This presentation is from a seminar titled “Key Issues in Wine Regulation” held in San Francisco, California, 18 ~ 19 September 2011.

1. !"#$%&'()%*+,-)%,(-%
.)/01,23+4%$35)+)(6)
!""#$%&'()*+",-$.,*/+0/&$1&/2*30454$+"$
*#6*3/&$',&*+&,$,&'()*+",-$/"2&,&3/&$*3#$
*#6*3/&#$42*,&#$"78&/+06&49$4(/2$*4$:""#$
4*:&+-9$/"34(5&,$;,"+&/+0"3$*3#$,&#(/&#$
05;&#05&3+4$+"$+,*#&
Tony Battaglene
General Manager, Strategy & International Affairs
Winemakers’ Federation of Australia

2. 78*.9:;$*798
&'()%<)623+%'<%-'=)+<)%,(-%'(2)+(,2'3(,114%
25)+)%,+)%<'/('>'6,(2%=,+',2'3(<%'(%25)%
+)/01,2'3(%3>%?'()@,A'(/%,(-%1,B)11'(/%
?5'65%C+3-06)%'@C)-'@)(2<%23%2+,-)D
E,(4%,CC+3,65)<%23%?'()%+)/01,2'3(%,+)%
E % 5 % % ' % 1 ' % %
-))C14%)(2+)(65)-%'(%25)%60120+)%3>%25)%
<)623+%,(-%25)%630(2+4D%925)+<%@,4%B)%
C,+2%3>%,%?'-)+%<)2%3>%+)/01,2'3(<%-'+)62)-%
,2%63(<0@)+%'(>3+@,2'3(%3+%5),125%,(-%
<,>)24

3. 78*.9:;$*798
F'/('>'6,(2%C+3/+)<<%5,<%B))(%@,-)%'(%,--+)<<'(/%
+)/01,23+4%-'>>)+)(6)<%25+30/5%,%(0@B)+%3>%
'(2)+(,2'3(,1%,/+))@)(2<%<065%,<G
H &*9%,/+))@)(2<
H #;I<%$3@@3(%E,+A)2%9+/,('<,2'3(%>3+%&'()
H J'H1,2)+,1%,/+))@)(2<%B)2?))(%#;%,(-%(3(H#;%
)63(3@')<
H &3+1-%&'()%*+,-)%K+30C%,/+))@)(2<
H .)/'3(,1%>+))%2+,-)%,/+))@)(2<%L )D/D%8!M*!N%
E)+63<0+N%**E.!

4. $9E"98#8*F%9M%*O#%.#K;P!*9.Q%
M.!E#&9.R
7(%25)%?'()%<)623+N%(,2'3(,1%+)/01,2'3(<N%
25)%'(2)+(,2'3(,1%()2?3+A%3>%2+,-)%
,/+))@)(2<N%2+),2')<N%'(2)+H/3=)+(@)(2,1%
/ 4 /
3+/,('<,2'3(<%,(-%'(-0<2+4%3+/,('<,2'3(<%
,11%63(2+'B02)%23%25)%+)/01,23+4%
>+,@)?3+A%,>>)62'(/%?'()D

5. 78*#.K9S#.8E#8*!P%F*!8:!.:F
J)>3+)%25)%&*9%>3+@,2'3(N%'(2)+(,2'3(,1%
,/+))@)(2<%,-3C2)-%B4%B3-')<%<065%,<%
$3-)T%!1'@)(2,+'0< <)+=)%,<%,%6,2,14<2%U%
+)>)+)(6)%C3'(2%>3+%25)%>3+@,2'3(%3>%
+)/'3(,1%,(-%(,2'3(,1%+)/01,2'3(<N%,(-%
+)/'3(,1%,(-%(,2'3(,1%+)/01,2'3(< %,(-%
3>2)(%5)1C%<31=)%2+,-)%-'<C02)<%B)2?))(%
@)@B)+%)63(3@')<D
!11)+/)(%,(-%>33-%1,B)11'(/%'<%,(%)T,@C1)%
3>%$3-)T%<2'@01,2'(/%@)@B)+%)63(3@')<%
23%'(610-)%<065%C+3='<'3(<%'(%+)/01,2'3(<D

