SA government commits $109m to help struggling wine industry

The South Australian government has announced a $109 million support package for the state's struggling wine industry.

Grape growers across Australia have pleaded for support since the pandemic, when the industry experienced a major glut of red wine due to a ban on exports of Australian wines to China and a global downturn in wine consumption.

SA is home to several major wine regions, including the Barossa Valley, McLaren Vale and the Riverland.

Premier Peter Malinauskas announced the package today with $100 million dedicated to loans to help growers transition to other crops.

He said eligible growers would be able to access loans of up to $500,000, with no principal or interest repayments required for the first two years.

The support package also includes a two-year extension of the Global Wine Growth Program to drive international demand, support the disposal of chemically treated wine posts and address wine surplus inventories.