Wine Senate enquiry

Published Dec 12, 2024, 1:08 AM

Graeme Goodings speaks with Jack Papageorgiou, Board Member, Riverland Wine Grapegrowers’ Association about a Senate heading into the Australian winegrape purchases code of conduct.

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Well, in the Riverland. At the moment, there's an inquiry underway into Australia's wine grape and processing market. The holding sessions all around Australia, but it's a pretty significant one in the Riverland. The findings will impact two thousand wineries and six thousand grape growers across the nation's sixty five wine regions. And when you come to think about the Riverland is the biggest wine growing region in the nation. So what is happening there is quite significant. Joining us now to talk about is Jack Papa Giorgio, board member of the Riverland Wine Grape Growers Association. Jack, good morning, thanks for being with us today.

Hey, good one, Dame, thank you, Givin good thanks.

So tell us what is the purpose of the Senate inquiry.

Well, the purpose of the inquiries is how can we growers and wine makers reach an agreement that terms of conditions when it comes to price, in terms of payment is more satisfactory to both parties. I mean there's at the moment we have the only legislation we have in Sabacetaria is the terms of payment's one third after the month of delivery, the other third in June and the balance in September. But the critical point that is, if you supply a private isning, you've got to declare your income in June, although you get your other one third payment in September. So we like to see that that needs to be changed. The growers I need to get paid in that financial year because the cost of producing those graves would be delivered to the line it was committed by us in that financial year. I mean, oh my wine, Yes, a month I've in fine, I pay fifty percent after thirty days and fifty percent boats in. That should be introduced across the board.

So that is just a negotiation that you've sorted out. It's not. It's not according to law effectively.

That's right.

No, So what is that the situation across austraight across the wine.

Industry, all different wineries and different growers. They can negotiate terms of conditions by the two parties. You know, in life, everything is negotiable with the producers. You sit there and negotiate. And in my fifty years in the river Land, I always tried to have a strong relationship with the wine is you know, I always set the years to Jacob's Creek and all the others. At the moment, I'm with the locked and wine and you need growers and wine makers need to work together and understand Wine Magazine to understand what's happened out in the field. I we produce the grapes, so we produce a grape that they're going to turn into wine to make it the mixed our markets because fifty percent of our grapes turn into wine gets sold in the U Stralia and the other fifty is going to be explored. This is going to be very focused in export marketing because that's where the industry is going to be profitable and viable.

Well, you've got to work together, don't you. Without one, the other can't operate. I mean without the growers, the wineries can't operate. And without the wineries, the growers can't operate.

Fact right, Because you know I have a theme this together you grow, a divided you fall. So I know what I'll pick.

Now we look at the together. Yeah, we look at the river land and as I said, it's it's the biggest wine growing region. What what's the state of its health at the moment, I.

Look, Graham. At the moment, I'll be presenting some figures that we were getting. You know, one hundred and fifty dollars a ton for charahs when it costs you four hundred and fifty dollars to produce, you cannot divide. We're going to go in next year's with this four years two hundred dollars are count less than the cost of production. That is unsustainable. There's no way growers can sustain this pressure. In my in our case, my wife to withdraw one hundred and fifty thousand dollars from the super to keep the farm going.

And I guess your situation making your situation would be replicated right across the river land.

It is Graymond and right now the gross all I want is industry and government to sit down and work out a way forwards. I mean I sent a letter to the premiere, feed them and us is back in twenty two and congratulating becoming a premier. I encouraged him that he needs to engage the Wine Industry SERVICEADA to bring him around the table and understand the challenges the industry cases. We need to shift the wine from the wine thanks to the marketplace. We don't do that, we'll have great stump on the ground and all I got is an acknowledgement that the letter went to the Minister for Agriculture and a glance of my email did you read it? Did you understand what I was saying?

Now, so you've got nothing back effecting my letter? Yeah, yeah, that's that's.

Hard and call out for financial I didn't go and call one hundred million dollars. I encourage the government of the day, members of Parliament, we people of Savastoria or Strali. We've got to make a parliamentariance accountable. They're there in state and federal Parliament to represent us. They're not there to represent the political parties in themselves. They're there to serve the people of save Australia.

Jack, that's a that's well put. I agree, absolutely entirely. So you'd still like to hear from the agrid culture in the still. I mean he's taking his time obviously, but oh, I mean.

I spoken to her a few times and she said, oh, well, we're giving the growers, the rival and grape growers two thousand dollars a hector so we can spray the vine, so we can wrest the vines so we don't produce. And I said You'll walk into a coffee shop and tell me, is that a couple of thousand dollars to rest your cappuccino machine. You're in the business is going to be viable. I mean you are you really understand the status of the industry.

They don't understand. They don't understand.

I don't listen to the people on the ground, the people who deal these issues every day. And my message has always been growing, If why don't get the answers, Jack will be back.

Jack Papa Georgia Board member of the Riverland Wine Grape Grows Association. Thanks for your time today, Jack, and to all our friends in the Riverland. We wish you well and you know we need the Riverland wine industry up and running. The grape growers do a great job, but the returns are getting pertun At the moment, you can understand why they're why they're battling