As national grape harvests fall, an industry analyst says wineries have an opportunity to wrest back market share from supermarket-owned private label brands, which have benefited from an oversupply of wine.
At 269,000 tonnes, New Zealand's grape harvest was affected by the poor summer and was 18 per cent down on the record 2011 vintage of 328,000 tonnes.
A Rabobank report this week says the smaller harvest had reduced the high stock levels that fuelled a surge in bulk wine exports - product shipped overseas in giant plastic bladders - and the expansion of private label brands, sold at lower prices than other products.
Marc Soccio, a senior analyst with the bank, said a large amount of Marlborough sauvignon blanc was now sold through private label brands owned by supermarkets and foreign wine companies.
"Now ... the stage is set for a battle over future supply with more limited stocks available from the 2012 harvest," Soccio said. "It is expected that a significant number of brands without strong supply lines will face supply constraints and rising costs over the coming year."