Hunter wine growers will not be able to claim federal bushfire recovery funds despite having to write off millions of dollars in smoke tainted grapes last summer.
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The state government, which administers the money, said Commonwealth Government guidelines excluded smoke taint claims.
"After the fires and drought we are now told we are not going to get support; it's soul destroying," Andrew Margan, of Margan Wines said.
In addition, the COVID-19 pandemic had crippled the vineyards' revenue streams.
"We still have the same costs to maintain the vineyards but our main source of income has dried up Mr Margan said.
Hunter MP Joel Fitzgibbon, who petitioned the state government on behalf of Hunter wine growers, said many of the businesses were struggling to survive.
"Despite my best efforts, the government failed to address the smoke taint issue and like many employers struggling with the JobKeeper cash-flow issue, many growers will struggle with both a revenue collapse and the cost of pruning and the like."
In response to Mr Fitzgibbon, NSW Agriculture Minister Adam Marshall said growers may be able to claim for the cost salvaging and disposing of smoke tainted grapes.
He said the state government was committed to supporting the industry.
This included providing $250,000 for wine growers to access a number of smoke taint tests.
In addition, the National Wine and Grape Industry Centre, an alliance between Charles Sturt University and NSW Primary Industries, was currently undertaking a small-scale winemaking project to allow winemakers to better gauge the potential risk of smoke taint to wine development.
"Allowing sensory assessments to be conducted on those samples will give a greater understanding of the level of smoke taint on the individual samples. This allows winemakers to make more informed decisions about their current vintage," Mr Marshall said.
"I understand that despite these measures, the winemaking industry will require my full support to weather the fallout from these disasters. To that end I continue to advocate strongly for greater assistance for the sector."
Rather than destroying their smoke affected vintages, some Hunter wine growers sold their grapes to a Sydney distillery which is experimenting with the production of spirits, including a smoky brandy.
It will be at least two years before the smoky brandy hits the shelves.
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Matthew Kelly
Matthew Kelly has worked as a journalist for more than 25 years. He has been working as a general reporter at the Newcastle Herald since 2018. In recent years he has reported on subjects including environment, energy, water security, manufacturing and higher education. He has previously covered issues including the health and environmental impacts of uncovered coal wagons in the Hunter Valley, the pollution of legacy of former industrial sites and freedom of information issues.
Matthew Kelly has worked as a journalist for more than 25 years. He has been working as a general reporter at the Newcastle Herald since 2018. In recent years he has reported on subjects including environment, energy, water security, manufacturing and higher education. He has previously covered issues including the health and environmental impacts of uncovered coal wagons in the Hunter Valley, the pollution of legacy of former industrial sites and freedom of information issues.
