SP 1.2.7 - Political factors

Question 1

Production and Labelling

Answer 1

• Wine is classified as ‘food’ so it has to meet all AUS
  food standards
• Wine Australia identifies geographical wine growing regions which impacts on labelling.

Question 2

Federal Government

Answer 2

• Taxation, 10% tax GST and 29% wine equalisation tax

(WET)

Question 3

State and Local Governments

Answer 3

• Where vineyards can be located
• Transport of grape is regulated to reduce spread of
  disease
• They also control irrigation licenses

Question 4

External Organisations

Answer 4

Growing market for organic wine - has to be approved by the Organic Farmers Association

Question 5

International Political Influences

Answer 5

China - Australia Free trade Agreement

• Chinas wine import market is growing dramatically,
  worth $3.2 in 2016.
• China is also Australia largest wine export