This week (24 March) saw the conclusion of the Australia–EU Free Trade Agreement.
For the EU, as well as eliminating tariffs on machinery, motor vehicles and chemicals, the deal is expected to bring significant benefits to farmers and wine producers, with tariffs removed from many goods.
According to the official website of the European Union, the agreement will protect EU GIs, including Champagne, as well as 232 spirit drinks.
A modernised bilateral wine agreement will further protect 1,600 EU wine GIs, including around 50 new additions.
For Australia, the deal is likewise set to reduce the cost of exporting, with almost all EU tariffs being lifted on wine.
In return for the EU GIs being protected, several Australian GIs are also set to be protected under the new deal. Notably, these include Upper Hunter Valley, Mount Gambier and New England.
At the same time, however, Australia will be forced to stop using a series of descriptors protected under EU GIs.
In drinks, this most notably includes the phrase “Prosecco”, which will be phased out on labelling for exports over the span of 10 years from the deal. Producers can, however, still use the term domestically.
In spirits, Australian producers must also stop using names like Tsipouro and Ouzo, which have GIs in Greece. These changes will be phased out over seven years.
Anthony Albanese, the prime minister of Australia, heralded the financial implications of the deal. He said: “Australian wine producers and exporters will benefit to the tune of around $37 million annually with the removal of European Union import tariffs.”
There have also been positive reactions within the trade to the news, with Wine Australia praising the agreement and the impact it will have on Australian producers.
Martin Cole, CEO of Wine Australia, said: “Europe is a significant region for Australian wine exporters. In 2025, 245 Australian wine exporters shipped 76 million litres of wine valued at $143 million to EU member markets, representing 12% of total export volume and 6% export value, with additional wine sent to the United Kingdom and then on-shipped to EU destinations.”
He continued that the organisation would provide comprehensive guidance to producers and exporters through the transition period of the agreement.
