Each animal gets about a litre of a fruity cabernet shiraz merlot mixed in with its feed each day for 60 days, company director John McLeod told the Sydney Morning Herald.
The idea was proposed by Japanese celebrity chef Akio Yamamoto, who took to the wines from the Margaret River area in Australia during a visit, Mr McLeod said.
Mr Yamamoto suggested to one company, Margaret River Premium Meat Exports, that they followed the example of the Japanese producers of famed Wagyu beef, who pamper their cattle with beer, massages and music.
Mr McLeod said the litre a day was not enough to make the animals tipsy, but appeared to increase their appetite and calm them down.
"It's quite a good drop actually, and they tend to eat more than they should so I guess they like the taste.
"The antioxidant properties that we associate with red wine appear to have an effect on the meat's colour and shelf life, and from the tests we carried out the meat also tastes sweeter," Mr McLeod said.
The wine-fed cattle are raised exclusively for Yamamoto, with about 60 readied for production at a time.