August, 2018|Vibrant Communities

Wine sector flow-on a major national employer


“Wine is a unique, high-quality product created in Australia’s 65 wine regions by highly skilled winegrape growers and winemakers. The sector brings together agriculture, sophisticated production and tourism.”

Wine Australia CEO, Andreas Clark


Independent economic research commissioned by Wine Australia has quantified the direct and indirect contribution of the Australian wine sector to the national economy.

ISSUE

Wine grape growing, wine making and wine related tourism occurs in all states and territories of Australia. The relative scale of direct economic activity by state and territory is indicated by the Australian Bureau of Statistics (ABS) 2011 employment levels in the Grape Growing Sector and Wine and Other Alcoholic Beverage Manufacturing Sector.

However, there is currently no data available for employment in wine tourism because the ‘tourism sector’ is seen to be made up of components of several sectors, including transportation, accommodation, food and beverage, recreation and entertainment and travel services.

SOLUTION

Wine Australia commissioned independent economic research by specialist consultancy AgEconPlus in 2015, to identify the direct and indirect contribution of the Australian wine sector – defined as winegrape growing, winemaking and wine-related tourism – to the national economy.

The study analysed and quantified both direct and flow-on output, value-added, income and employment. Economic activity, including employment, for tourism was generated based on visitation levels and expenditure.

RESULTS

The analysis has shown that the Australian wine sector supports 172 736 full and part time jobs, most of which are in regional Australia, including the direct employment of 68 395 full and part time jobs within the sector and a further 104 341 due to flow-on effects. This equates to income from the wine sector of $10.4 billion.

The report also revealed the average effects of a contraction or expansion within the sector, suggesting the wider economy would gain an extra 1.53 jobs for every job gained in the wine sector.

The report provides a clear indication to young people of the employment opportunities both within the broader wine sector and also across Australia’s wine regions.

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