On 24 March 2026, Australia and the European Union announced they had concluded the Australia–European Union Free Trade Agreement (Australia-EU FTA). Under the agreement, Australian wine exported to the European Union will receive zero tariff treatment upon entry into force, delivering an estimated AUD $14.5 million per year in tariff savings.
This conclusion also confirms that Australian producers will retain the right to use the term “Prosecco” as a grape variety in the Australian market, worth in the order of $200 million per year. Under the agreement Australian producers will no longer be able to export Australian Prosecco, following a ten-year phase out period. We continue to maintain that Prosecco is a grape variety and that efforts to restrict its use are nothing more than protectionist measures used to distort trade to the advantage of EU producers.
While the Australia EU FTA has taken the bulk of the media attention, the lesser known Australia–EU Wine Agreement negotiations were also concluded concurrently with the FTA and have provided some further outcomes of significance for the Australian grape and wine sector. These include:
More information about the EU Wine Agreement outcomes are available at the Department of Agriculture Fisheries and Forestry website here.
Australian Grape & Wine has for years lead advocacy efforts to protect our sectors rights to Prosecco and other grape varies as well as our broader interests in these negotiations. While the outcome still restricts trade of Prosecco exports into the future, overall we now have greater certainty and future safeguards which provide ongoing benefit and support for our sectors trade with the EU.
Australian Grape and Wines media release is available here and we will continue to provide further detailed updates as more information on these outcomes are finalised.
