Treasury Wine Estates CEO Tim Ford. says it would take several years to rebuild sales in China.Credit:Eamon Gallagher
“For our higher end luxury wines,it would take three years because we have to go and source more grapes,” Ford said.
“So if you make it this year,you don’t sell it for another three years. It would certainly take us time to increase the makes of those wines ... because we’ve done such a good job of reallocating what was going to China a couple of years ago.”
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As otherwinemakers and Australian exporters keenly await further improvement in relationships between Canberra and Beijing,Ford said there were “plans and strategies in place” if restrictions were removed quickly,but insisted the company was sticking to business as usual.
Ford,who has not visited China due to years of border closures from the pandemic,revealed he would be travelling there next month.
“I intend to be in there in March,” he told this masthead. “Still finalising all my plans.”
Treasury Wine has spent the last two years rebuilding its business by growing its presence in other markets,particularly the US through apartnership with rapper Snoop Dogg and theacquisition of a Californian vineyard,and other Asian countries,finding success with India,Hong Kong,Singapore,and Thailand and more. It has also circumvented tariffs bygrowing grapes in Chinaand launching a new line called One by Penfolds thatsources grapes from China’s Ningxia province,Bordeaux and California.