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Treasury Wine Estates to Close 19 Crimes Producer Karadoc Winery in Australia

Treasury Wine Estates recently announced plans to close Australia’s Karadoc winery next year, according to a July 5 press release. The decision to close the Victoria operation — one of the Australian wineries that produce 19 Crimes — follows a decreasing global demand for bargain wine.

According to Treasury Wine Estate executives, Karadoc’s closure was a “last resort” to manage company costs.

“Processing less volume means the cost of running the site is substantially higher,” chief supply officer Kerrin Petty said in the company statement. “Combine this with rising costs and unfortunately as a result, we’ve made the difficult decision to close our Karadoc winery from mid-2024, which is hard news to share with our loyal team, the local community, and partners.”

The soon-to-be shuttered site, opened in 1973, produces affordable wine brands such as Lindeman’s, Yellowglen, and Wolf Blass. Treasury Wine Estates will continue production of its commercial wine labels at its Barossa facility, as well as through partners Zilzie Wines and Qualia. While the company didn’t share details on future retail availability, it’s likely that the change won’t affect the production volume of its brands.

Climate-related concerns, Petty says in the press release, were also a factor in the decision.

“A number of factors contribute to our shifting vineyard footprint, including changing consumer trends and wine preferences as well environmental changes such as higher temperatures and reduced access to water,” he says.

The closure at the Victoria winery affects approximately 60 employees, whom Treasury Wine Estates says it will assist in finding new roles.

The article Treasury Wine Estates to Close 19 Crimes Producer Karadoc Winery in Australia appeared first on VinePair.

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