6. J7HP!*#.!P%U%E;P*7HP!*#.!P%
!K.##E#8*F
M+))%*+,-)%!/+))@)(2<
$3@@3-'24%<C)6'>'6%,/+))@)(2<%L )D/D%
&&*K%E020,1%!66)C2,(6)%!/+))@)(2%
3 %9) 3 3/ 6, % ,62 6)<
3(%9)(313/'6,1%"+,62'6)<
J'1,2)+,1%?'()%2+,-)%,/+))@)(2<%L
()/32',2)-%B)2?))(%#;%,(-%C+'(6'C,1%
2+,-'(/%C,+2()+<D
!11%C1,4%<'/('>'6,(2%+31)%'(%/13B,1%+)/01,23+4%
>+,@)?3+A%3>%?'()D

7. !"#$%&'$&()%$!*+,(-"&
./0)123456)7896):8;<605)40)3;4<8=6;5)>1?748?)
=4226058;/?6):606@1?5)A /=B04>C6<96<)10)
3;43456<)$*)D106)%6@4;2)E/=B/96
+6<)?4)FG6??6;);698C/?140H)=40=63?5)10)$8;436)
=40?/10109)3;10=13C65)4@)9606;/C)/33C1=/?140I
J %698C/?6)/5)/)C/5?);654;?)/0<)04?)/5)/)@1;5?);654;?
J %698C/?6)40CK)/@?6;)/CC)4?76;)43?1405)7/L6):660)
6M=C8<6<N
J G6)=C6/;)/:48?)?76)=45?)4@);698C/?4;K)3;4345/C5N
J %698C/?6)40CK)>760)?76)4L6;/CC):606@1?)48?>61975)
?76):8;<60)/0<)=45?)?4)10<1L1<8/C5)/0<):851065565N

8. O)E%-&.-E+$P)"Q)G$(($%)
%$!*+,(-"&
RS E;434;?140/?6)A (76);626<K)285?)
2/?=7)?76);15B
TS ,==480?/:C6J (4)/CC)5?/B674C<6;5
US .40515?60?)
.40515?60?)A D1?7)4?76;);698C/?1405)
/0<);15B5
VS (;/053/;60?)A W663)1?)5123C6X)=C6/;)/0<)
4360
OS (/;96?6<)A Q4=85)40)?76)3;4:C62

9. -&Y*P(%Z)P$+QJ%$!*+,(-"&
,C>/K5)/)3C/=6)@4;)>6CC)=405?;8=?6<)/0<)
?/;96?6<)981</0=6)<4=8260?5)6N9N).4<65)4@)
E;/=?1=6N
,<L/0?/965)10=C8<6)?7/?)?76K)=/0):6)10)9;6/?6;)
<6?/1C)/0<):6)3;63/;6<)/0<);6L156<)6/516;)/0<)
24;6);/31<CK)?7/0)@4;2/C);698C/?1405
P6L6;/C)Q-#P)Y4=8260?5I
J !81<109)E;10=13C65)@4;),<L6;?15109)/0<)'/;B6?109)
E;/=?1=65)@4;),C=474C1=)G6L6;/965
J !44<)Q10109)E;/=?1=6)!81<6C1065
J !C4:/C)D106)P6=?4;)$0L1;40260?/C)P85?/10/:1C1?K)
E;10=13C65

10. %$(,-+$%)F%$!*+,(-"&H
%6?/1C6;5)7/L6):6980)?4)123456)?761;)4>0)
5?/0</;<5)40)5833C16;5)/5)?76K)6M?60<)
<15?;1:8?140)/=;455)0/?140/C):480</;165N
[
(76);6[81;6260?5)/;6)10)/;6/5)58=7)/5)
8/C1?K)'/0/96260?)/0<)P85?/10/:C6)
E;/=?1=65):8?)2/K)/C54)10=C8<6)+/:6CC109)?4)
5833CK)=85?426;5)>1?7)/<<1?140/C)</?/)6N9N)
08?;1?140/C)/0<)76/C?7)10@4;2/?140

11. -PP*$P
%698C/?1405)=40?1086)?4):6)<6L6C436<)/0<)
@4=856<)40)10<1L1<8/C)0/?140/C)]8;15<1=?1405)
<6531?6)9;4>109)>4;C<)6=4042KN
E4?60?1/C)155865)10=C8<6
J +455)4@)=405826;)=40@1<60=6)10);698C/?4;H5)
/:1C1?K)?4)/=?)6@@1=160?CK)10)9C4:/C)6=4042KN
J %15B)4@)10=;6/56<)=405826;)7/;2)<86)?4)344;CK)
?74897?);698C/?4;5H)/=?1405)/0<)10/=?140N
J %698C/?4;5)C/=B)?76)=/3/=1?K)?4)=4236?6)>1?7)
5121C/;);698C/?1405)10)4?76;)6=4042KN

