Australian wine costing just $22 a bottle wins major international award in China – but still comes with a crippling 200% tariff due to Beijing's trade war bullying

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A South Australian wine with a modest $22 price tag has won a coveted international award, being named the rosé of the year by leading Chinese judges.

Taylors Wines in the Clare Valley took the top prize for its 2020 Estate Pino Noir Rose at the China Wine and Spirits Best Value Awards on Monday night.

The win comes at a contentious time following China’s move to slap big import tariffs on Australian wines.

Taylors Wines in the Clare Valley took the top prize for its 2020 Estate Pino Noir Rosé at the China Wine and Spirits Best Value Awards on Monday night

Judged blind by a panel of 100 experts, the Chinese awards are the largest and most prestigious in the country. Chinese President Xi Jinping toasts the Belt and Road Forum in 2019 

‘Australia hasn’t been immune to the rosé wave that has taken over the international drinks industry and it’s exciting that Australia is being recognised amongst some of the best producers in the world,’ winemaker and managing director Mitchell Taylor said.

Judged blind by a panel of 100 experts, the Chinese awards are the largest and most prestigious in the country.

Despite issues with authorities over imports, other Australian companies also did well.

The Queen of Hearts Rose from Curtis Family Vineyards, Take it to the Grave Rose from Fourth Wave Wine, and Globe Skimmer Rose from Zonte’s Footstep were all awarded medals in the rosé category.

In November last year, China announced it would impose significant anti-dumping duties on Australian wine of up to 212 per cent.

The Chinese Ministry of Commerce has accused Australian exporters of dumping wine into its market, which is when a country exports goods at a lower price than it is sold for in their own country.

This would allow Australia to flood the Chinese wine market with product prices considered unfair, affecting its own domestic market.

It has always been strenulously denied by Australia, with many believing China has political motivations atfer Scott Morrison called for an inquiry into the origins of Covid-19. 

‘There is dumping of imported wines originating in Australia … (and) it has been substantive,’ the ministry said in a statement on its website.

The $6billion Australian wine industry exports about 39 per cent of all product to China (pictured, Australian wine on sale in a Beijing shop in August 2020)

‘There is a causal relationship between dumping and material damage and it has been decided to implement temporary anti-dumping measures … in the form of a deposit from November 28.’

The ministry said the ‘margin ratio’ for the deposit would be between 107.1 per cent and 212.1 per cent on Australian wine imports of 2L containers or less.

It said the investigation had been conducted in ‘strict accordance with relevant Chinese laws and regulations and WTO (World Trade Organisation) rules’.

The $6billion Australian wine industry exports about 39 per cent of all product to China. 

This makes China the biggest destination for Australia’s wine exports and means the country spends approximately $1.16billion on Australian bottles annually.

There were already rumours in the Australian wine industry that China would introduce a tariff on Australian wine in October.

Rathbone Wines chairman Doug Rathbone said the move is ‘obviously politically motivated’ and part of China’s ongoing diplomatic spat with Australia at the time.

CHINA’S WINE INTERVENTION AGAINST AUSTRALIA 

  • Chinese authorities say Australia is unfairly dumping wine into the market
  • Temporary tariffs have been imposed, ranging from 107 to 212 per cent
  • Australia now has 10 days to appeal the decision
  • Wine is a $2.9 billion industry for Australia and China accounts for 37 per cent of total wine exports, by far the biggest market for Australia
  • Australian ministers have not been in touch with their Chinese counterparts but officials in Canberra and Beijing are working on a solution
  • Having previously taken Canada to the World Trade Organisation over wine decisions, Australia could again take that route with China

 

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