Nicolette Boele (Bradfield, Independent) Share this | Hansard source

I move the amendment as circulated in my name:

(1) Schedule 1, item 1, page 3 (after line 23), after section 6L, insert:

6M Temporary freeze in indexation for craft beer

(1) Despite any other provision of this Act, subsection 6A(1) applies, in relation to craft beer and each CPI indexed non-draught beer rate, as if the indexation factor were 1 for each of the following indexation days:

(a) 1 August 2025;

(b) 1 February 2026;

(c) 1 August 2026;

(d) 1 February 2027.

Note 1: This means the rates as they are on 31 July 2025 will be unchanged for the next 2 years.

Note 2: When indexation resumes in August 2027, the indexation factor for 1 August 2027 will be applied against these unchanged rates (see subsection 6A(1)).

(2) In this section:

CPI indexed non-draught beer rate means a rate of duty set out in subitem 1.1, 1.5 or 1.10 of the Schedule.

craft beer means beer brewed by a member of the Independent Brewers Association or a similar not-for-profit organisation representing independent, local brewers with appropriate governance of member eligibility and conduct.

indexation day has the same meaning as in section 6A.

Everyone knows that households and small businesses around the country have been doing it tough. The cost of living has been hurting Australians for some time now. To address that, one of the Labor Party's election promises was to pause indexation on draught beer excise and excise-equivalent customs duty rates for two years from August 2025. The idea, of course, is to ensure that the price of a cold one down at the pub stays the same for a little while longer. The legislation, the Excise Tariff Amendment (Draught Beer) Bill 2025, implements that promise. The Labor Party has a clear mandate for it, so I will be supporting the legislation.

However, in my view, the underlying election promise was flawed. By pausing the excise on draught beer only, the policy mostly benefits large, multinational companies and does nothing to assist the small independent craft brewers that Australians have come to love so much. Excise on those craft beers will not be paused under the legislation, which means the price of them will keep rising, even as the excise for draught beer stays the same. My amendment addresses that by extending the two-year excise pause to independent craft beer. If government revenue—taxpayers' dollars—is going to be spent to alleviate the cost of doing business, I want to make sure that it's helping local businesses.

Take Buckle Cafe and Distillery in Artarmon in my electorate of Bradfield as an example. After this legislation was introduced, I got in touch with Ben, the owner, to see whether he thought extending the excise pause would help the distillery and other similar local craft breweries. Ben said:

It's getting harder and harder.

I've been in the industry 15 years now and the day to day has certainly not gotten easier.

The freeze on draught beer excise was a great vote winner from Labor. Unfortunately, it sounds great;

But it actually disproportionately favours the big multinational brewers because they dominate and control a lot of the taps in the market.

He goes on to say:

It's about a fair go.

The Independent Brewers Association, whose members are overwhelmingly small to medium-sized business in big cities and small communities throughout Australia, agree with Ben from Buckle. The IBA points out that independent brewers employ locals, give back to their communities, strengthen Australia's manufacturing capability, provide tourism destinations and work directly with the agricultural sector. Critically, their profits stay in Australia.

So I repeat: if the government is going to be spending taxpayer money pausing an excise on beer, surely independent Australian businesses should be the priority. Spending that taxpayer money for the benefit of multinational companies just doesn't pass the pub test. Let's see if the government is listening. I commend the amendment to the House.

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