12. -PP*$P)^=40?1086<S
J E44;)=;/@?6<);698C/?140)=;6/?65)?;/<6)_)10L65?260?)
:/;;16;5X)10=;6/56<)=45?5)/0<)C4>6;)=405826;)
:606@1?5)/0<)@/1C5)?4)58334;?)<6L6C43260?)4@)4360)
_)=4236?1?1L6)2/;B6?5N
J '/08@/=?8;6;5X)56;L1=6)3;4L1<6;5X);6?/1C6;5X)P'$H5)
/0<)@/;26;5)/;6)4@?60)1904;6<):K)/;:1?;/;KX)
9 K KX
<83C1=/?1L6)/0<)43/[86);698C/?4;K)3;4=65565N
J $M15?109);698C/?1405)4@?60):6=426)@/21C1/;)/0<)
34C1?1=156<)/0<)?785):6=426)<1@@1=8C?)@4;);698C/?4;5)
?4);624L6)4;)/260<)48?</?6<)/0<)8006=655/;K)
;698C/?1405N
J .40@4;2/0=6)/55655260?);6[81;6260?5)=/0):6)
<83C1=/?1L6X)80<8CK):8;<605426X)/0<)34?60?1/CCK)
3;4?6=?14015?N

13. !"#$%&'(!)*+(,"!"-+"
./01*23/4*05*63*7/80406/69*:3;9:9165*37*233<5*
=96>991*&?+*:9:=9@*98313:095*/1<*560:A4/69*
2@3>6B*A5012*6@/15C/@916D*9779860;9D*9173@89/=49*/1<*
:A6A/44E*83B9@916*5E569:5*6B/6*/@9*@05F*/1<*5809189*
=/59<*/1<*C@3:369*0169@1/6031/4*=956*C@/860895*/1<*
&?"+*8344/=3@/6031G
'3*915A@9*@92A4/63@E*83B9@9189D*@92A4/63@5*:A56H
I J99*6B90@*/860315*01*6B9*83169K6*37*36B9@*
0169@1/6031/4*@92A4/63@E*7@/:9>3@F5G
I $1<9@56/1<*6B90@*/860315*:/E*B/;9*50210708/16*
A173@5991*83159LA91895*07*A1<9@6/F9*01*/=59189*37*
F13>49<29G
I !98321059*6B/6*833C9@/6031*8/1*91B/189*6B90@*
9173@89:916*:/1</69D*>B0456*940:01/6012*6@/<9*/1<*
01;956:916*=/@@09@5G

14. !"J?(-J"*'(*MNOO"!"-'*
!"#$%&'(!)*O!&."P(!QJ
?@3<A89@5*84/0:*6B/6*<0779@012*56/1</@<5*
=96>991*:/@F965*73@89*6B9:*63*8@9/69*
:A460C49*;9@50315*37*6B90@*C@3<A865*>B08B*
@9LA0@9*<AC408/60;9*6956012*49/<012*63*
018@9/59<*83565*/1<*01977080918095G
(;9@/@8B012*7@/:9>3@F*73@*83::A108/6031*05*
( B0 *7 F*7 * 0 60 *0 *
F9E*63*3;9@83:012*6B959*=/@@09@5*63*6@/<9G*R*
:98B/105:5*B9/;04E*C@3:369<*=E*01<A56@E*
2@3AC5H
ST ,/@:3105/6031
UT "LA0;/49189
RT .A6A/4*@9832106031

15. ,&!.(-NJ&'N(-
N1;34;95*6B9*/<VA56:916*37*6>3*3@*:3@9*
56/1</@<5*3@*C@389<A@95*A1604*6B9E*/@9*6B9*5/:9G
R*>/E5*63*/8B09;9*B/@:3105/6031H
!" #$%&'()*&'+,-./&0.,- W 98313:095*>06B*
43>9@*56/1</@<5*56@9126B915*06*63*/*B02B9@*49;94D*
3@*63296B9@*<@/76*/*19>*56/1</@<*/6*/*B02B9@*
49;94G
4 4
1" 2,%-%&'()*&'+,-./&0.,- W 98313:095*>06B*
B02B9@*56/1</@<5*>9/F915*06*63*/*43>9@*49;94D*3@*
63296B9@*<@/76*/*19>*56/1</@<*/6*/*43>9@*49;94G
3" 4,+$',+./5)*&'+,-./&0.,- W 192360/6012*/*
19>*56/1</@<*/6*/1*0169@:9<0/69*49;94
X ,/@:3105/6031*:/E*=9*<319*;0/*=04/69@/4*3@*
:A4604/69@/4*/2@99:9165*3@*=E*0169@1/6031/4*
56/1</@<*5966012*3@2/105/60315D*9G2G*N169@1/6031/4*
(@2/10Y/6031*73@*J6/1</@<0Y/6031*ZNJ(T

