Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Excise Increase: Fortified Wine Sales Down 41%

Fortified Wine Sales Down 41%, 1 Year After Excise Increase

New Zealand Winegrowers has marked the anniversary of the May 2003 excise increase on fortified wine by announcing that sales of fortified wine have declined 41% in the past year.

Based on data from New Zealand Customs Service, New Zealand Winegrowers said fortified wine sales between 1 June 2003 and the end of March 2004 (the latest month for which data is available) were just 587,000 litres, down 41.1% on the 996,000 litres sold in the corresponding period in the previous year.

Commenting on the data Winegrowers CEO Philip Gregan said “The decline in sales in the past year has been dramatic and is a direct result of the excise increase of 6 May 2003. It is clear the increase has effectively destroyed the fortified wine market in New Zealand. Undoubtedly, this has been a disaster for many of those wineries who specialised in fortified wines.”

Mr Gregan said fortified winemakers were still did not understand why the excise had been increased. “The declared policy intention was to deter young people from drinking excessively. However, the principal consumers of fortified wines in New Zealand were the elderly, and it is them rather than young people who were primarily affected by the 2003 tax increase.”

© Scoop Media

Business Headlines | Sci-Tech Headlines


Voluntary Administration: Renaissance Brewing Up For Sale

Renaissance Brewing, the first local company to raise capital through equity crowdfunding, is up for sale after cash flow woes and product management issues led to the appointment of voluntary administrators. More>>


Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>


Media Mega Merger: Full Steam Ahead For Appeal

New Zealand's two largest news publishers have confirmed they are committed to pursuing their appeal against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>


Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>