Thursday October 20, 2011 – Riverland Weekly • 3
Riverland winegrape demand set to grow in coming vintage as...
Wineries discuss long term contracts By BRAD PERRY TALK is rife that major Riverland wineries are being offered five year contracts as the region prepares itself for increased demand for winegrapes. Riverland Winegrape Growers’ Association chief executive Chris Byrne confirmed he too has heard rumours of long contract offers. He said there is already an evident increase in demand for local winegrapes ahead of this year’s vintage. “I don’t have anything in writing to say there are five year contracts on offer but there is definitely an increase in demand for winegrapes,� he said. “The increased demand would suggest that major buyers around the world are realising the product they need from the Riverland is no longer in oversupply.� Mr Byrne said growers and wineries should be wary about signing long term contracts. “You need to have flexibility in your contract so there is a benefit for both parties, otherwise the contract will never work,� he said.
“A long term contract that doesn’t have a reasonable provision for a fair price to be paid every year throughout that contract might look attractive on the face of it. “But if the contract doesn’t provide, for you as the grower, to make a reasonable income, then it’s not a sound contract by any means and it is one we would urge growers
something up around 400,000 (tonnes). “Because of the increased demand for our grapes, we hope to see an improvement in price.� With the winegrape industry also suffering from oversupply in previous years, Mr Byrne said around 20 per cent of Riverland growers have exited, creating the right balance.
We are now ready for...a very sustained period of reasonable prices. not to sign.� After a disease ridden season for many growers during the last vintage, Mr Byrne said the Riverland wine industry appears to embarking on a promising period. “Those who normally buy grapes in the region have been looking to secure supplies for the coming vintage in 2012, so that is very positive for us,� he said. “It looks as though, if we have reasonable growing conditions, we might increase our yield again this year from 382,000 tonnes to maybe
“We’ve removed almost 20 per cent of our total plantings in the past three years and that has certainly helped us to return to a more balanced position and again, the increased demand from all of the buyers in this region for this forthcoming vintage would suggest that we’ve got that balance about right,� he said. “If the major wineries are getting orders from their big customers, then that suggests that they are no longer able to buy cheap wine out of the bulk wine market.
“They have to, again, start buying grapes that will create a wine supply to their clients in the coming say 12 to 18 months and two year period.� Twelve months ago the situation for the local industry was looking bleak but the turn around has been extremely positive, according to Mr Byrne. “If we go back 12 months we were just coming into an extremely difficult period,� he said. “That caused growers to have to, as it were, spend a fair bit more money to grow their crop because they had to incur a lot more cost in terms of protecting the crops for harvest. “We had a moderate increase in price last year and a moderate increase in yield, so now that we’ve got this increase in demand coming through in the form of wineries requiring more supply for this year, it would suggest that we’ve gone through the hard yards of structural adjustment. “We are now ready for, what we hope is, a very sustained period of reasonable prices for the fruit that we grow in the Riverland.�
~ Banrock Station ~ Diary Dates
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New River Doc’s CEO wants to raise profile By BRAD PERRY NEWLY appointed River Doc’s ED chief executive officer Eve Rogers believes the not-for-profit organisation must increase its profile in the community as many Riverlanders are unaware of the services it provides. Mrs Rogers, who took over from Lyn Gill last month, said many people are unaware of the services provided by the private organisation, such as an after hours GP clinic. River Doc’s ED, which operates from the emergency department at the Riverland Regional Hospital in Berri, has had a busy first year serving the people of the Riverland since its inception. “I don’t think it has that much of a profile in the community at the moment, so it
actually needs to be right out there so people know that it’s here,� Mrs Rogers said. “People know there is an emergency department because people presume that’s where they will go when they go in an ambulance but we do actually provide other services in regards to a GP clinic after hours.� Working in the medical profession is new to Mrs Rogers, who was previously employed at TAFE SA’s Berri campus. “I’m actually really enjoying the new challenge of being here,� she said. “Going into the future I am looking forward to developing this company and actually improving its profile within the community.� Spreading the word about what River Doc’s ED provides
is vital for the community, according to Mrs Rogers. “It is very important, not only for us in regards to maintaining the business but it’s also important to the community because it actually does provide an extra service that they don’t even know is here at the moment,� she said. “People do object to paying that gap fee but it is very important that they actually do that because we are not making any profit on it, it is actually just funding to keep that service going.� Once the upgrade of the Riverland Regional Hospital is complete, River Doc’s ED will be relocated into the new buildings, giving it the opportunity to expand its facilities and provide more ■CHALLENGE: River Doc’s ED chief executive officer Eve Rogers is hoping to continue to promote the emergency beds and a larger organisation’s services in her new role. waiting room.
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