THE Foster's Group is sending Murray-Darling Basin grape growers booklets from national depression initiative beyondblue in preparation for a "diabolical" 2009 vintage.

Foster's, a major sourcer of grapes in the Riverland and Sunraysia regions, handed the pamphlets to its contract growers at information sessions in the past weeks, company spokeswoman Liz McLachlan told the Adelaide Advertiser.

The move coincides with beyondblue's new initiative Taking care of yourself after retrenchment or financial loss and was sent in line with forewarnings of a substantial drop in grape prices for the 2009 vintage.

Winemakers have indicated a possible 30 per cent fall in grape prices from this year – $500 a tonne for red varieties and $350 a tonne for white – prices which may fall under the cost of production for some growers.

Lower price would be forced on the industry from higher stocks and shrinking exports and would squeeze grower's earnings which are already under pressure from increased fuel, fertiliser, debt financing and water prices, grower groups said.

Riverland Wine Industry Development Council chairman Roseanne Healy said Foster's move, possibly sent with a "bitter pill", showed responsible corporate leadership.

"I think it's a great opportunity to show leadership for a company with a large economic footprint in the region. Particularly in regional areas where depression and financial stress are a silent issue, it's information that's constructive."

Representatives of rival wine makers Constellation Wines and Australian Vintage, when told of the beyondblue initiative, were surprised by the unusual move.

Angove's Wines managing director John Angove said the region produced about 400,000 tonnes of the national 1.3 million tonne–harvest and was competing with an oversupply of premium quality grapes from cool climate, unirrigated regions.

"I would agree that for the growers it's going to be a diabolical vintage," he said.

He said the company had been "beaten about the head" from UK retailers demanding lower prices and that message "has got to be passed on to growers".

Riverland Wine Grape Growers Association executive director Chris Byrne said any health or financial assistance for wine grape growers would be well received.

Read more at the Adelaide Advertiser.

 

*This news is a quote from the「WeeklyTimesNow」.