“Quicklook” Assessment of Greater Adelaide's Assets & Challenges ...

Science and Technology
• The industry is willing to invest in R&D, and expects to stay in the forefront of
implementation of technology worldwide.
Barrier/Obstacles
Governmental issues
• The level of taxation of the industry in Australia puts it at second-highest in the
world after New Zealand.
• Bilateral and multilateral trade agreements already in place can restrict markets
for South Australian wine.
• A variety of taxation and regulatory environments in countries such as the U.S.
Infrastructure Barriers
• Roads: The industry is concerned that the various governments responsible for
road construction keep up with the roadway construction needs resulting from
both shipment of product and the anticipated doubling of wine tourism. Alternate
routes are needed to separate truck traffic from tourist traffic.
• Electricity: Processes in the wine industry do not lend themselves to load time
period shifting. The industry needs reliable and affordable sources of electricity.
• Water: The industry is the most efficient horticultural industry in its use of water; it
needs continued access to sources of quality water.
Business
• Threats to the industry’s medium-sized domestic producers, who may not have
the capital to withstand losing market share and cannot invest adequately to
achieve the efficiencies of the larger producers.
• Technologies and talent migrating to other areas and countries.
• Training of new people suffers from a “Recipe training” mindset, not an R&D
mindset.
• Throwing everything into the public domain so quickly.
• “Catch us if you can” as a strategy to stay ahead technologically.
• Shrinking distribution channels through consolidation make it more difficult to
achieve shelf space.
• Strong American dollar competitive benefits may go away.
• Dependence on the trucking industry.
Unknowns
• Effect of the railway to Darwin and port on the export industries.
• Stance of government in regard to taxation of the industry.
ii http://www.austrade.gov.au/generalinfo/
iii http://www.it-southaustralia.com.au/news/frame.htm
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