With a $1 billion export opportunity, Spirits & Cocktails Australia chief executive Greg Holland is calling for further government support for the Australian spirits industry.
In its latest federal budget, the Australian government has taken steps to diversify exports globally to strengthen Australian trade.
Holland emphasised the potential improvements in structural reform within the budget that could help grow the spirits industry, which currently contributes $15.5 billion to the economy.
“While we welcomed the Government’s positivity about the domestic economy, we cannot overlook its prognosis of a volatile and unpredictable global economy that guarantees ongoing trade disruption,” Holland said.
“Against this landscape, growing Australian spirits exports can help the Treasurer achieve his stated ambition of ‘a more productive, dynamic and resilient economy’.”
Australian Distillers Association chief executive Paul McLeay has welcomed the $50,000 increase to the alcohol manufacturers’ remission threshold, which allows distillers more financial flexibility to reinvest in their businesses.
“The uplift in the Alcohol Manufacturers Remission will go most of the way to restoring the value of the scheme in real terms, following rampant inflation since its inception,” said Mcleay.
“However, more needs to be done to provide the foundations to support sustainable long-term growth and unleash the industry’s $1 billion export potential.
“This must start with adopting the Spirits Export Accelerator Strategy (SEAS) proposed in the industry’s Pre-Budget Submission,” he said.
The latest budget also reinforces the government’s long-term commitment to net-zero manufacturing opportunities.