House debates
Tuesday, 3 February 2026
Bills
Excise Tariff Amendment (Draught Beer) Bill 2025, Customs Tariff Amendment (Draught Beer) Bill 2025; Second Reading
6:19 pm
Tom Venning (Grey, Liberal Party) Share this | Hansard source
Let me start by saying quite clearly that the Liberal Party supports the freeze on the beer excise indexation. Personally, I support reducing excises, especially in our pubs and clubs, and so we welcome this relief for every Australian who enjoys a cold one. I know I certainly do. The small country towns that I represent—I represent the most in this place—rely on three things: the primary school, the footy club and of course the pub. And the pubs are hurting. We're seeing closures every other week. Eventually, the community shrivels up, and that town becomes a ghost town. That story is all too familiar in regional South Australia.
In 2022, when this Labor government was elected, the Treasurer delivered his first budget. At that point in time, we already had the most expensive cigarettes in the world, and he hiked up the excise on tobacco yet again. And I can quote what I and my friends said. We said at the time that all he's going to do is create a black market. Well, indeed, that's exactly what happened. We're losing billions of dollars a year in excise, smoking rates are up, and illegal tobacco crime is up as well. I'm concerned that we're going to see the same with alcohol, particularly in my community in regional Australia.
Beer is a regional industry. I'm a farmer. We grow a lot of barley, particularly malting barley, which goes into the beer that we drink. We export barley. We export malt all over the world. South Australia's biggest export commodities are wheat, barley and lentils. They go to India, Indonesia and China. As I said before, it is our biggest export market. And, of course, South Australia has the famous Coopers. Beer is a regional industry, and it must be supported. But, while we are happy to take the discount, let's be honest about the service we are getting from this government and at Jim and Albo's pub. Just on that pub, I wonder what it should be called—maybe the 'Slug and Lettuce' or perhaps the 'Chook and Parrot'.
Anyway, I can't help but look at the Treasurer and see a man who has missed his calling. He's running the economy like a confused bartender. Bartender Jim is behind the tap. He waves at you with a big smile. He says: 'Mate, good news! This round is on me. I'm freezing the tax on that schooner.' And you think: 'Beauty! Finally a win.' But then you look at the change he hands you. It's less than 1c per pint. They don't even make a coin for that anymore. That is the extent of this so-called relief. It's enough to buy the Labor Party a headline, but it is not enough to buy a single peanut at the front bar. If this government were serious about alcohol excise reform, they would not be throwing us a 1c coin and asking for a round of applause. They would have the Treasury conducting a comprehensive review of the entire alcohol excise system. Instead, we get a patchwork fix. It doesn't help those buying a bottle of wine. It doesn't help those winemakers either. In fact, it doesn't help the wine industry at all.
From the Lower Eyre Peninsula to the Clare Valley, Grey, beautiful Grey, is home to some of Australia's finest wine-growing regions. And, while Bartender Jim is focused on beers, the wine industry needs help. Last year, I wrote to the Minister for Agriculture, Fisheries and Forestry about the crisis facing our wine industry. Small family owned operators are drowning under commercial pressure, regulatory failure and rising costs. Where is their support?
Take Flinders Run, for example, in my electorate. They paid $14,000 to Wine Australia for their US market entry program. It was a disaster. It was poorly communicated and offered zero value, raising serious questions around how grower levies are spent. Additionally, while I welcome the government's response to the Emerson review and the decision to progress a mandatory code of conduct for wine grape purchasers, growers have been clear with me that regulatory reform alone will not address the market conditions facing this industry. Indeed, the impending container deposit scheme will also add massive costs. They're trying to solve a problem that does not exist. Industry estimates suggest that this will impose an additional cost of up to $100 million on the sector. This measure risks becoming a cost grab that further undermines the viability of wine businesses, particularly in regional South Australia. Wine producers have been forgotten by this government. They need targeted assistance packages and genuine accountability. While Labor is making a song and dance about saving a fraction of a cent on a schooner, business is hurting.
But it isn't just business; let's look at the rest of the menu prices at this Labor pub, the Chook and Parrot. Inflation just recently hit 3.8 per cent. Insurance is up 38 per cent. Energy bills are up 38 per cent. Rent is up 22 per cent. Health costs are up 18 per cent. Education is up 17 per cent, and food is up 16 per cent. These aren't luxuries. These are the essentials. But bartender Jim says, 'Don't worry about the mortgage; just grab another pint.' The reality is that this treasurer is watering down the drinks while charging top-shelf prices. Spending is at its highest level, outside of a recession, in nearly 40 years. Government spending has blown out from 24 per cent to 27 per cent of GDP under Labor. That is an addiction. Bartender Jim is drinking on the job, and it's on the taxpayers' tab.
We support this bill because any relief is better than no relief. But let's not pretend that this is a solution. This is a mid-strength distraction. The Treasurer is shouting a round with one hand and pickpocketing the nation with the other.
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