Australian wine market is tipped to be worth US$8.7 billion by 2024, the growth driven by bubblies, according to GlobalData.
The company said the Australian wine market will achieve a compound annual growth rate (CAGR) of 2.4 per cent, with the sparkling wine category the fastest-growing sector at 2.7 per cent. Still wine and fortified wine is forecast to record CAGRs of 2.4 per cent and 1.6 per cent, respectively, during the next five years.
Australian wine sales reached $7.9 billion last year, with the ‘hypermarket & supermarkets’ sector the leading distribution channel.
“Favourable economic conditions for wine production coupled with the Australian consumers’ willingness to spend more on premium wine products are driving the Australian wine sector,” said Sanchi Agarwal, consumer analyst at GlobalData.
Top companies in the Australian wine sector include Constellation Brands, Treasury Wine Estates and Pernod Ricard SA.
According to Agarwal, Australian consumers are now more aware of wine quality and purity of ingredients, which will encourage winemakers to use organically farmed grapes.