Grenache is probably the most widely planted variety of red wine grape in the world. It ripens late, so needs hot, dry conditions such as those found in Australia, Spain, and in the south of France. It is generally spicy, berry-flavored and soft on the palate with a relatively high alcohol content, but it needs careful control of yields for best results. It tends to lack acid, tannin, and color, and is usually blended with other varieties such as Shiraz.
Grenache is the dominant variety in most Southern Rhône wines, especially in Châteauneuf-du-Pape where it is typically over 80% of the blend. In Australia it is typically blended with Shiraz, or in "GSM" blends with both Shiraz and Mataro.
Grenache is also used to make rosé wines in France and Spain, notably those of the Tavel district in the Côtes du Rhône. And the high sugar levels of Grenache have led to extensive use in fortified wines and it is the basis of most Australian “port.”
A clone of Grenache arrived in Australia with James Busby in 1832. More significant was the introduction into South Australia of new cuttings from the South of France, by Dr Christopher Rawson Penfold in 1844. Plantings in South Australia boomed, particularly in McLaren Vale, the Barossa Valley and Clare Valley. Traditionally much of the production went into a fortified wine sold as 'port', but recently interest has turned to unfortified wines either as a single varietal or in blends. These wines are often the product of old vines grown in excellent conditions, and can be very successful. (Adapted from Wikipedia)
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