Sirromet exports 120,000 bottles into China annually with that figure likely to double over the next 12 months. The wines average $27 per bottle.
Sirromet national sales manager Rod Hill says the deal will overtake domestic sales as the winery creates a niche in Asia for its premium brands in the Jiangxi Provence with the Dong Run Investment Holding Company.
“The deal will significantly add to the growth prospects of Sirromet wines and continue to build Dong Run Investment Holding Company’s reputation as Jiangxi Provence’s leading distributor and retailer,” says Hill.
Sirromet owner Terry Morris, says the deal will potentially open up broader opportunities in China as the company tempts the tastes of the discerning Chinese and fast emerging middle class.
“It’s terrific and the flow-on effect from this will give Sirromet exposure in other provinces also. They have embraced it and love the prestige that comes with the wine,” says Morris.
The agreement follows a trade delegation to China in May with Sirromet department heads, its export manager Jenni McDonald and deputy commissioner of Queensland Trade in Hong Kong Angela To.
Dong Run Group is one of the largest business groups in Jiangxi and covers department stores, retail, wholesale, international trading, property, hotels, logistics and construction.
The department store of Dong Run Group is similar to David Jones of Australia with the wholesale trading section sole agents for many world famous commodities in Jiangxi, such as Colgate, Procter & Gamble, Heinz, Hennessy XO and other leading brands. Sirromet now joins the list.
Chairman of Dong Run Group Jing Lin Zuo, says both parties are ‘very happy with a very bright future ahead’.
While the offshore arrangement caps a stellar 10-year anniversary for Sirromet, its domestic visibility remains a constant challenge.
“The domestic market is something that we’re working on, but Queensland restaurants have constraints and southern wines vigorously defend their market share. Obviously we would like to see Queensland restaurants stocking wine from the Granite Belt,” says Morris.
Get our daily business news
Sign up to our free email news updates.
Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support