As China-Australia ties thaw, critics score Penfolds’ first made-in-China wine, but is it worth US$100 a bottle?
- Australian winemaker Penfolds recently unveiled its first offering made with Chinese grapes, as bilateral relations between Beijing and Canberra are improving but wine tariffs remain in place
- Penfolds’ unveiling occurred in Shangri-La, Yunnan province, a new winemaking region where the company had to ‘start from scratch’
Top executives at Australian wine producer Penfolds recently sat at a long table full of the company’s bottled offerings with local government officials and guests, seemingly oblivious to the beautiful scenery of Shangri-La surrounding them in southwest China’s Yunnan province.
Instead, their focus was locked on the three Australian critics who were gently swirling wine in their stemware.
For managing director Tom King, it was a defining moment, as Penfolds’ first wine made with Chinese grapes, but using Australian techniques, is rated for the first time.
King and his team have been shouldering the task of tapping into China’s vast market, including 400 million middle-class residents who are willing to spend big bucks on items such as French perfume and German cars.
Over the course of several months, Beijing inflicted trade restrictions on Australian products such as barley and wine.