The Hon. Mark Vaile, MP
The Hon. Mark Vaile, MP
FORMER MINISTER FOR TRADE

Media release

Australian Minister for Trade, Mark Vaile
Wednesday, September 6, 2000

Japan partners South Aust to win A$7 million sake contract

Trade Minister Mark Vaile, today applauded Suzuran International Pty Ltd (SI) - a South Australian-based sake producer - for commencing exports of sake to Japan worth approximately A$7 million over the next three years.

"Australia is recognised as a leading producer of high quality wines and our foray into the sake industry is a natural transition," said Minister Vaile.

"It is very encouraging to see the Japanese-based sake producers use South Australian brewing expertise and home grown rice crops in the production of such a traditional beverage," he said.

Speaking at the official Tokyo launch of the SI project on Monday, the company's Managing Director, Mr Shuuji Kuji, acknowledged that South Australia provided a unique environment to produce premium grade sake for the Japanese market.

"We chose Adelaide as our production headquarters because of its world-wide recognition for wine production, Australia's affordable rice prices, leading-edge alcohol and brewing skills and the ideal climate," Mr Kuji said.

Austrade's Sendai office, with the support of Invest Australia, Tokyo, and Invest South Australia, was instrumental in bringing the project to Australia and ensured its successful completion.

In March 1999 Austrade's Senior Trade Commissioner, Sendai, David Lawson joined Shuuji Kuji and a delegation of sake producers, who were seeking to invest in a sake-brewing venture, through SA, Vic and NSW. After the initial visit Mr Kuji returned to establish a sake testing plant based at G. Patritti & Co. Pty Ltd winery in Adelaide.

"The initial Japanese investment in the test plant was A$1 million, which will increase to approximately A$4.5 million when the main plant is constructed early next year," said Mr Lawson.

Mr Lawson added sake production in Japan was extremely expensive due to high rice costs and profits being eroded causing a drastic drop in the number of brewers still in business.

"The next time a restaurant patron in Japan orders sake, who knows, they may end up drinking an Australian made product," said Minister Vaile.


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