Anthony Albaneses electorate has the highest concentration of craft breweries of them all – but he has been accused of turning his back on a once-booming industry that is facing last drinks.
The Prime Minister found love for a second time with his now-fiance, Jodie Haydon, at Young Henrys, one of 18 microbreweries in Sydneys inner west.
But the pubs founder Richard Adamson and the national body representing 600-plus craft breweries around Australia say Mr Albanese has abandoned the industry, which contributes $1.93billion to the national economy each year and employs about 10,000 people.
When he was in opposition, he was supportive and helped get the remissions scheme (for excisable alcohol) through (in 2021), Mr Adamson, who is also president of the Inner West Breweries Association, said.
But I guess hes got bigger fish to fry at the moment (than help us).
Independent Brewers Association CEO Kylie Lethbridge said Mr Albanese was refusing to listen to the industrys dire fears, particularly around the need for relief on the exorbitant beer tax, which accounts for about a third of beer sales (the third highest in the world after Norway and Finland).
Asked if it was time to call on the Prime Minister to personally intervene to help ease pressure on the embattled industry, she said: We have – several times, as recently as last Friday.
He continues to ignore our plea without even the courtesy of a response, Ms Lethbridge told Daily Mail Australia.
Anthony Albanese has the highest concentration of craft breweries of any federal electorate – but hes turned his back on a once-booming industry that is facing last drinks
The Prime Minister found love for a second time with his now-fiance, Jodie Haydon , at Young Henrys, one of 18 microbreweries in Sydneys inner west
It flies in the face of a promise by the Member for Grayndler while in Opposition back in June 2017 to back his local craft breweries, which include Hawkes Brewing, co-founded by his late mentor and ex-Prime Minister Bob Hawke.
Among the concerns of the brewers is the fact that Commonwealth excise rates are higher for small kegs than larger kegs, which puts the brewers at a competitive disadvantage in relation to big brewers, Mr Albanese said.
I am disappointed this anomaly was not addressed in the 2017 Budget but will continue to support the industry in its push for sensible reform, as well as regulatory change at the state and local government levels.
Ms Lethbridge warned the industry may not exist in 12 months without urgent government support as production costs rise by as much as 40 per cent, causing two-dozen microbreweries to fold nationally in the past year.
We will absolutely see more independent craft breweries close their doors, go through the small business restructuring program or tip in to voluntary administration if nothing changes, she said.
Unless consumers have some relief in the cost of living, our summer, when the warmer weather usually generates increased sales, will not save others from closing their doors leading to further job losses.
And the quintessential pint at the pub will still be out of reach for many Australians.
The average price of a pint of beer in Sydney now tops $15, making a night at the pub with mates beyond many.
Mr Adamson said it was now a matter of us hanging on till the economy really improves.
Former PM and Labor hero Bob Hawke at the craft brewery named after him in Sydney
Jodie Haydon and PM Anthony Albanese at the footy in Canberra in 2022
Thank god there wasnt another rate rise in September, he said.
Its been a tough time for a lot of people.
Like other businesses, we had government support (during the COVID-19 pandemic) which kept us afloat at the time.
But, coming out of it without the assistance, the economic changes and some of the breweries deferring excise during that time, thinking that we they reopened, the whole thing would come back to life.
The cupboards bare at the government level and the debt we deferred really needs to be paid now, but many breweries dont have the capacity to do so.
He said there wasnt a level playing field between the independent brewers and the two big boys – Lion and CUB – who combined own 85 per cent of the market and the majority of beer taps in Australias pubs.
Wed made submissions to government inquiries about this. The creeping red tape keeps coming in, whether its labelling or other compliance measures, he said.
The barriers weve got to run a small, family-owned business are only getting worse.
Both Lion, which produces XXXX, Tooheys, Stone & Wood, and CUB, makers of popular beers Great Northern, Carlton Draught and VB, are owned by Japanese companies.
Many beer drinkers would think these iconic brands would still be Australian-owned and that they hard-earned would be staying in Australia, Mr Adamson said.