The Land that makes up the Henschke winery was first purchased in 1861 by Johann Christian Henschke, a settler from Silesia (Germany). He planted an orchard and a small vineyard for family use only starting to commercially produce wine in 1868. In 1891 his son, Paul Gotthard Henschke bought the land now known as 'The Hill of Grace Vineyard'.The first vintage was produced in 1958. In 1979 Stephen and Prue Henschke took over the running of the winery after Stephen's father Cyril died. Son Johann Stephen, will be taking the helm at some point in the future after completing his studies.
The Eden Valley is situated higher than much of the Barossa at 400 metres and therefore has a cooler climate. Some of the vines that go into producing this wine are some of the oldest in the world, originally planted in the 1860s using pre-phylloxera vines imported from Europe. This part of the vineyard is known as the Grandfathers.
The Hill of Grace Shiraz is matured in new French (65%) and American (35%) hogsheads for 21 months before blending and bottling. Worms are used to sustain the soil, and the winery is aiming to be organically certified. This wine is generally thought to be Australia's most sought after wine after Penfolds Grange.