Australia Will Require a Mandatory Code for Winegrape Purchases by 2027

The rules, overseen by the competition regulator, could reset contracts, payment practices and dispute resolution before the next vintage cycle.

2026-09-09

Australia is moving to impose a mandatory code of conduct for winegrape purchases, a step that could reshape contract terms, payment practices and dispute handling between grape growers and buyers before the next vintage cycle.

Wine Australia said the federal government plans to introduce the code before Jan. 1, 2027, with the Australian Competition and Consumer Commission set to administer it. The Department of Agriculture, Fisheries and Forestry, or DAFF, has formed a working group to put the measure in place, and an exposure draft is expected in the fourth quarter of 2026. The draft has not yet been released, so the final rules are still unknown.

The planned code follows two separate reviews that pushed Canberra toward tighter regulation of trading practices in the sector. One was the 2025 independent review led by Dr. Craig Emerson, which examined whether there was market failure in the grape and wine industry and assessed options on fair trading, competition, contracting and risk allocation. The other was a Senate Rural and Regional Affairs and Transport Committee inquiry into the sector’s voluntary code of conduct. The government said on Dec. 22, 2025, that it would replace the voluntary approach with a mandatory system by the start of 2027.

That change matters because growers have long raised concerns about bargaining power and contractual fairness in the supply chain, from vineyard sales to downstream retail markets. A mandatory code overseen by the competition regulator could set clearer rules on how grapes are bought, how contracts are structured and how disputes are resolved when negotiations break down. At this stage, however, the detailed operating terms remain open because the exposure draft is still pending and consultation on the code itself is continuing.

A related bill is already moving through Parliament to support the change. The Wine and Other Legislation Amendment Bill 2026 was introduced in the House of Representatives on July 1 and, as of Sept. 1, remained before the Senate. According to Wine Australia, the bill would amend the Wine Australia Act 2013 to support the new mandatory code and would also allow Wine Australia to conduct or arrange surveys of the grape and wine industry and to use and disclose information for authorized purposes. Consultation on that bill has closed.

The code is only one of several parallel regulatory processes now affecting the industry. Wine Australia said four separate legislative or regulatory reviews are under way, each with different timelines and consultation channels. It said the overlap in timing is coincidental rather than part of a single reform package.

Another process now open could have broad consequences for wine labeling and market access. DAFF is consulting on how to protect wine geographical indications under the Australia-European Union Free Trade Agreement and a new wine agreement concluded in March 2026. Under those negotiations, Australia agreed to protect 396 European Union geographical indications, and the government must now decide how those protections will work under Australian law.

DAFF is asking the wine sector to comment on two options. One would place wine, food, agricultural and spirit geographical indications under one single system for registration, maintenance and enforcement. The other would keep the current wine geographical indication system while creating a separate framework for food, agriculture and spirits. Written submissions are due by 5 p.m. AEST on Sept. 30. The 396 protected names cover several agri-food categories, not only wine.

That consultation is significant for producers on both sides of the market because geographical indication rules can affect what names may appear on labels, how products are marketed and how trade commitments are implemented. For Australian exporters, the decision could influence compliance costs and branding choices. For European producers, it is part of the legal protection promised under the trade deal. Wine Australia noted that this process is still open and that the government is seeking industry views before settling on a final model.

A third process concerns the Wine Australia Regulations 2018, which are due to sunset on April 1, 2028, under federal legislative rules unless they are remade, amended or allowed to lapse. Wine Australia has commissioned an independent review for DAFF to test whether those regulations remain fit for purpose. Written submissions to the reviewer, Jason Duldig of Dixon&King Pty Ltd, are due by Sept. 25, and targeted consultation sessions are being held between August and September.

Wine Australia said its role in these matters is limited to helping the sector understand the issues and take part in consultation, while the government retains responsibility for policy and legislation. For growers, winemakers and buyers, the immediate focus is likely to remain on the mandatory winegrape purchasing code, since that is the reform with the nearest deadline and the clearest potential to change day-to-day commercial relationships in the Australian wine supply chain.