The release of a strategic review of the grape and wine sector provides a framework for the "profitable growth" of New Zealand wine, New Zealand Winegrowers chairman Stuart Smith says.
PricewaterhouseCoopers conducted the review for New Zealand Winegrowers (NZW) in the past three months.
It was a comprehensive examination of the industry, how it had changed in recent years, the opportunities and challenges facing it, and the future role of the organisation, and members would see "significant changes" as a result, Mr Smith said.
"This is not a review that is going to sit on the shelf. We commissioned [it] with the aim of improving the services NZW offers to the industry, and the board has already moved to implement the recommendations."
The review recommended 10 new or extended activities and the board had agreed to all those recommendations, including the development of a vineyard registry, increasing resourcing for social responsibility initiatives, reprioritising marketing expenditure, improving geographical indication protection and focusing research on four key areas.
It also recommended NZW amend its governance structure to support its strategic priorities.
The board has agreed to implement all the short-term governance changes recommended including reducing its size, consolidating its committee structure, developing succession plans for the executive team, improving its administration and introducing metrics.
The board has started a process to consult members on the remaining governance changes recommended, including amalgamating NZW's two constituent bodies, reducing the size of the board further and adding independent directors, and rationalising the regional levy spend.
Wine industry members were being briefed on the review outcomes in a series of nine workshops throughout the country this week, attended by Mr Smith, deputy chairman Steve Green, chief executive Philip Gregan and representatives from PWC.
It is nearly 10 years since the formation of NZW as the unified industry body representing both growers and wineries.
The domestic and international environments for the New Zealand wine industry had changed dramatically since 2002, the review said.
Total vineyard area had increased by 144% and there had been a marked regional shift to Marlborough that now accounted for 75% of New Zealand production, up from 47%.
There were now almost 1100 growers, nearly double the number in 2002, and almost 700 wineries.
There had been a sharp fall in financial returns since 2008, and the returns for wineries and growers were now often too low to retain capital or attract new funds.
The outlook for NZ Wine Inc was positive, but New Zealand must guard against continuing strategic threats and operating weaknesses, the review said.