Riverina wineries 'nervous' over export tensions with China

The customs crackdown is rumoured among exporters and political officials to see Australian shipments of wine, lobster, sugar, coal, timber, wool, barley and copper turned around as of Friday.

While the decision has yet to be officially confirmed, Wagga's Borambola Wines said the lack of certainty only compounded concerns for the Riverina region as home to seven of the country's top 15 wine exporters.

"We've got containers on the water leaving on Friday, and that's the supposed deadline for the changes so these are really nerve wracking times," Borambola owner Tim McMullen said.

"We're trying to work with our customers to see if different ports can be tried to make sure the wine arrives within the limits."

While Mr McMullen said they were "small fry" compared to some of the larger exporters in Griffith in particular, it was a worrying time for all.

RELATED READING

"The worry of course is that if this wine can't go overseas anymore, is there another market for it?" he said.

"And if not, that wine will end up back in the Australian market, which will be good for consumers but not so good for the industry in terms of cost."

After speaking to a few Victorian wineries, Mr McMullen said the feeling was unanimous.

"There is a lot of talk of doom and gloom, so many businesses now will have to look at a domestic strategy and while that may be our main market, a lot of others really relied on that big export income," he said.

But the tensions sparked from political issues in the eyes of Mr McMullen, who said he'd hoped Australia's transparency would have more of an impact that it appeared.

"Australia has been more than open with the Chinese government about things like price subsidies, many wineries have opened up their books to foreign countries to show they aren't doing anything wrong or being subsidised, so let's get on with it," he said.

"This has certainly been a scapegoat."

Member for Riverina and Deputy Prime Minister Michael McCormack said the reports were concerning.

"Of course, reports of challenges which several Australian exports are facing on entry to China are of concern, particularly in those industries in the Riverina which rely on these important trade links," he said.

"The Trade Minister Simon Birmingham has been working closely with the various industries currently affected, including the wine industry, to seek clarity and to address any areas of concern."

Mr McCormack said to this point, China had "consistently denied any targeting of Australia and has spoken out about its commitment to the trade rules in place".

"In the spirit of its statements, the Federal Government is urging relevant Chinese authorities to address concerns of sectors, such as the wine industry, to ensure their goods can enter the Chinese market free of any disruption which may compromise the quality of their products," he said.

Sign up here to Good Fruit and Vegetables weekly newsletter for all the latest horticulture news each Thursday...