The report states that exports have dropped by two percent in volume, and that 60 percent of wine exports last financial year were in bulk containers, ABC News reports.
By exporting in bulk containers, winemakers are able to save on a range of costs as the bottling process itself does not take place until the wine reaches its destination market.
According to AGWA’s manager of wine sector intelligence, Peter Bailey, bulk wine exports have increased by four percent and that the figure is continuing to grow.
"Exports above $1.50 a litre increased by a 43 per cent, to 41 million litres, and this is branded Australian wine which is being bottled in its destination market," Bailey told ABC News.
Bailey says that the increase is in contrast to exports of bottled wine which has experienced a 10 percent drop in volume due to producers of cheaper wines favouring bulk containers.
Despite the decrease in volume, Bailey says that the value in bottled premium wine has been slowing increasing since 2010.
"Although the bottled wine segment is small in volume terms, with a five per cent share, its value is around $443 million," he says.