Australia’s taste for craft beer continues to grow but smaller brewers face a huge tax disadvantage

By Andre Sammartino, University of Melbourne

Australia is awash with new independent breweries. Craft beer producers have grown from less than 100 in 2005 to upwards of 400 today. On average, a new physical brewery opens almost weekly. This is surprising given the significant tax disadvantages these small players face due to unfair excises and rebates.

Craft brewers in Australia can be traced back to the 1980s. While the Australian beer market consolidated to leave two giants — CUB and Lion Nathan — entrepreneurs emerged at the industry’s fringe.