Media release – Bridget Archer MP, Federal Member for Bass, 7 October 2022

Wine Grants in Doubt

Federal Member for Bass Bridget Archer is calling on the Federal Labor Government to continue the crucial Wine Tourism and Cellar Door grants after failing to confirm if the program would continue.

“The grants enable wine or cider producers around Australia who have met the eligibility criteria in the preceding financial year to access an annual grant of up to $100,000,” Mrs Archer said.

“Regional wine and cider producers across Australia are relying on the grants.

“The Minister for Agriculture, Fisheries and Forestry, Murray Watt is currently in the state and I encourage him to visit some local northern Tasmanian wineries and give them some certainty regarding the grant program.

“The grant round opened on July 1 and closed on September 30 and further delays will only cause additional anxiety amongst wine and cider producers in the northern Tasmanian region.

“As the program is retrospective and grants would relate to eligible cellar door sales made in the 2021-2022 financial year, it is important that those businesses are able to access the grants as soon as possible.

“Businesses have made monetary decisions during the past financial year based on the knowledge that the program would be available the following financial year.

“Australia’s grape and wine industry faces challenges including the cost of doing business, while still recovering from the impact of COVID-19. Any further delay in delivery of the grants will continue to cause unnecessary stress and uncertainty for businesses and families.”

The grant was previously aimed at encouraging more Australian wine tourism and creating jobs. Total funding under the grant was capped at $10 million each financial year.


Media release – Senator Tammy Tyrrell, 10 October 2022

TYRRELL CALLS ON GOVERNMENT NOT TO KEEP WINE MAKERS IN LIMBO

Senator Tammy Tyrrell is calling on the Federal Government to make clear what is happening with the Australian Wine Tourism and Cellar Door Grants.

This grants program has run for three years, with applications usually open on July 1. This year the applications have not opened, and the Government has not given an indication of whether the program will continue.

Senator Tyrrell says that because these grants are retrospective for sales in the previous financial year, Tasmanian wine producers are anxiously waiting to see if they will take a hit.

“These businesses are worth investing in. They bring in tourists and employ local people. They win international awards for their wine.”

“We can’t leave these businesses in limbo any longer. I understand the Government is doing an audit on all grants programs, but how long is a piece of string? These Tassie producers can’t continue to be left in the dark.”

“I’ve visited local vineyards. They’ve told me that without these grants, they might have to put off staff, or stop planned expansion.”

Fred Peacock is one of those operators. As the CEO of Bream Creek Vineyard, he is concerned about what the end of this grant program could mean for his business. Mr Peacock is currently building a cellar door near Marion Bay – an expansion that was planned with these grants in mind.

“At the time when we were planning this, and deciding also to commit to a very
large investment for a small company, that grant wasn’t under threat. Our financial planning has been done on the basis that that grant would be available.”

“To have this [lack of grants program] pop up halfway through the build was quite disturbing.”

Mr Peacock says cellar doors promote visitors staying in rural areas longer, and that flows on to other local businesses in the area.

Senator Tyrrell says that even though the Government is keeping spending tight in the budget, these grants should remain.

Background

The Australian Wine Tourism and Cellar Door Grants have been running since July 2019. They cost $10 million dollars to run per year.
Eligible Wine producers who have met the criteria in the preceding financial year may apply for a payment of up to $100,00. This payment reflects 29% of their eligible rebatable domestic cellar door sales (up to $100,000 (GST exclusive).
The Federal Government says that they are currently running an audit on all grants programs. To our knowledge, they have not announced when that will be complete.