The South Australian government has pledged a A$109m (£55m) package to the state's wine industry to help growers diversify, transition and pull up vines, as the sector grapples with oversupply.
Premier Peter Malinauskas announced the package at Wolf Blass winery in Nuriootpa on Thursday, saying the funding would help struggling growers diversify their businesses and support the industry's efforts to boost international demand for Australian wine.
The South Australian government said its latest funding package was intended to help growers manage the industry's oversupply while giving them the option to move into other crops and land uses where vineyards were no longer economically viable.
The centrepiece of the package is a A$100m loan scheme for growers seeking to transition away from unviable vineyards to growing other crops instead. Large-scale growers will be able to access loans of up to A$500,000, while smaller growers will be eligible for loans of up to A$250,000, with no principal or interest payments will be required for the first two years.
Helping the industry pivot
The idea, according to Malinauskas, is not to dictate growers which crops to plant, but to give them ...