Naked Wines helps Byron & Harold after Chinese tariff hit

WA based Byron & Harold lost half its business overnight when China slapped hefty tariffs on Australian wines but it has survived the blow after an online distributor stepped in to ease the pain. With Australian winemakers scrambling to find an alternative home for about $2 billion worth of wine impacted by the Chinese tariffs, Byron & Harold turned to online distributor Naked Wines’ $5 million rescue fund called Stop the Squeeze. Ralph Dunning, co-owner of Byron & Harold, said Naked Wines bought a large portion of its wines that were destined for China. His business partner, Paul Byron, pictured with Mr Dunning, said Naked would sell the wines to its “angel” club members. Byron & Harold, which has vineyards in Margaret River, Frankland and Wandering, had 76,600 bottles of premium red wine affected when China introduced tariffs of up to 212 per cent for Australian wine imports last November. Although Byron & Harold already has a good customer base across Australia, Mr Byron hoped extra exposure in this market would raise the brand’s profile and increase future sales opportunities. Exclusively supporting independent winemakers, Naked gives them a chance to reach Australian palates without losing most of their margins via the supermarket-owned bottle shops. “Having Naked Wines step in was a huge relief for our business, and provided a lot of confidence for the future,” Mr Byron said. WA winery, Calneggia Family Vineyards, also successfully applied to Naked’s Stop the Squeeze fund after orders for 36,000 bottles of its shiraz, rebranded Bloody Good Red, were cancelled because of the tariffs.