Boost for Australia's indie beer makers

It’s estimated that the country’s 600+ independent brewers contribute nearly $2-billion in economic output for Australia. Yet, 42 cents in each revenue dollar was going on taxes – one of the highest beer tax rates in the world was holding back the industry’s true potential.

The Independent Brewers Association (IBA) set out to get a break for Australia’s indi brewers – to level the playing field with the wine sector, and to unlock investment and growth potential in the brewing industry as the country heads out of COVID.

H/Advisors APA worked with the IBA on an integrated government and media relations campaign which ultimately helped secure success in the Federal Government’s 2021-2022 Budget.

The government announced the alignment of benefit available for brewers under the Excise Refund Scheme with the Wine Equalisation Tax Producer Rebate. For local brewers, this commitment extended the current excise rebate cap of $100,000 per year to $350,000 per year. These changes will apply from 1 July 2021.

The IBA is forecasting investment of more than $500m in new manufacturing capability in Australia as a result of the Budget concessions, as well as the creation of an additional 6,300 direct and 23,000 supporting jobs over the next five years. Importantly, these jobs will spread into many regional and rural areas across the country, with two-thirds of indie breweries located outside the cities.

In a statement welcoming the budget, the IBA said that “the Australian beer industry will do in the next 20 years what the wine industry did for Australia in the 1980s, and we congratulate the Morrison Government for its vision”.

“The IBA is extremely grateful for the dedication and commitment shown by H/Advisors APA and its team. Without their connections, influence and high level of professionalism we do not know that we would be enjoying this success now. If you are looking for an organisation to aid your cause, I could not speak more highly of Paula and the team at H/Advisors APA,” said Kylie Lethbridge, General Manager of the Independent Brewers Association.