AUS: Grape glut to hit hopes of rebound for wine industry
AUS: Grape glut to hit hopes of rebound for wine industry
Jun 12, 2011 6
THE Australian wine industry has produced another bumper vintage, dashing hopes that poor ripening conditions over summer would reduce the oversupply that has dogged the industry for the past five years.
Analysts say the ongoing surplus will slow the turnaround of Treasury Wine Estates, the former Foster's wine division which was spun off into a separate listed company last month.
The Winemakers' Federation of Australia has estimated the 2011 harvest at 1.62 million tonnes, a 1 per cent increase from last year and well ahead of market expectations, which had been as low as 1.1 million tonnes.
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