UK shoppers to save 20p per bottle on Aussie wine under FTABy James Lawrence
UK shoppers will soon save 20p per bottle on Australian wine following an FTA signed between the UK and Australia that will abolish all tariffs levied on Australian wine imports.
As reported by the Daily Mail, popular Australian wine brands like Hardys, Jacob’s Creek and Penfolds are about to experience a UK price cut, following the conclusion of trade talks with the Australian government.
An inaugural FTA signed between the UK and Australia in June 2021 will abolish all tariffs levied on Australian wine imports, leading to lower prices for supermarket shoppers.
As reported in the Mail Online, the current tariff on Australian wine imports is £26 per hundred litres, roughly translating as up to 20p per bottle.
However, the deal reached between UK prime minister Boris Johnson and Australian premier Scott Morrison will abolish all barriers to trade between the two nations.
“It is clear the UK has a great thirst for Australian wine, and it is fantastic that we will now have a greater selection on our shelves,” Liz Truss, the international trade secretary ,” told the Mail Online. “More free trade means lower prices and more choice for shoppers.”
Data released by Wine Australia in July showed that the UK market is increasingly becoming a key destination for imports of premium antipodean labels.
During the past 12 months, the value of Australian wine imports into the UK rose by 21%. Meanwhile, volume climbed by 16% to 29.9 million 9-litre cases.
Conversely, the ongoing trade dispute with China has severely curtailed exports to one of Australia’s key global wine markets. According to Wine Australia, the total value of exports to mainland China fell by 33% over the past 12 months.