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Australia alcohol industry faces crisis amid shifting consumer habits
The Australian alcohol industry is facing significant challenges as changing lifestyles and high costs impact both beer and wine sectors. Alcohol consumption has declined by 25 per cent from its mid-1970s peak, contributing to a wave of business closures.
Data from the Independent Brewers Association indicates that at least 47 breweries have collapsed or closed between January 2023 and mid-2025, though some industry reports suggest the actual number may be as high as 80 over the last three years. High excise taxes, which are among the highest globally, are cited as a major factor pricing consumers out of the market. Regional operators, such as those on the NSW South Coast, are attempting to maintain operations by targeting enthusiasts willing to pay a premium for local quality.
The wine industry is also experiencing a downturn, with grape growers describing current sales declines as a generational crisis. In response, the South Australian government has implemented a $109 million support package to assist the wine sector.
Entities
Australia · Australian Hotels Association · Boag's · Independent Brewers Association · Malinauskas government · Nigel Ayling · South Australia
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 4 SOURCES] Approximately 80 craft brewers have gone out of business in the last three years. www.gloucesteradvocate.com.au · www.tenterfieldstar.com.au · www.bendigoadvertiser.com.au · www.mandurahmail.com.au
- [● 4 SOURCES] Boag's has shut down production in Northern Tasmania and will import products from the mainland. www.gloucesteradvocate.com.au · www.tenterfieldstar.com.au · www.bendigoadvertiser.com.au · www.mandurahmail.com.au
- [● 4 SOURCES] The Malinauskas government in South Australia has provided a $109 million support package for the wine industry. www.gloucesteradvocate.com.au · www.tenterfieldstar.com.au · www.bendigoadvertiser.com.au · www.mandurahmail.com.au