Yesterday afternoon, the Australian Tax Office provided advice to members of the Alcohol Stakeholder Group regarding changes to alcohol excise from 1 August (see below).

New rates published on the ATO website confirm that spirits and RTD excise rates will increase by 2.2% from 1 August 2023 to:

The Shout has recently covered the story and published our media release.

RESOURCE HANDBOOK FOR DISTILLERS

A detailed resource handbook can be found below, to equip you with tools to enable us to maintain pressure on the government to consider our request for a freeze.Please click the following links for the various materials.

RESOURCES HANDBOOK 
(pdf that includes all material and graphics)

LETTER TO YOUR MP TEMPLATE
(word doc)

DRINKS COMPARISON GRAPHIC

INTERNATIONAL COMPARISON GRAPHIC

The federal government today confirmed a harsh new reality for spirits producers across the country, with spirits excise set to top $100.05 per litre of alcohol from 1 August.

Spirits and Cocktails Australia chief executive, Greg Holland, slammed the increase.

“It’s outrageous to think that Australia’s spirits tax – which is already the third highest in the world – will exceed $100 per litre of alcohol next month,” he said.

“A gin and tonic now has more than double the tax of a Great Northern.”

“When will enough be enough?”

Australian Distillers Association chief executive, Paul McLeay, said the tax on spirits is unfair and unsustainable, putting a handbrake on the growth of a promising industry.

“It’s impossible for local distillers to consider employing new staff, opening a distillery door or accessing new export markets with this out of control tax,” he said.

“If the government is serious about growing domestic manufacturing jobs, particularly in the regions, they can’t have it both ways.”

Cape Byron Distillery founder Eddie Brook says small distilleries cannot realistically pass on every increase to consumers, who don’t understand the excise burden these businesses are dealing with.

“If we asked our loyal customers to pay an extra $2 or $3 every six months, we would start to look greedy in their eyes, and it puts us out of the price range that they can afford,” he said.

“What that means is, we've had to absorb a lot of those increases, which has made the running costs extremely tight and essentially, it is has reduced the ability of the business to grow.

Brook said the latest forecast excise increase will cost his business about $70,000 a year in lost margin.

“That’s the equivalent of a full-time staff member that we won’t be able to employ as a result,” he said.

Distillers South Australia, formerly known as the South Australian Spirit Producers Association (SASPA), is pleased to announce a significant milestone in its evolution as it undergoes a rebranding effort. Effective immediately, the organisation will be known as Distillers South Australia.

The decision to change the name was driven by the desire to create a more accessible and easily recognisable brand identity and was made after careful consideration of feedback from our dedicated spirits consumers and trade partners.

The new name carries a broader appeal and eliminates the need for acronyms, ensuring clear and concise communication with stakeholders. It also aligns with the national body, Australian Distillers.

The rebranding reflects Distillers South Australia’s commitment to working collaboratively to grow domestic and international market opportunities for South Australia spirits. It provides an opportunity to share South Australia’s unique distiller stories highlighting our regions, distillers, and of course South Australian spirits, and solidifies our position as a leading organisation, dedicated to best practise and the continued growth and success of the South Australian distilling sector.

"This rebranding initiative is a significant step forward for our organisation," said George Georgiadis, President of Distillers South Australia. "We believe that adopting the name Distillers South Australia will reinforce our commitment to excellence, enhance our brand recognition, and facilitate stronger partnerships within the industry. We are confident that this change will be well received by our valued spirits consumers, as well as by the global trade and media communities."

The transition to Distillers South Australia will not impact the organisation's core mission, which remains focused on promoting, supporting, and advocating for spirits producers from across South Australia. Through its various initiatives, Distillers South Australia will continue to champion excellence in distilling, promote responsible consumption, and provide valuable resources and networking opportunities for its members.

As Distillers South Australia embarks on this exciting new chapter, the organisation remains committed to delivering exceptional value and support to its members and the broader spirits industry. Stakeholders can expect a seamless transition, with all existing programs and services continuing uninterrupted under the new name.

For more information about Distillers South Australia, please visit their website.

The following “Streamlining the administration of excise and excise-equivalent customs goods” changes are now law. A message from the ATO.

Aligning excise and customs reporting with other indirect taxes.

From 1 July 2023, eligible businesses can apply to lodge their excise and customs returns on a quarterly basis to simplify reporting and payment requirements.

Eligible businesses include those that manufacture or store alcohol, or deliver excisable alcohol or excise-equivalent goods into the Australian domestic market, and have an aggregated annual turnover of less than $50 million.

A number of conditions must be met to be granted permission to change your lodgment cycle to quarterly. You need to have all your lodgments and payments up to date before you apply. We will assess applications on a case-by-case basis.

For more information, visit Application for a periodic settlement permission.

System updates and processing delays

From September 2023, there will be new functions in our online services when you lodge your excise returns and amendments. To enable the new functions in our online services, processing of excise lodgments will be delayed between August and September. During this time, continue to lodge and pay by the due date, however your lodgments won’t be processed until the system changes are complete.

If you’re not already using online services, register now here. 

The National Distilling Institute (NDI), set up in 2023, is a nationally recognised training organisation focusing on vocational training for students all over Australia. It is a joint venture between the Australian Distillers Association and National Food Institute. It will partner with other training organisations to deliver Certificate IV in Artisan Fermented Products (Distilling), which is Nationally accredited in Australia under the Australian Skills Quality Authority ASQA.

