Britain is the largest export destination for Australian wine by volume and the national industry body Wine Australia believes the fallout from Brexit could make it less expensive to send local wine to the United Kingdom.
Australian winemakers exporting to the UK currently have to pay taxes European winemakers don’t, putting them at a disadvantage.
Wine Australia believes that tariff could be dropped when Britain leaves the European Union, which would make Australian wine cheaper for UK buyers.
But in Western Australia, producers like Larry Cherubino are a little more cautious.
“We’re hoping that all these changes augur well for the Australian wine industry in terms of there being a more level playing field between us and the rest of Europe, but we really don’t know what the outcome is going to be,” Mr Cherubino said.
The head of the Winemakers Association of WA, Larry Jorgensen, is equally guarded.
He said currency markets are more likely to dictate the road ahead and he would be paying close attention to the value of the pound.
“If it stays low for a period of time then that will affect our ability to be competitive,” he said.
Over the coming months and years, new trade deals will need to be negotiated with both the European Union and the United Kingdom.
The Winemakers Federation of Australia and Wine Australia said they would work closely with Government to reach favourable trading terms.
“We live in hope, I mean we are farmers after all and we’ve got to be eternally optimistic,” Mr Cherubino said.