The federal and South Australian Labor governments have extended the SA Wine Recovery Program until 2027 to support an industry still recovering from “adverse events” and “market disruptions” experienced over recent years.
This will see the program continue until 2027 with an additional $0.6 million in federal funding, bringing the total investment to $3.1 million.
The extension has been welcomed by Lee McLean, CEO of industry body Australian Grape & Wine, who says the program “delivers practical, targeted support at a time when many wine businesses are making difficult decisions in a challenging operating environment.”
Similarly, Minister for Agriculture, Fisheries and Forestry Julie Collins says the extension “is another way the Albanese Labor Government is supporting grape growers and wine makers to diversify their trade, boost their productivity, and strengthen the long-term sustainability of their businesses.
“We know though that grape growers and wine makers across South Australia have faced a number of challenges in recent years, which is why we continue to work with them to deliver practical support,” she adds.
What is the funding for?
The new funding will be used to support a third round of the Resting Vineyard Rebate, along with other existing program streams focusing on improving vineyard waste management, domestic market demand building initiatives, and boosting regional grape and wine capability.
It will also include renewed support to increase the uptake of sustainability credentials to help South Australian wine businesses boost their efficiency and lower their emissions, with this stream already supporting 75 wine businesses across the state.
The extended program will also feature a 12-month campaign to support raising the profile of South Australia’s wines.
What is the Resting Vineyard Rebate?
The Resting Vineyard Rebate is essentially a funding opportunity that temporarily allows growers to rest parts of their vineyard in order to cut production costs and buy some time to evaluate and make decisions on future viability of vineyards.
Growers involved with the trial can apply for a rebate of $40 per hectare sprayed to cover the cost of ethephon, a plant growth regulator.
Growers can apply for ethephon rebates for up to 1,000 hectares each, with rebates available for a total of 5,000 hectares across the program.
Why only South Australia?
First launched in 2024, the federal government-funded, state government-operated program focuses on South Australia as the state responsible for 80 per cent of Australia’s premium wine and 50 per cent of bottled wine. More than 397 million litres of South Australian wine was exported overseas in the 2024-25 financial year, worth $1.8 billion in value.
As Julie Collins puts it, “at any one time, South Australia has nearly a billion bottles of wine on tables and in cellars around the world: a testament to the success and commitment to excellence from the state’s wine industry.”
The SA Wine Recovery Program is also being supported by recommendations made by the Viticulture and Wine Sector Working Group, established by Agriculture Ministers, with further input from the South Australian Wine Industry Association and Wine Grape Council of South Australia.
It is part of a range of government measures designed to assist grape growers and wine producers recover from adverse conditions. This includes the $4.6 million Grape and Wine Sector Long-term Viability Support Package that was renewed in July 2025.
The Albanese Government also recently committed an additional $30 million to support a further three rounds of the Wine Tourism and Cellar Door Grant Program to help attract visitors to Australian wine regions.
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