Since the conference, NDI has had a deep dive into the learning outcomes and believes we will get better educational outcomes for the industry by delivering, Micro-Credentials and short courses in the coming months and then developing Certificate IV in Artisan Fermented Products (Distilling). We will not develop Certificate III in Food Processing (Distilling) at the moment as discussed at the conference.

Certificate IV in Artisan Fermented Products (Distilling) qualification reflects the role of those using artisanal methods to produce fermented food and/or beverage products specialising in distilled spirits.

Individuals with this qualification apply a broad range of specialised skills and knowledge in varied contexts that involve selecting and operating equipment, coordinating resources and finding solutions to routine and non-routine problems as they arise.

NDI seeks Australian-qualified Trainers and Assessors who want to work with the National Distilling Institute to teach Certificate IV in Artisan Fermented Products (Distilling). If you are interested in being a trainer but don’t have your Qualification, we would like to speak to you also.

We are looking for trainers or Subject matter experts with relevant experience in Distilling or a specific area associated with distilling.

To be a trainer, you must have your Certificate IV in Training and Assessment. NDI is keen to discuss whether you have this qualification or want it.

We would like to hear if you are ready to help build the industry through structured, accredited education.

If you are interested, please email Seb Costello using the link below.

CONTACT SEB

If you've been looking for a supplier of quality consumables and equipment for your spirits production, large or small, we're here to help. From top of bottle and oak alternatives, right through to turn key filling, labelling and packing, Grapeworks Tanium can provide the solution.

A note from our conference sponsors Grapeworks and Tanium.

Click here to view our distillery catalogue or visit our website to view some of the range of products we provide and if you don't see exactly what you're looking for, just give us a call. We've been supplying to business's just starting up with manual equipment, through to the supply and installation of fully automated filling, labelling and packing off lines.

Specialising in the production of quality top of bottle closures, we're able to provide you with a large selection of stock colours or complete your brand presentation with a premium custom designed closure.

Call now for a quote or to discuss your production or installation requirements or email us.

Entries close this Friday!

Entries for Australia’s premier distilled spirits competition, the Melbourne Royal Australian Distilled Spirits Awards, close this Friday, 23 June.

With categories for both what’s in the bottle as well as what’s on the bottle, this is the final call for entries to Australia’s largest distilling competition.

For details of what’s new in 2023, including the new Design Award, please view the Entry Booklet.

Enter now for your chance to take home gold!

Enter Now

 

Trophy Presentation Tickets Now Available

Melbourne Royal invites you to celebrate the medal and trophy winners of the 2023 Australian Distilled Spirits Awards on Thursday 3 August at a cocktail function in the Victoria Pavilion at Melbourne Showgrounds.

Don’t miss the Australian distilling industry’s night of nights!

Buy Tickets

The Queensland Government is in the process of updating its Craft Brewing Strategy (including renaming the strategy to include distillers), and you should have recently received a survey to provide input. This represents a great opportunity to have our voice as an industry heard, including the common goals that we’ve been working on as the QDA.

As a refresher, here are some of the key points QDA has been advocating for with the QLD government.

Please make sure you take the opportunity the survey provides, including sharing how the above points can support your own business to grow, provide more employment and contribute to the QLD economy.

The Alcohol School, sponsored by 'Lallemand Biofuels and distilled Spirits' is educating distilled spirits and fuel ethanol producers in the multidisciplinary sciences of ethanol production.

Lallemand supplier and Australian Distillers Association Associate member and conference sponsor IMCD encourage members who have an interest in ethanol production to attend the course. The course is designed to provide our delegates with detailed information on unit processes; formulated for lab, plant, and management personnel and is organized around lectures, laboratory demonstrations, seminars, and lab visits. This important resource is becoming more valuable as the market growth is making the need for continual education a must.

Location: The Westin Grande Sukhumvit, Bangkok. 

Dates:  18-21 July 2023.

For more details on the four day event, please review the agenda below.

AGENDA

  

If you would like to talk to Sue Mills from IMCD, who will be attending the event, for more information on the content and why you should consider attending please contact Sue on her email below.

SUE MILLS

To register for the event please download the booking form below.

BOOKING FORM

A message from our conference 2023 Sponsor Fermentis.

There are some interesting trends happening today in the world of fermented beverages that are affecting the world of spirits. Consumers are choosing spirits and cocktails over other beverages, and they are choosing more premium brands and specialty options. This trend is motivating producers to innovate in all categories of spirits, at both the industrial and artisan level.

Consumers are demanding continual innovation, creativity and "out of the box" thinking. This provides Master Distillers with both a challenge and a huge opportunity - innovate now to appeal to a broader market. In this context, we believe that yeasts can provide an exceptional advantage.

At Fermentis, we invest considerable resources in R&D to develop new products, generate new applications, improve processes, and of course, to continuously improve quality. With yeast, it's possible to explore new aromatic profile and flavours, and generate a diversity of congeners never seen before. For this reason, we have created this Yeast and Fermentation Guide specifically focused on the production of distilled beverages. We hope this guide becomes a useful and dynamic tool for you to create the spirits of your dreams.

To access the guide, please click on the link below.

Yeast and Fermentation Guide