It has been brought to our attention certain buyers new to the region have been approaching growers to take their fruit.
They are offering terms where they will pay for the grapes in fifteen months. They are offering the grower $1,000 per tonne for Shiraz if the fruit sells for $3- a litre as finished wine. For every 10 cents below $3 dollars they will deduct $50 off of the price of the fruit.
This means if the finished wine sells for $2 per litre the grower will be paid $500. If the fruit sells for $1 per litre the grower will not receive any payment.
Growers are advised to take extreme care with these deals. All of the risk is with the grapegrower. Seek legal advise before entering into any agreements of this nature.
Warn your neighbours to of the same if they are offered this type of agreement.