Monday, October 22, 2007

NEW ZEALAND WINES FACE LABOR AND LAND SHORTAGES

One of the fastest growing wine producers, New Zealand is set to reach $1 billion in exports by 2010. According to Nielsen scan data, New Zealand wine imports grew 31.4% in dollar value and 33% in volume in the 52 weeks ending September 22, 2007. In the next five years, exports to countries other than the UK are expected to double in volume.

However, industry insiders warn that short supplies in labor, land and water could pose serious issues, particularly in Marlborough. Chief executive of the NZ Winegrowers Philip Gregan said that to produce 300,000 tons of grapes, winemakers need an extra 35,000ha of producing grapevines which is 10,000ha more than they are currently producing.