office, Australian Competition and Consumer Commission, NSW Department of Primary Industries, Rural Financial Counselling and others will descend on the region to hold a panel question and answer session.
For more information visit http://www.wgmb.net.au/