16. "[$N&%"-+"
M395*136*198955/@04E*01;34;9*6B9*/<VA56:916*37*
/1E*56/1</@<5G
J0:C4E*/*@9832106031*6B/6*6>3*56/1</@<5*/<<@955*
50:04/@*@92A4/63@E*3=V9860;95*<95C069*136*=9012*
0<91608/4G
0< 0 4
J6/1</@<*37*843591955*8/1*=9*906B9@*/@608A4/69<*
/5*=9012*]5A770809164E*83:C/@/=49^D*>B9@9/5*01*
36B9@*8/595*6B9*56/1</@<*:A56*=9*/@608A4/69<*01*
/*4056*37*8@069@0/*/2/0156*>B08B*/*5E569:*3@*
C@389<A@9*8/1*=9*/559559<G

17. .$'$&%*!"+(#-N'N(-
!92A4/63@E*833C9@/6031*=/59<*31*
B/@:3105/6031D*9LA0;/49189*3@*9K69@1/4*8@069@0/*
5A8B*/5*0:C3@6012*C/@6E^5*56/1</@<5*/1<*
0169@1/6031/4*56/1</@<5G
'>3*C/@6095*>044*/2@99*63*@983210Y9*/1<*/889C6*
9/8B*36B9@ 5*83173@:06E*/55955:916*@95A465D*6956*
9/8B*36B9@^5*83173@:06E*/55955:916*@95A465 *6956*
@9C3@65D*89@60708/695D*C@3<A86*56/1</@<5D*
@92A4/60315D*:/@F0125D*LA/406E*/55A@/189*5E569:5*
=98/A59*6B9E*/@9*B/@:310Y9<*3@*VA<29<*/5*
9LA0;/4916*3@*:996*53:9*9K69@1/4*8@069@0/G
'@A9*B/@:310Y/6031*05*<07708A46*63*/8B09;9D*53*
.!&^5*63*</69*/@9*37691*=/59<*31*9LA0;/49189*
3@*9K69@1/4*8@069@0/G

18. PN-"*J"+'(!*J?"+NON+*
!"#$%&'(!)*NJJ$"J
%/=944012
+3:C3506031*Z391343208/4*C@/860895T
./K0:A:*@950<A9*40:065*37*/2@08B9:08/45
+9@60708/6031*C@389<A@95
C
+B/1295*63*@92A4/60315*5A@@3A1<012*6B959*
055A95*/@9*:/<9*63*=9*8315056916*>06B*
0169@1/6031/4*56/1</@<5D*:996*C3408E*
3=V9860;95*Z9G2G*8315A:9@*C@36986031*3@*
CA=408*B9/46BTD*3@*/*5A069*37*=@3/<9@*
@92A4/6031*8B/129G

19. !"#$!%!&'()$*%(&+$!$,)&-.'&
"/'$01(!$0"+)
!'+2&345&6257&89&:;<54=>5=?2&?;&45:6@3?5&?A5&625&
;B&3:4CDA5>CD3@2&C=&<34C;62&D4;E2&FD;>>;7C?C52G&3=7&
345&25?&HA5=&?A59&A3<5&E32257&3&I&?C54&?A;4;6:A&
45<C5HJ
$=D@6752&5K3>C=3?C;=&;B&2DC5=?CBCD&73?3&;B&?A5&
DA5>CD3@2&3=7&452C765&?4C3@2M&.1L)&32E5D?2&;B&623:5&
A C @ & 7& C7 & C @ &.1L)& & B& &
3=7&4526@?2&;B&5KE;2645&32252>5=?&2?67C52J
%263@@9&5KE452257&C=&3&N>:OP:Q&D;=D5=?43?C;=J
*;52&=;?&36?;>3?CD3@@9&C=7CD3?5&3>;6=?&;B&DA5>CD3@&
C=&3&E4;76D?M&2C>E@9&?A5&AC:A52?&@5:3@@9&3@@;H38@5&
@C>C?M&3=7&C2&;B?5=&>6DA&@;H54&?A3=&3=9&@5<5@&?A3?&
>39&E;25&3&?A453?&?;&D62?;>54&23B5?9J

