Australia bans fine wine exports to Russia

The Australian government has announced a ban on the export of luxury goods to Russia including fine wine and spirits. The ban will prohibit supplying, selling, or transferring wines, sparkling wines and spirits.

This sanction includes both direct and indirect exports through third party countries to target Russian President Vladimir Putin and his wealthy Russian enablers and not the ordinary Russian consumer.

While Russia accounts for only a small percent of Australia's wine exports (0.1%), Australian exports have been growing and were up 12% in value to A$8 million after a sharp rise in Chinese tariffs last year forced producers to look at new markets.

Marise Payne, the Australian Minister for Foreign Affairs said of the santcions: “They are being undertaken in coordination with key partners to restrict the Russian elite’s access to such goods. The European Union and the United States already have bans in effect. Japan’s ban will enter into force today, and the United Kingdom’s ban is due to follow soon.”

The decision echoes similar restrictions on luxury items imposed by European countries and the United States. European officials have suggested further sanctions on energy exports, coal, and oil if Putin continues with the war in Ukraine.

Payne added: “The Australian Government is deeply committed to imposing the highest costs on Russia for President Putin’s illegal and unprovoked war.

“This ban follows our targeted financial sanctions on President Putin, members of his government, Russian oligarchs, propagandists, and disinformation operatives, as well as senior Russian military leaders. It also follows our ban on the export of alumina and bauxite to Russia.”

Additional banned items include handbags, furs, truffles, jewellery, and luxury clothing worth more than A$500.

Payne travelled to Brussels on Tuesday for a meeting with NATO foreign ministers to determine the extent of war crimes in the illegal invasion of Ukraine.

The foreign minister is expected to coordinate Australia into further joint economic action against Russia.

“The Australian government reiterates our unwavering support for Ukraine’s sovereignty and territorial integrity, and for the people of Ukraine,” said Payne.