How times change. On my first visit to Australia in 2002, the wine scene was dramatically different from 2025. Yes: the energy, dynamism and world-class wines were there, but the drivers of the industry were not the same as they are today.
‘In 2002, Australian viticulture was characterised by scale, innovation and market responsiveness rather than terroir-specific expression. Large vineyards, mechanisation and a focus on varietal labeling defined the industry,’ notes Matt Deller MW, winemaker and CEO of Wirra Wirra in McLaren Vale.
‘Regions like McLaren Vale and Adelaide Hills were emerging as high-quality wine regions, but the focus remained on consistency and approachability over individual terroir,’ he adds.
Today, as Larry Cherubino notes in his recent interview with Peter Richards MW, ‘Australian wine has evolved. Now we’re selling dirt. We talk less and less about technique. It’s all about the vineyard these days’.
A sense of place
Deller points to what he describes as a ‘Burgundian evolution’ in McLaren Vale and Adelaide Hills since the start of the millennium. ‘Inspired by Burgundy’s emphasis on place, winemakers have shifted toward smaller-scale, site-specific practices,’ he notes.
‘This evolution is reflected in the proliferation of single-vineyard wines and micro-parcel viticulture, as well as a greater focus on soil health and biodiversity,’ he continues. ‘For example, McLaren Vale’s diverse geologies, from sandy loams to ancient clays, now underpin blending decisions and vineyard management strategies.’
Deller continues: ‘These shifts echo Burgundy’s ethos, blending modern science with traditional techniques like minimal intervention winemaking and natural fermentations.’
This changing approach has not been limited to South Australia. It can be seen across all of the country’s wine regions from the Hunter Valley in New South Wales to Western Australia’s Great Southern region.
The increased emphasis on expressing a sense of place is also clearly reflected in the shifting styles of Australia’s signature white and red grapes: Chardonnay and Shiraz.
Chardonnay
Wine Australia’s National Vintage Report for 2024 showed that more Chardonnay grapes had been crushed nationwide than any other variety. This was the first time in a decade that the white grape crush had surpassed red. A huge 332,643 tonnes of Chardonnay grapes were crushed, an increase of 31% since 2023.
Aussie Chardonnay first won the hearts of drinkers in the 1990s with its ripe, oaked ‘sunshine in a bottle’ styles. As tastes changed and those wines fell out of fashion, many producers swung to the opposite extreme, producing lean, lower-alcohol versions that were over-worked in the winery.
Today, as Ned Goodwin MW pointed out in his Decanter column, ‘In pursuit of regional identity in Australian Chardonnay’, the emphasis has shifted yet again. The result of that shift is wines that are made more in the vineyard than in the winery, with the aim of reflecting Australia’s diverse regionality.
Cooler regions are leading the way. Look for top producers in Beechworth, Yarra Valley, Mornington Peninsula, the Macedon Ranges, Geelong and Gippsland in Victoria. Plus Tasmania, Adelaide Hills in South Australia and Western Australia’s Margaret River.
In Decanter’s first-ever Margaret River Vintage Report last year, Cassandra Charlick highlighted the stellar 2022 Chardonnay vintage. If you’re still not convinced that Australian Chardonnay deserves its place on a global stage, simply seek out one of her top recommendations.
Shiraz
Although it has lost ground to Chardonnay in terms of crush size, Shiraz remains Australia’s most-planted red variety ahead of Cabernet Sauvignon and Merlot. It now accounts for 46% of red variety plantings Down Under, according to The State of Play for Australian Shiraz, Wine Australia Market Bulletin, June 2024.
The bulletin also records a decline, both in tonnages and average prices paid for Shiraz grapes, over the past two years, which suggests a decreasing demand for Australian Shiraz. One of the reasons for this decline has been a decrease in exports, driven by a reduction in trade to mainland China, which imposed heavy duties on Australian wine in late 2020.
Whether export volumes return remains to be seen, but it’s clear that, as with Chardonnay, Shiraz styles have been evolving. Nowhere is this more evident than in Australia’s Shiraz heartland: the Barossa Valley.
As David Sly noted in Decanter’s inaugural Barossa Shiraz Vintage Report last year: ‘If you think you know all about Barossa Shiraz, think again.’ The ripe and powerful styles that propelled Aussie Shiraz to international fame have been joined by new-wave styles; leaner with more verve and elegance.
Alternative varieties
At the same time as classic styles made from international grapes are evolving, alternative varieties are adding diversity to Australia’s wine offer. According to the report Australia’s Alternative Varieties by Wine Australia, there are now over 100 different grape varieties grown across 65 distinct wine regions in the country.
Southern Mediterranean grapes, which are well suited to hot climates, are leading the way. Think Rhône varieties such as Grenache and Syrah, Portuguese grapes like Touriga Nacional and in particular, Italian varieties.
Chalmers Wine in Victoria planted Australia’s first Vermentino in 2004 and its vine nursery is a supplier of Italian varieties for other wineries. Kim Chalmers, MD of Chalmers Wine (below), explains that these grapes are becoming increasingly popular in the face of climate change.
‘It’s about finding ways to express freshness in areas that were known for ripeness and heavier wines,’ she says. ‘Freedom without an appellation system has allowed a lot more experimentation,’ she adds.
Alongside Vermentino, the likes of Nero d’Avola, Sangiovese, Nebbiolo and Fiano have become fixtures on the Aussie scene now. Look out for Tom Kline’s upcoming article on Italian varietals in the March issue and on Decanter Premium to find out more…
A sustainable future
Underpinning all of these changes in Australian wine has been an increased emphasis on the sustainability of the industry. Sustainable Winegrowing Australia was launched in 2019 to pull together the environmental efforts of individual wineries and organisations. To date it has 1,820 members, representing 98,800ha of vineyards.
Projects are many and varied. On my most recent visit to Australia at the end of 2024, I spent time with Sheridan Alm of Starr’s Reach in Riverland. Inspired by a major drought in 2007, she spearheaded the Riverine Recovery Program, focusing on the adaptive management of the third-largest wetland in the South Australian Murray Darling Basin.
‘We were able to bring the whole community together and – most importantly – able to work with the government. It’s hard to get the government to trust a group of farmers,’ she adds wryly. Investment of AU$30,000 helped to relocate irrigation pumps. The result is an average water saving of three billion litres annually, allowing healthy ecosystems to flourish alongside sustainable wine production systems.
More recently Australia’s largest family-owned winery, Casella Family Brands, announced that it has earned Sustainable Winegrowing Australia certification for its wineries, vineyards and grape supply. This major milestone for the industry means that over one in 10 grapes will now be grown sustainably in Australia (based on 2024 vintage crush figures).
These are significant steps, pointing to an optimism for the future of Australian wine. I look forward to seeing what the next 25 years bring.