WINE company Orlando has been accused of fattening its margins at the expense of winegrape growers.
Massively reduced indicative prices across many varieties drew the ire of Murray Valley Winegrape Growers chief executive Mike Stone, who said the prices indicated were unsustainable.
"The drop of 30 per cent in chardonnay, while expected, seems to have flowed through to other white varieties which was most unexpected and unwarranted . . . those varieties are experiencing strong demand," Mr Stone said.
"It doesn't follow."
Asked if the drop in prices offered by Orlando was aimed at fattening the margins of the wine company, Mr Stone said: "That would seem to be a fair assumption".
The price indicated for chardonnay has dropped from $521 to $300 a tonne, while cabernet sauvignon and shiraz prices were down from about $640 a tonne this year to an indicated $500 next year.
Merlot was down from $598 a tonne in 2008 to an indicative price of $450.
Semignon was worth $472 a tonne in 2008 but next year Orlando expect it to fetch $400, sauvignon blanc dropped from $672 a tonne to an expected $550, and pinot grigio also took a big hit, down from $704 a tonne to an expected $550.
The drop in red wine prices was also "hard to justify" according to Mr Stone.
"We would urge growers to contact the company and let them know (they disagree with the prices indicated)," Mr Stone said.
"There's no reason to take that if they think the prices are too low."
