How could the shift in wine production affect Orange?
Increased demand for cool climate grapes boosts Orange's role in wine supply The combination of climate change and changing consumer tastes is driving a significant shift in the Australian wine industry, increasing the demand for grapes from Orange. Because hotter areas like the Hunter Valley find it difficult to produce lighter wine styles, many Hunter Valley wineries are purchasing grapes from Orange, a cool climate region. This trend is substantial; Orange produced almost five times the amount of Pinot Noir as the Hunter Valley this year. This increased sourcing establishes Orange as a critical supplier, providing greater resilience to the broader wine industry.
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How it reaches Orange
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Climate change and consumer demand for lighter style wines are challenging traditional wine regions in New South Wales. Hunter Valley wineries are increasingly sourcing grapes from cooler climate areas like Orange, Central West NSW, because hot areas struggle to produce these lighter styles. Ross McDonald, owner of Macquariedale Organic Wines, moved to Orange in 2020 to capitalize on the region's suitability for ripening grapes.
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Due to the difficulty of making lighter wines in hotter areas, Hunter Valley wineries are increasingly sourcing grapes from cooler climate regions like Orange. It is understood that Orange makes up a large proportion of the Hunter's outsourced purchased grapes. The accelerated trend of purchasing grapes from cooler climates increases the demand for Orange's cool climate grapes. This establishes Orange as a key regional supplier, particularly for lighter styles like Pinot Noir.
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- abc.net.au Saturday
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city in New South Wales, Australia
Everything about Orange
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The facts so far
As reported. Each one links to where it comes from.
- Orange is classed as cool climate because its vineyards sit between 600 and 1,390 metres above sea level.abc.net.au
- Mr McDonald estimated that approximately 50 per cent of the grapes processed in the Hunter are not actually grown there now.abc.net.au
- Orange crushed almost five times as much Pinot Noir as the Hunter Valley this year, producing 343 tonnes worth about $730,000 compared with 69 tonnes worth about $71,000.abc.net.au
Why it matters
The shift highlights the growing vulnerability of traditional wine regions to climate change and evolving consumer preferences. For Orange, this trend represents a significant economic opportunity, cementing its status as a vital cool climate supplier to the larger, more established Hunter Valley market.
This outsourcing trend provides greater resilience to the broader wine industry, allowing wineries to maintain supply consistency even when local harvest volumes are reduced due to weather variability. It reflects a wider industry movement toward regional diversification and climate adaptation.
What we don't know yet
- Will new labelling rules change the ability of Hunter Valley cellar doors to sell wine made mostly from Orange grapes?
- How will the increased demand for Orange grapes affect local land prices and agricultural investment in the Central West?
What would change this answer
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Other possible ripples from the same event.
Reporting
- abc.net.auSaturday
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