By Owen Grieve / Louise FitzRoy
The Constellation Wine Group, one of Australia's biggest wine companies
yesterday announced that it will close 20 vineyards,
three wineries and cut back on 350 jobs nationwide.
Constellation Wines has a big wine presence in Western Australia
including wine brands such as Houghton's, Brookland Valley,
Amberley, Moondah Brook and Goundry.
Constellation's President, John Grant
the Goundry winery and vineyards in Mount Barker will be sold.
The brand will not be sold.
"We are looking to consolidate our the existing winemaking
that's being done at Goundry into one of our other wineries in the state.
"Mr Grant admits 50 jobs could be on the line but
hopes the new company will retain the staff once the Mount Barker winery changes hands.
The WA Wine Industry Association says the restructure is a good move for the grape sector in Australia.
President, John Griffith's says wineries need to start focusing on profit
rather than production to stay competitive.
In this report: John Grant, Constellation Wine Group; John Griffith's, president, WA Wine Industry Association.