According to the Sydney Morning Herald, some retailers are selling certain wines at up to half of what they cost two years ago. While the country’s vintners are feeling the strain, consumers are reportedly taking advantage of the cheap prices.
The oversupply has been attributed to the mass planting of 1997-99, when 40,000 hectares were sown. These vineyards started producing grapes from 2002-03, creating a profusion of crops over the past two years.
Tony Leon, the general manager of Australian liquor chain Dan Murphy’s, said a wine that would sell for A$20 five years ago now retailed at about A$12. Wines on special offer no longer sold in such large volumes because people were less likely to hoard wine.
“People now know they can come back two weeks later and still get a good deal,” said Mr Leon.