 The success of the Hunter Valley wine industry has been dominated by its proximity to Sydney with its settlement and plantings in the 19th century fuelled by the trade network that linked the valley to the city.The steady demand of consumers from Sydney continues to drive much of the Hunter Valley wine industry, including a factor in the economy by the tourism industry.The wine-making history of Hunter Valley begins with the European settlement of the Sydney and the New South Wales region of Australia in the late 18th century as a penal colony of the British Empire.