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New Zealand's Smaller Producers Struggle  Add/Read Comments

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The state of New Zealand's wine producers is a worrying one especially for the smaller vineyards (producing less than 22,000 cases a year) which sell almost exclusively on the domestic market. Few are profitable to a degree to make their long term future secure.

NZ Herald
"New Zealand Winegrowers said the number of wineries had boomed from 130 in 1990 to around 530 now. But chief executive Philip Gregan said it was clear that many were not as profitable as they should be.

Gregan said some wineries might not be as profit-driven as others. "A lot of people come into the industry with lifestyle as one of the motives ... so maybe they don't have the same sort of profit ambition as more purely commercial enterprises."

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