20. 0.!R.)$,$.S
$=?54=3?C;=3@&3:455>5=?2&D;=D54=C=:&
.5=;@;:CD3@&E43D?CD52&;B?5=&B3<;64&>6?63@&
45D;:=C?C;=&32&E34?C52&345&:5=543@@9&6=HC@@C=:&?;&
D575&D;=?4;@&;<54&?A5C4&7;>52?CD&E4;76D?C;=&
E43D?CD52&;4&B6?645&;5=;@;:CD3@&E43D?CD52J
!6?63@&45D;:=C?C;=&45D;:=C252&?A5&@5:C?C>3D9&;B&
7CBB545=?&3EE4;3DA52&?;&>3PC=:&3=7&45:6@3?C=:&
HC=5M&HAC@5&45?3C=C=:&?A5C4&;H=&45:6@3?;49&
2?46D?6452J
R;?5=?C3@&7;H=2C75&C2&?A3?&C>E;4?57&HC=5&HC@@&
85&E4;76D57&?;&7CBB545=?&2E5DCBCD3?C;=2M&86?&
>62?&85&<C5H57&C=&D;=?5K?&;B&;<543@@&
85=5BC?2O75?4C>5=?2&C=&?A5&3:455>5=?J

21. +"T(++$S/
+385@@C=:&$22652&?A3?&D453?5&8344C542&?;&?4375U
V ,9E5&;B&C=B;4>3?C;=&?A3?&>62?&3EE534&;=&3&@385@
V ,A5&@5<5@&;B&D;=?4;@&;<54&?A3?&C=B;4>3?C;=&
F>3=73?;49M&D;=?4;@@57M&<;@6=?349G
V ,A5&E@3D5>5=?&;B&?A3?&C=B;4>3?C;=&FB4;=?&;4&
83DPG
V ,A5&E4525=?3?C;=&;4&D;=?5=?&;B&?A3?&
C=B;4>3?C;=J
W "EE4;3DA52&?;&@385@@C=:&<349&75E5=7C=:&;=&HA3?&
C2265&C2&85C=:&753@?&HC?AJ

22. 0.S0+%)$.S
+385@@C=:M&D;>E;2C?C;=M&262?3C=38C@C?9M&A53@?A&
@385@@C=:&3=7&B;;7&23B5?9&D4C?54C3&345&34532&
HA545&A34>;=C23?C;=M&5X6C<3@5=D5&3=7&>6?63@&
45D;:=C?C;=&345&52E5DC3@@9&<3@638@5J
T5??54&45:6@3?;49&D;A545=D5&HC?AC=&"R(0&
45:C;=&HC@@&@537&?;&2C:=CBCD3=?&85=5BC?2&B;4&
E4;76D542&3=7&D;=26>542&3@CP5J
0;=26>542&HC@@&A3<5&3&AC:A54&75:455&C=&
D;=BC75=D5&?A3?&?A545&345&3EE4;E4C3?5&
23B5:63472
'5:6@3?;42&345&85??54&38@5&?;&B6@BC@&5=B;4D5>5=?&
>3=73?52J

23. 0.S0+%)$.S
'5:6@3?;42&HC@@&A3<5&85??54&3DD522&?;&
C=B;4>3?C;=&3=7&852?&?4375&E43D?CD52J
(2?38@C2A>5=?&;B&=5?H;4P2&HC@@&A5@E&B3DC@C?3?5&
C=B;4>3?C;=&B@;H&CB&45:6@3?;49&E4;8@5>2&34C25J
(=:3:C=:&HC?A&S3?C;=3@&3=7&$=?54=3?C;=3@&
$=762?49&"22;DC3?C;=2M&H5&HC@@&85&38@5&?;&C75=?CB9&
45:6@3?;49&B43>5H;4P2&?A3?&H;4P&H5@@J
"2&HC=5&?4375&DA3=:52M&C==;<3?C<5&3EE4;3DA52&
?A3?&E4;>;?5&D;;E543?C;=&HC@@&85&>;2?&
C>E;4?3=?J&