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Australia’s wine production surges, despite surplus

Australia’s wine production surges by 9%, but surplus and sluggish demand clouds outlook.
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Australia’s wine output jumped 9% in 2025, reaching an estimated 1.13 billion litres, as red varieties led a robust rebound. However, the uplift arrived against a backdrop of sluggish global demand, pushing national inventories to their highest level in a decade and raising concerns over long-term market balance.

The latest Wine Australia report shows production exceeded sales for the first time in three years, leaving a surplus of more than 50 million litres and lifting total stocks to 2.06 billion litres. Red wine output rose 15%, reclaiming dominance at 52% of production, while white wine inventories came under strain due to falling sales.

Exports grew 3%, boosted by a sharp recovery in shipments to China, yet domestic consumption continued to slide. Analysts warn that without significant reduction in vineyard area, grape prices and margins could remain under pressure as the global market continues to wrestle with oversupply.

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Gang des Grands Crus faces trial over fine wine thefts

'Gang des grands crus' faces trial over €2.5m of fine wine thefts in France.
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In Bordeaux, twelve defendants linked to the notorious “gang des grands crus” have gone on trial over a string of cellar raids that saw more than 4,000 bottles of premium Bordeaux and Burgundy wines allegedly stolen and trafficked between 2019 and 2020. Valued at over €2.5m, the case has caught the attention of wine lovers and collectors worldwide.

French prosecutors are seeking heavy sentences, with the suspected ringleader, a 34-year-old with around twenty prior convictions, accused of co-ordinating thefts from thirteen cellars and warehouses, aided by wiretap evidence and recovered bottles. A Chinese restaurateur alleged to be the group’s main middleman could face six years in prison, while others risk penalties ranging from suspended terms to eight-year sentences.

The haul reportedly includes Château d’Yquem, Petrus and Romanée Conti.

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Treasury faces hefty write-down

Treasury Wine Estates faces hefty US write-down as demand dips wiping around US$450m off its value. The move, paired with deep share price losses, has sparked renewed concern among investors.
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Treasury Wine Estates, Australia’s largest wine producer, is taking a major financial hit after confirming it will slash the value of its US business by roughly US$450 million. The company will reduce the goodwill value of its American assets and adopt more cautious growth projections following continued weakness in demand, particularly for lower-priced wines.

Shares have tumbled to AU$6, their lowest in a decade, after a difficult year during which earnings guidance was scrapped amid uncertainty for Penfolds and Treasury Americas.

While premium brands such as Daou and Frank Family Vineyards continue to outperform, the market’s overall slowdown is adding pressure on new CEO Sam Fischer and reviving concerns over high acquisition costs in recent years.

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Sherry Week 2025 is biggest yet

UK leads record-breaking Sherry Week 2025, with 1,846 events showcasing Spain's fortified wine.
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Sherry Week 2025, held 3–9 November, has closed as the most successful edition in its 12-year history, with 4,209 events staged across 27 countries. The UK led the way with 1,846 events - 123% rise on last year, spanning bars, restaurants, and wine schools, showcasing the country’s growing enthusiasm for Spain’s historic fortified wine.

Sherry, produced in southern Spain’s Jerez region, is crafted using the traditional solera system, blending younger and older wines to create complex, age-worthy styles from crisp Fino to rich Pedro Ximénez. Its centuries-old heritage has been rediscovered by a new generation through food pairings, mixology, and cultural events.

Spain hosted 814 events, including over 150 in Jerez itself, with highlights like literary-led Sherry & Books pairings, tastings at the Regulatory Council, and fusion cooking at Bodegas Faustino González. The first-ever Sherry Cocktail Week in Spain showcased innovative mixology from Barcelona to the islands.

In the UK, London’s Sherry Supper Club at Lolo, hosted by José Pizarro and Ben Lippett, treated guests with food-and-wine pairings, while Bar 44 in Bristol, Cardiff tapas nights, and Yorkshire Wine School dinners drew sold-out crowds. Venenciador performances at Camino King’s Cross added theatrical flair, with sherry served directly from a barrel using a long, curved, narrow spout called a venencia.

Sherry Week 2025 underlines the global resurgence of this iconic Spanish wine, marrying centuries of tradition with modern culinary creativity and international celebration.
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UK Budget confirms alcohol duty rise

UK wine industry warns of higher prices as budget confirms 2026 duty rise.
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The UK wine industry has reacted with concern after Chancellor Rachel Reeves confirmed that alcohol duty will rise with RPI inflation from 1 February 2026, as set out in the official Budget 2025 policy paper. The government says the increase is intended to maintain the “real-terms value” of duty while balancing the economic contribution of alcohol producers with its role in reducing alcohol harm. Small Producer Relief will also be uprated to maintain proportional support for eligible producers.

WineGB expressed disappointment, warning that the rise comes at a time when consumer confidence is fragile and domestic producers face mounting costs. CEO Nicola Bates said another duty increase threatens rural jobs, tourism and investment, adding that wine producers still struggle to access meaningful relief under the current system.

The Wine and Spirit Trade Association (WSTA) echoed these concerns. Chief executive Miles Beale called the move “disappointing and shortsighted”, arguing it “will only prolong the economy’s doom loop”. Despite evidence that previous tax rises have reduced revenue, he said the Treasury is “pressing ahead with its ill-founded plan”.

Under today’s duty system, still wine between 8.5% and 22% ABV is taxed at £29.54 per litre of pure alcohol. With the RPI inflation this will rise to about £30.62 per litre. With RPI set at 3.66% duty will go up by 11p on a bottle of Prosecco, 13p on a bottle of red wine and 38p for a bottle of gin from 1 February next year.

Overall, sentiment across the wine trade remains bleak as higher prices and tighter margins loom for 2026.
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Penn Croft UK's first certified Regen Vineyard

Penn Croft Vineyards achieves England’s first Regenerative Certification by A Greener World (AGW).
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Penn Croft Vineyards in Hampshire has become the first English vineyard to earn the Certified Regenerative by A Greener World (AGW) accreditation. The certification verifies genuine environmental and social benefits, offering consumers reassurance amid increasing, but often unverified, regenerative claims.

Part of Penn Croft Farms, the estate has applied regenerative principles for more than 25 years. In 2018, farmer Simon Porter and filmmaker Malcolm Walker established Itasca Wines with the goal of creating a vineyard rooted in soil health and biodiversity. Working with French agronomist Frédéric Thomas, they designed a system that includes wide vine spacing for cover crops, hand planting to protect long-undisturbed soils, and Scott Henry trellising to optimise yields naturally.

The vineyard also uses diverse annual cover crops, rotational sheep grazing and wildflower habitats to support soil life and wildlife. Regular soil and leaf testing help reduce synthetic inputs, while biodiversity corridors reinforce the estate’s “work with nature” approach.

Sustainability carries through to the winery, powered by solar energy and featuring the UK’s first winery-scale wetland system for wastewater treatment.

Porter says the certification proves their long-term commitment to regenerative agriculture. Penn Croft’s Certified Regenerative wines are available online and through select independent retailers, restaurants and hotels, with weekly vineyard and winery tours offered at penncroftvineyards.com.

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