Wednesday 3 June 2020

Hunter Valley Wine and Tourists Association says Tourists Alone Won't Save the Valleys Future


BY ISABEL EVERETT

The Hunter Valley Wine and Tourism Association has reported figures  revealing COVID-19 has caused an $85 million loss to the Hunter Valley economy from March to May 2020.

"100% of businesses in the Hunter Valley’s wine and tourism industry have reported a significant reduction in revenue, with close to half of all businesses suffering a complete loss of income since COVID-19 restrictions were introduced in mid March," HVWT CEO, Amy Cooper said.

Ms Cooper says the excitement of welcoming tourists back to the Hunter Valley is being over shadowed by the enormity of the economic cost of the COVID-19 shutdown and an uncertain future still looms large for many wine and tourism businesses.

"80% of businesses have had to close, with COVID-19 restrictions forcing either full or partial closures," Ms Cooper said.

Businesses in the Hunter Valley have experienced an overall 95% reduction in business activity, with the tourism sector – accommodation, tour operators, activities & attractions, restaurants, cafes & bars – hardest hit by this pandemic.

The annual wine tourism economy is valued at $557 million per year, with running loss for the Hunter Valley reaching a $160 million since the bush fires started in the region in November 2019.

2,800 people are regularly employed in Wine Country, representing $104 million in wages annually.

"Our industry at 192 years old, is Australia’s oldest wine region and requires urgent protection and immediate assistance,” Christina Tulloch, President of the HVWTA said.

The HVWTA is calling for an extension to the Federal Government's Job Keeper payments.

"Three out of four businesses have still had to decrease their staffing levels, with over half of all Hunter Valley businesses having reduced their teams by 50% or more. Our industry needs certainty from Government about support beyond September,” Ms Cooper said. 

"The majority of Wine Country industry is small businesses, from owner operator run to employing up to 25 staff. It will take time and significant support for these small businesses to get back on their feet."

“A number of businesses have already made the incredibly difficult decision to permanently close. It’s a final heartbreaking call for people to let go of their livelihood, that they’ve invested years, if not decades in."

"So it is deeply concerning that 3 out of 4 businesses are reporting that they are uncertain and not confident in their viability over the next 12 months. The future of our wine tourism industry is under threat,” Ms Cooper said. 

The HVWTA is a member based not-for-profit, responsible for the sustainability of the wine tourism industry and destination marketing to attract visitors to the Hunter Valley.

The association currently receives no local, state or federal funding and is calling on government for critical funding investment.

"We want government to work with the HVWTA to ensure the Hunter Valley has a strong, viable and vibrant wine tourism industry into the future,” Ms Tulloch said. 

Image Credit: Sydney Expert