Tasmanian winemaker Tom Wallace warns of climate challenges for island's wine sector

Tasmania has emerged as the leading cool‑climate wine region in Australia, with production and average value per tonne roughly doubling by 2025. Despite this growth, the 2026 vintage saw a sharp 52 % drop in grape crush, harvesting only 11,163 tonnes and producing about 10 million bottles. Grapes fetched an average $3,870 per tonne, far above the national $570 average, giving Tasmania just 0.9 % of the country's volume but 5 % of its value.

Head winemaker Tom Wallace of Pirie, Tamar Ridge and Devil’s Corner said the decline was driven by climatic pressures rather than market choice. He stressed the need to “concentrate on quality” as new plantings expand, noting that Tasmania’s rugged conditions keep yields low and prices high. Wallace highlighted the variability of recent vintages, comparing 2026 to 2014, and warned that maintaining quality will be essential for the island’s reputation on the world stage.