Research funding available to Australia’s grape and wine sector is set to grow significantly following the launch of a new investment initiative designed to fast-track innovation and tackle some of the industry’s most pressing challenges.
Wine Australia has unveiled the Australian Wine Future Fund, a new framework aimed at unlocking additional capital, accelerating innovation and delivering practical outcomes across viticulture, winemaking and wine business operations.
The initiative comprises two complementary funding streams with a combined five-year target of $50 million. The Research & Innovation Fund is seeking to generate $35 million through external grants and partner co-investment, supporting co-designed projects focused on vineyard performance, product development, sustainability and production efficiency. Alongside this, a Venture Investments Portfolio aims to attract $15 million in private capital to address critical innovation gaps and support emerging technologies.
The fund was developed in response to the 2024 One Grape & Wine Sector Plan, which identified the urgent need to unlock new sources of innovation funding as industry levies remain flat.
Wine Australia CEO Dr Martin Cole said the program builds on existing research strategies while leveraging recent legislative changes that increase Commonwealth Government matching contributions for research and innovation.
“The grape and wine levy system for research and innovation is tied to the size of our sector’s production. It rises and falls with the size of the crush each year. The changes to the available Commonwealth Government matching enables Wine Australia to actively seek non-levy funding opportunities,” Dr Cole said.
“For research partners contributing funding, the additional income helps grow the scale and impact of innovation. It also provides a mechanism that allows the sector’s levies to go further, in more areas along the value chain.”
The Research & Innovation Fund will operate through partnerships with research organisations, state governments, private sector stakeholders and industry bodies, complementing — not replacing — existing levy-funded research.
Already this financial year, $4.77 million in additional co-investment has been secured, supporting projects focused on sustainability, commercialisation and capability building. Initiatives include enhancements to Sustainable Winegrowing Australia and co-investment programs in Western Australia to improve environmental performance, efficiency and industry engagement.
Further projects backed through the fund involve collaborations with organisations including Australian Wine Research Institute, Agriculture Victoria, La Trobe University and industry partners focused on automation, sustainability and innovation adoption.
The fund is also pursuing strategically aligned grants, including support for portable smoke-taint detection technology and research into alternative packaging solutions to reduce the sector’s carbon footprint.
Complementing this work, Wine Australia has partnered with Tenacious Ventures to deliver the Venture Investments Portfolio. Under the arrangement, Wine Australia will invest $2.5 million in non-levy funds alongside Tenacious Ventures and other investors, with a combined target of $15 million over five years.
The portfolio will support early-stage, technology-driven companies developing solutions across areas such as robotics, sensors, artificial intelligence, advanced production systems, biotechnology and biosecurity — with a focus on delivering measurable environmental and commercial benefits for the sector.
Tenacious Ventures Founding Partner Matthew Pryor said the collaboration reflects a shared commitment to building scalable, high-impact innovation for agriculture and wine.
“As a firm dedicated to driving impactful change in agri-food from the outset, we are delighted to strengthen our long-running collaboration with Wine Australia through the Australian Wine Future Fund,” Pryor said.
Wine Australia will retain autonomy over investment decisions to ensure alignment with industry priorities and sustainability objectives, while accelerating the translation of research into commercially viable solutions.
The Australian Wine Future Fund is expected to play a key role in strengthening the sector’s long-term resilience, enabling greater collaboration across research, industry and investment to future-proof Australia’s grape and wine industry.
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