Philip Gregan retires after 43 years of shaping the New Zealand wine industry
When Philip Gregan stepped into the New Zealand wine industry in 1983, it was awash with Müller Thurgau but rich with potential.
Vintage 2025
The quality was undeniable with very positive reports from regions across the motu. With our reputation based on being a quality producer selling at higher price points, the high quality vintage set a great tone for marketing and selling V25 wines. From the volume perspective, the vintage over-delivered (unfortunately). Vintage 2025 was our second largest crop ever and, with markets uncertain, the large crop added to supply side pressure already affecting growers and wineries - simply put, we produced more wine than we have sold in the past 12 months. The end result was grape prices down on last year, and reduced demand for grapes as wineries look forward to V26.
Markets
Generally, it’s tough times in global wine markets, with uncertain economic conditions and changing consumer behaviours leading to flat or declining sales. That’s certainly the case in the two largest markets for our wines – the United States and the United Kingdom. Both are in a state of flux, with volume down. Those declines are driven by various factors which are clearly contributing to the uncertainty about the future state of those markets. However, in both cases it is clear the uncertainty has been exacerbated by government interventions – in the UK higher taxes keep driving up prices, while in the US it has been the imposition of the tariffs. In both instances though, someone ends up paying the higher costs – that’s the way with taxes and tariffs; they are not good for markets or consumers.
Sales
At December 2024, estimated total sales of New Zealand wine were 307.6 million litres, down 1.1% on the previous year. Positively, for the 12 months to the end of September 2025, total sales have lifted to nearly 344m litres, 11.8% above the end of 2024 number. This growth in sales, at a time of market uncertainty, is a real positive, reflecting the strong reputation that our wines retain in our key markets. There has been eye-catching export growth in the past 12 months into some of our smaller markets. Exports to China are up over 60% in the past year, while to South Korea growth is even stronger, +114% in volume over the past 12 months. Those two markets are now worth over $100 million per year – significant in any terms. At home, the market in New Zealand has reflected the tough economic conditions. Wine sales are down, and the hospitality industry has been in the headlines for the wrong reasons. Let’s hope there is good summer weather that drives a positive peak tourism season. Fingers crossed!
A new NZW
The recent October AGM saw a critical vote by members on the future shape of New Zealand Winegrowers. The AGM featured the largest turnout in years, with members voting to support a smaller Board (down to nine directors from 12) with increased independent representation. With the new Rules now in place, we are moving to the implementation phase – the next big step will be the Board election in September 2026 when all Board places will be up for election. Watch out for news on the election process next year.
Media coverage
Over the past 12 months we have celebrated the 30th anniversary of the founding of Sustainable Winegrowing New Zealand. That celebration has generated some great media coverage, which has highlighted the industry’s ongoing commitment to sustainability – 30 years and counting. However, the NZW activity to generate the most news coverage was Pinot Noir New Zealand 2025. To date coverage of that event has produced an EAV (estimated advertising value) of $9.1m (more than twice the budget of $4.2m) and reached an audience of 154m people – really strong numbers, it has to be said. On the back of the success of Pinot Noir New Zealand 2025, the NZW Board quickly committed to Sauvignon Blanc New Zealand 2027 planning for which is advancing quickly, with the event now only a little over a year away.
So, 2025 has been another up and down year. Exports are probably at a level better than we could have hoped for 12 months ago, but growers and wineries are still facing a lot of uncertainty given market conditions, increased costs and tariffs. Let’s hope 2026 brings more positive news for the sector.
All the best for festive season!
