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Buy any 6 Selected Peter Lehmann Wines and get a free set of Steak Knives worth $280! Shop NowWestern Australian wine refers to wine produced in Australia's largest state, Western Australia. Although the state extends across the western third of the continent, its wine regions are almost entirely situated in the cooler climate of its south-western tip. Western Australia produces less than 5% of the country's wine output, but in quality terms it is very much near the top!