Australian spirits manufacturers have welcomed recommendations from the Inquiry Into Food and Beverage Manufacturing in Australia, which delivered several recommendations aimed at unlocking the industry’s $1 billion export potential. 

The bipartisan House Standing Committee on Industry, Science and Resources that led the inquiry, which was chaired by Labor MP Rob Mitchell, tabled its report on 20 February 2025.

It followed spirits industry representatives appeared at five committee hearings during 2024.

It recommended the establishment of a body called Spirits Australia to improve regulation, support innovation and realise export opportunities, acknowledging the success of the Wine Australia model.

The committee further recommended that the Federal Government provide increased Austrade assistance for small and medium enterprises looking to export Australian food and beverage products to Asia.

The committee acknowledged that 40% of the submissions it received came from the alcohol industry and raised concerns about the system of alcohol taxation in Australia.

Australian Distillers Association chief executive Paul McLeay said: “These recommendations demonstrate the committee recognises our potential to follow in the footsteps of Australian wine, which has become a $2.5 billion export industry by working in partnership with the Federal Government,” he said.

“We call on the Government to adopt our Spirits Export Accelerator Strategy as the first step towards fulfilling the objectives of the Spirits Australia body.”

Spirits & Cocktails Australia chief executive Greg Holland said: “We must remind the Government that Spirits Australia cannot be industry funded while we are paying the world’s third highest spirits tax. There simply isn’t the headroom for an additional levy,” he said.

“Wine Australia was fully Government funded in the beginning, and it remains partly Government funded today, as the committee itself acknowledges in its report.

“Spirits Australia must be funded initially by allocating a modest amount of the $6 billion in excise our industry pays to the Government every year.”

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