Former JAB Holding CEO Olivier Goudet has become a minority shareholder of Treasury Wine Estates (TWE). According to the filing, Goudet, alongside his investment arm Platin, has taken just over a 5% stake in the Australian wine major. Between 2012 and 2023, Goudet was managing partner and CEO of investment group JAB Holding Company, the parent of Keurig Dr Pepper, JDE Peet's and Pret A Manger. Up until last year, he was also chairman at JDE Peet's. Goudet remains on the board of the coffee group as a n ...

Core Viewpoint - The decline of Karadoc Winery symbolizes the challenges faced by the Australian wine industry, which has been affected by changing consumer preferences, reduced alcohol consumption, and global wine oversupply [2][3][4]. Industry Overview - The Sunraysia region has historically been a significant agricultural area in Australia, producing a large quantity of grapes that were widely consumed globally [3]. - Karadoc Winery, once one of Australia's largest wineries, closed its doors after 50 years due to shifts in consumer tastes and a decrease in wine consumption [3][4]. - At its peak, Karadoc employed 400 people and produced millions of liters of wine, with brands like Lindeman's Bin 65 being household names [7]. Economic Factors - The Australian wine industry is facing a supply-demand imbalance, with excessive production and a declining number of consumers [7][9]. - The price of grapes has significantly dropped, with red grapes selling for as low as $150 per ton last year, compared to $1200-$2000 two decades ago [12]. - The global competition has intensified, with countries like South Africa and South America replicating Australia's high-yield, quality wine production at lower labor costs [9]. Consumer Trends - The proportion of wine consumption in the global beverage market has decreased from 33% in the 1960s to less than 15% today, with younger generations drinking less wine [9]. - The pandemic and tariffs imposed by China have further exacerbated the challenges faced by the industry [10]. Future Prospects - Some winemakers, like the Chalmers sisters, are adapting by focusing on diverse grape varieties and quality over quantity, targeting the mid-range market with wines priced between $15 and $25 [12][14]. - There is a push for Australian wines to embrace regional varieties that align with local cuisines, moving away from the standardized blends of the past [14][16]. - Despite the closure of Karadoc, the site has been repurposed as a logistics center, with the potential for future winemaking if opportunities arise [16].