Release date: 05/04/23

South Australia’s winemakers will be front and centre of the emerging no and low alcohol (NOLO) wine market in Australia and the world, with the establishment of a world-first trial scale facility in Adelaide.

The Malinauskas Labor Government has invested $1.98 million in the facility at the University of Adelaide, with the centrepiece a machine which will allow South Australian winemakers to trial NOLO wine using as little as 150 litres of wine. Commercial-scale equipment, which has traditionally been used to develop new wine products, requires 10,000 litres.

Through the facility, South Australian wine businesses will be able to access equipment and expertise to develop new high-quality NOLO wine products at a subsidised cost, creating the opportunity to trial and refine new wine products in a low-risk environment. Also available are canning and bottling facilities, so successful trial products can be packaged and used for consumer or trade samples, market research and export samples.

The global NOLO market was valued at $1.58 billion in 2020 and is growing rapidly. This represents a strong opportunity for the South Australian wine industry, which is working to overcome the threat of oversupply and the loss of the China market.

Australian wine currently has 5% of the global NOLO market share, but only 3% of the value, which underlines the importance of enhancing our global standing through improvements in sensory perceptions of flavour, texture and aroma in NOLO wines. Many wine businesses are looking to diversify their product offering into new and existing markets to build resilience.

The NOLO project is a partnership between the Department of Primary Industries and Regions, the University of Adelaide and the Australian Wine Research Institute.
The facility is open to wine businesses now.

To learn more and register interest, visit www.pir.sa.gov.au/nolo

Quotes

Attributable to Clare Scriven:

The State Government know the value of our wine industry and we are supporting this vital industry to continue to innovate and diversify.

We’ve made a significant investment to support industry growth and development through $1.98 million to establish an Australian first trial-scale NOLO wine research facility at the University of Adelaide.

The NOLO industry is extremely strong in Australia and growing year by year. By accessing the trial-scale facility, they have much lower risk to diversify and experiment to create world-class NOLO products.

In time, this could lead to a skilled, specialist workforce and allow the industry to capitalise on significant market opportunities available.

Attributable to Professor Anton Middelberg, Deputy Vice-Chancellor and Vice-President (Research), the University of Adelaide:

The University of Adelaide prides itself on its innovative oenology and viticulture research that extends over the whole of the grape and wine value chain.

About 70 per cent of Australian wine research happens at the University of Adelaide’s Waite campus.

Our grape growers and winemakers are innovators and cultural leaders within a sector helping drive the nation’s economy.

There is huge growth potential in the no and low alcohol wine sector that our researchers will play a major role in.


Attributable to Iain Jones, Head of R&D, Quality and Compliance, Treasury Wine Estates:

At Treasury Wine Estates we are strongly aware of changing consumer preferences and their shift toward no and lower alcohol differentiated products.

The upward trend of responsible consumption of alcohol highlights the importance for our industry to develop leading NOLO technology to deliver low and no alcohol products that taste great and contribute the same sense of occasion as a traditional wine.

This new facility will fast-track the development of new products, grow the choice and quality of NOLO wines for consumers and uphold the quality reputation of Australian wine in the global marketplace.