The trend estimate for domestic sales of Australian produced wine was 36.7 million litres in July 2008, an increase of 1.3pc from June 2008, according to new figures from the Australian Bureau of Statistics.

But the ABS reports that the seasonally adjusted estimate for domestic sales of Australian produced wine was 36.7 million litres this month, a fall of 6.4pc on June 2008 and a rise of just 0.1pc on July last year.

For white table wine the trend estimate for domestic sales rose by 1pc to 17.6 million litres this month and was 2.3pc higher than the same time last year.

The seasonally adjusted estimate for domestic sales of Australian produced white wine was 17.9 million litres in July 2008, a decrease of 4.1pc on June 2008 and 3.4pc higher than July 2007.

But for red and rose table wine the ABS trend estimate rose by 1.4pc to 13.6 million litres this month and was 4.6pc higher than July 2007.

The seasonally adjusted estimate for domestic sales of Australian produced red and rosé wine was 13.3 million litres in July 2008, a decrease of 9.4pc on June 2008 and 3.8pc lower than July 2007.

On the export front, the volume of Australian-produced wine sold overseas increased by 22.4pc this month to 64.8 million litres.

The value of the exported wine in July 2008 was $218.1 million, the ABS says.

Australia exported 705.6 million litres, with a total value of $2.6 billion in the 12 months ending July 2008.

This was a fall of 11.9pc in volume and a decrease of 10.7pc in value over the corresponding period to July 2007.