New Zealand & Australia: New Zealand should look to follow Australia’s example of freezing draught beer excises – Brewers Association
The Brewers Association of New Zealand, the Brewers Guild of New Zealand and Hospitality New Zealand say the latest move by Australia to freeze draught beer excise should prompt a serious look at how New Zealand treats its own brewers and hospitality businesses, The Shout Magazine reported on February 11.
Across the Tasman, the Anthony Albanese Government last week passed legislation recognising the intense pressure facing pubs and acted to stop further tax increases landing on beer poured in venues from kegs.
In New Zealand, excise tax continues to rise automatically every year.
Brewers Association Executive Director Dylan Firth says the gap between the two countries is becoming impossible to ignore.
“Australia already has a lower excise outcome for beer sold on tap and a rebate for brewers of up to A$400,000. Now they’ve recognised the pressure on pubs and decided the moment calls for a pause in increases.
“Meanwhile in New Zealand, excise keeps automatically rising regardless of what’s happening in the market.
“If the Government is collecting roughly the same revenue while New Zealanders are drinking less beer, that tells you tax is taking up a growing share of the price of every glass poured,” he says.
Over the past five years, beer excise in New Zealand has increased by more than 20%. During that same period, beer consumption has fallen to its lowest level on record.
Yet the Government’s take from beer excise remains about the same as it was five years ago.
In 2024/25, the brewing sector contributed around NZ$470 million of the roughly NZ$1.29 billion collected in alcohol excise.
Firth says that equation should concern anyone who cares about the future competitiveness of local brewing and hospitality.
“The government is effectively taking more of the slice of the cost of production and sale while brewers and venues struggle to keep up with the cost of goods and provide a fair price to consumers,” he says.
“What we want is recognition that other countries we compare ourselves with are moving to support hospitality, not load extra cost onto it. New Zealand decision-makers should at least be aware of the growing disparity.”
Hospitality New Zealand Chief Executive Kristy Phillips says venues sit at the heart of their communities.
“Hospitality venues are vital to local communities and support connection and a sense of place,” she says.”Supporting venues through keg tax relief helps the industry to operate sustainably, and would be a welcome respite against the backdrop of significant costs increase in recent years.”
Mel Kees, Executive Director of the Brewers Guild, says kegs are particularly critical for small and independent breweries.
“For many of our members, keg sales are the lifeblood of the business. They’re selling fresh beer straight from their brewery to local pubs and taprooms, often just down the road.
“When tax keeps rising, it hits those community connections first. Supporting keg beer means supporting local manufacturers, local jobs and the venues that bring people together.”
The three organisations say they will continue working together to make the case for a fairer approach to beer served in pubs and clubs, and for policies that keep local venues and local brewing viable in communities across the country.
11 February, 2026