Riverland wine grape growers in South Australia are being urged to reconsider signing contracts for their grapes this year.
Many growers are without contracts following a number of wine companies folding, and not renewing contracts last vintage.
But Riverland Wine Grape Growers Association chief executive Chris Byrne says growers will have more bargaining power without a contract.
“It’s very tempting if a winery comes along and says look, we’ll offer you a five-year contract if you’ll plant up another several hectares of a particular variety,” he says.
“If the winery can’t add to that, a meaning financial return, or what’s called consideration, we’d be urging growers not to take the bait and not to get back into that supply trap.”
source: http://www.abc.net.au/rural/news/content/201008/s2998301.htm
