News

On 1 July, the excise remission scheme increases by $50,000 for every brewery in the country.

With 619 independent breweries in the country this represents up to a $30,950,000 injection of real money into the supply chain. Breweries can use the additional “savings” to pay suppliers, expand production, increase marketing, manage working capital or just keep cost-of-goods in check.

This benefit is the third increase delivered to the excise remission scheme since the IBA was founded in 2017.

Most notably, this increase was the direct result of the IBA’ advocacy with two full-time staff, and a less than $5000 advocacy budget. We don’t often pat ourselves on the back but it’s a pretty sizeable achievement.

But, the IBA’s full-time staff are only one piece of the advocacy equation, with this huge achievement only possible thanks to the work of IBA volunteers and board members, along with members and stakeholders who willingly jumped into action when asked.

At a time when the industry is asking what more can be done to improve the economic conditions for businesses, the answer is what it has always been – further collective action. Not every brewery agrees on everything but the IBA as an organisation has trusted by State and Federal governments and stakeholders due to our strong governance and proven results.

Around 40% of Australia’s independent breweries have elected to not be a member of the IBA and our collective advocacy efforts- but they continue to benefit directly from our work. If every one of those breweries contributed just the minimum $500 membership fee – imagine what outcomes might be possible? A well-funded and resourced IBA would be even stronger on all the issues that directly impact the viability of independent breweries – CDS, Licensing and regulation, consumer marketing, tourism initiatives, market access reform and member resources.

There are many breweries that say “we don’t pay any excise so we don’t care, and why should we be a member.” The reality is that if you sit under the excise remission cap – that is only because the IBA advocated for the establishment of the excise remission scheme at all. And without that scheme you may have never been able to set up your brewery at all – and you are already benefiting substantially from the work funded by independent breweries.

So you if you have eagerly anticipated a little wiggle room in your COGS thanks to the additional $50,000 we are really thrilled that it will make a meaningful impact for you, and consider how you can invest that into the collective future for independent beer.