Treasury Wine Estates (TWE) has opened a $15 million in-house facility in South Australia’s Barossa Valley, focused on producing low and no-alcohol wines.
Over two years in development, the facility uses dealcoholisation technology and patent pending processes that preserve the wine’s aroma and flavour.
“This world-leading facility cements our position as a global pioneer in winemaking. This state-of-the-art technology and proprietary process for de-alcoholisation is our latest step in building a hub of innovation, technology and sustainability in the Barossa Valley, where we’ve been crafting wine to delight consumers for more than a century,” said Kerrin Petty, Chief Supply and Sustainability Officer of TWE.
The facility is creating a new wave of low and no-alcohol wines for established brands in TWE’s global portfolio such as Squealing Pig and Pepperjack, complementing existing options from Matua, 19 Crimes, Lindeman’s, and Wolf Blass.
The portfolio is expanding with the introduction of Sorbet, a new brand that mixes traditional varietals like Prosecco, Rosé, Sauvignon Blanc, and Shiraz with fruit flavours including passionfruit, mango, and lemon. Sorbet has a lower alcohol by volume (ABV) of 8 per cent, and will be available in October 2025, in collaboration with Endeavour Group.
“The new Sorbet range is a high-quality, diversified selection of lower-alcohol wine that responds to consumers wanting refreshment in their drink. For consumers, the artisanal nature of wine needs to be reflected in lower-alcohol alternatives as much as full-strength versions – and that comes through with a fresh take on classic varietals in Sorbet,” said Leigh Firkin, Head of Commercial Wine for Endeavour Group.
Research by global drinks data and analytics provider IWSR projects a 5 per cent compound annual growth rate in the no and low-alcohol wine market from 2024 to 2028. While 50 per cent of wine consumers are cutting back on alcohol, taste remains the most significant obstacle to choosing lower-alcohol wine.
TWE started making low and no-alcohol wines early with its Seppelt low-alcohol wine range in 1993. Toby Barlow, Group Winemaker at TWE, noted that in-house dealcoholisation will enhance wine quality, broaden consumer choice, and ensure the wines reflect the character of the grape varietals.
“The complex interaction of aromas and flavours that reflect people and place is part of the joy of wine. Blending our winemaking credentials with customised technology helps us create great-tasting wine that has less alcohol, or none at all. We’re creating products and consumer experiences that we know wine lovers all over the world are looking for,” said Barlow.
Sarah Parkes, General Manager of Sales and Marketing for TWE’s global premium division, said that the expanded no and low-alcohol range responded to the category’s increasing popularity.
“Flavour has historically been a barrier for wine drinkers exploring a no or low alcohol alternative – this technology has helped us solve the flavour puzzle, and it’s had outstanding feedback from consumers so far,” said Parkes.
With award-winning low and no alcohol wines already under our belt, we’re looking forward to sharing this next generation of great-tasting wines with consumers from next month.”