One of WGGA’s main priorities is to help growers with selling their fruit.
The following are a number of resources that can help growers to negotiate with grape purchasers.
You may also wish to visit our page on the Code of Conduct which is designed to create a common wine grape supply contract framework and provide a system to address disagreements over price or quality assessment.
These guidelines have been produced by WGGA based on conversations with a number of growers from different regions, who have found ways to be successful sellers in a “buyers’ market”. The common theme is finding ways to add value, rather than being a “price-taker”.
Improving your negotiation outcomes
As a grape grower, it is likely you will need to negotiate with a winery or winemaker regarding the purchase of your fruit. You may also need to negotiate with contractors, suppliers, employees and people in other areas of your life. Sometimes, a dispute arises and you may be negotiating in a conflict situation. Growers may be afraid that holding out for a reasonable price or “standing up for themselves” will lead to retaliation by the winery and loss of business. Good negotiation skills are about getting the best outcome for yourself, without compromising your relationship with the other party. A good negotiation has a win-win outcome.
A guide to negotiating the sale of winegrapes in the Barossa
This booklet contains comprehensive information for grape growers and grape purchasers relating to all aspects of entering into and working with a grape supply agreement. It aims to assist grape growers and purchasers navigate their way through each stage of a wine grape sale transaction. The booklet is available from the Barossa Grape and Wine Association. WGGA members can purchase it at the special BGWA member price of $15 (inc GST).
Checklist for signing grape supply contracts
Having a contract in place that is in your best interests can protect you from substantial business risks and will save you from the stress of a dispute later. WGGA has developed a checklist of questions you should consider, prior to signing a grape purchase agreement.
Sample winegrape supply agreements
Templates for grape supply agreements are being developed by the Code Management Committee.
Watch this space or contact [email protected] or call 08 8133 4000 for more information.
Australian Wine Industry Code of Conduct
WGGA and WFA have developed the Australian Wine Industry Code of Conduct, which sets out the minimum requirements for wine grape purchase agreements. Check that your purchaser is a signatory to the Code – or if they are not, encourage them to sign up as a demonstrated commitment to a fair negotiation process with you.
Find out more about the Australian Wine Industry Code of Conduct
Download one-page, at-a-glance summary of the Code Dispute Resolution Process
Assistance for independent contractors
The federal government has a website specifically developed to provide assistance to independent contractors with all aspects of their business – including contracts. Visit www.business.gov.au/contractors for more information.
Looking at a Contract?
This checklist for achieving an agreeable grape supply agreement was originally produced by Murray Valley Winegrowers’ Inc and is distributed by them and by the Wine Grapes Marketing Board as a starting point for growers looking at entering into contracts. It covers some different areas from the WGGA checklist and is a helpful supplementary resource.
Review of Wine Grape Contracts
WGGA reviewed a sample of grape supply contracts and compared their terms against the requirements set out under the Code of Conduct. You can view the audit report below.
This publication was prepared for and endorsed by Wine Grape Growers Australia (WGGA) and the Winemakers’ Federation of Australia (WFA) in August 2003.
The assessment was compiled by Wendy Allan and is a description and endorsement of then best practice in winegrape assessment. It’s aims are to bring more clarity, transparency, commonality and certainty to the sometimes contentious process of winegrape specification, Quality Control and winegrape quality attribution in winegrape transactions.
Winegrape Assessment – in the Vineyard and at the Winery (download PDF)