New Zealand Winegrowers (NZW) has released its 2025 Annual Report, marking three decades of Sustainable Winegrowing New Zealand (SWNZ) while warning of a “complex and uncertain business environment” for producers.

SWNZ – one of the world’s first national sustainability certification programmes – now covers 98% of the country’s 42,000ha area under vine and over 90% of its wineries. Chair Fabian Yukich called the initiative a “huge success for our sector. It was launched by the industry, for the industry and for our consumers, not because we were forced into it but because it was the right thing to do.”

He added: “Much of the current focus of industry activity is on the immediate challenges confronting growers and wineries. Market and economic developments are compounding industry specific issues to create a highly uncertain environment.”

Representing nearly 90% of total New Zealand wine sales, exports grew by 5% in volume over the past 12 months, with a slight decline in value of less than 1% to NZ$2.10 billion. The US remains the largest market at NZ$762 million despite a 3% decline following the imposition of new tariffs. Growth was strongest in emerging markets: exports to China jumped 47% to NZ$56m, while South Korea surged 92% to NZ$44m.

The UK continues to play a pivotal role for New Zealand wine, accounting for one of the three largest export destinations alongside the US and Australia. While shipments to the UK were largely stable over the past 12 months, value growth was tempered by the impact of new alcohol duty reforms that have increased costs for producers selling into the market. Nevertheless, in-market data shows New Zealand wine continues to outperform competitors in key markets, with Sauvignon Blanc in particular maintaining its leading position in the premium white wine category.

The report also highlighted an exceptional 2025 vintage, with warm, dry days and cool nights delivering what would have been the country’s largest-ever crop. However, faced with sluggish demand and high inventories, many wineries limited their grape intake, leaving a significant volume unharvested.

Despite these headwinds, Yukich struck a note of optimism, adding: “While much has changed since 2020, the fundamentals that have made New Zealand wine successful over the past three decades have not. Success in the future will reflect this: we must continue to produce highly distinctive, premium and sustainable wines that are an enduring reflection of New Zealand and its people.”

The full report includes a refreshed research strategy from Bragato Research Institute and a roadmap to Net Zero 2050, which can be read here.