Pernod Ricard, owner of Jacob’s Creek wine, said an era of cheap Australian “plonk” could shortly come to an end as drought damages the country’s grape harvests, heralding an end to the country’s wine glut.

Pierre Pringuet, Pernod Ricard’s managing director, said: “This question of oversupply of wine [in Australia] is behind us – we might face a situation of shortage.”