Free trade deal: Peter has a yen to sell wine in Japan

QUALITY DROP: Mortimers Wines owner Peter Mortimer can’t wait to start exporting his wine to the high-class Japanese market. Photo: STEVE GOSCH.

QUALITY DROP: Mortimers Wines owner Peter Mortimer can’t wait to start exporting his wine to the high-class Japanese market. Photo: STEVE GOSCH.

A FREE trade agreement with Japan meant owners of small wineries around Orange could rapidly boost business because Japan is a market full of people willing to spend top dollar on quality wine.

That’s the view of Mortimers Wines owner Peter Mortimer who rejoiced at the deal struck between the Australian and the Japanese governments last week that would allow free trade between both countries.

It means Orange wine producers as well as produces of commodities such as beef and dairy would have “valuable preferential access” to the $4.9 trillion Japanese economy. 

Mr Mortimer said his small operation did not export to the bigger markets such as China because Chinese buyers only wanted to pay no more than $60 per case and that kind of money was not sustainable for a smaller business like his. 

“Japan is a market where they appreciate better quality ... we’ll be pitching our quality at the market in Japan very soon,” Mr Mortimer said.

“It’s opened up a whole other market for smaller businesses.”

As soon as the free trade agreement is underway Mr Mortimer will be scouting for a trader in Japan he can export his wine to and he believes he will not be the only wine producer in the region who is looking to start exporting.

Damian Shaw, director of marketing of Philip Shaw Wines said free trade agreements were good for business because it meant importers could sell Australian wines cheaper but it was the high Aussie dollar which was the biggest inhibitor of the market. 

Exports to markets such as those in Europe and America were around 30 per cent of Philip Shaw Wines’ business. 

“If the dollar was say around 80 cents in the dollar then exports could be around 50 per cent of our business,” he said. 

“We’re currently seeking a partner in Japan ... we need a certain type of importer and because of the high dollar it’s a big barrier.

“But the free trade agreement is an important part.”

nicole.kuter@fairfaxmedia.com.au

Smartphone
Tablet - Narrow
Tablet - Wide
Desktop