Raising the Levy for the Wine Industry

Senator Matthew Canavan asked Professor Kym Anderson AC about the prospect of raising the levy for the wine industry, and Professor Anderson discussed the potential benefits and challenges of doing so, including the need to raise the levy for both winemakers and grape growers to support long-term development and marketing efforts. Professor Anderson noted that the current levy structure is based on volume, and changing it to a value-based levy could allow the levy revenue to grow if prices rise, and also highlighted the importance of expanding the marketing budget to increase market share, particularly in countries like the US where Australian wine sales have declined. The discussion concluded with Senator Canavan thanking Professor Anderson for the information provided, and noting that any further information should be submitted by midday on Tuesday, 11 February.