Brewing accounts for one per cent of Australia’s GDP
By Charles Whitting, Editor, Beer & Brewer
New research has revealed the importance of Australian beer to the national economy.
Economic analysis from ACIL Allen Consulting for the Brewers Association of Australia has shown that 95% of all beer sold in Australia is brewed in Australia. Its production supports over 143,000 Australian jobs – more than 105,000 of which are full-time equivalent – and generates $16.9bn a year in economic activity, accounting for 1.02% of GDP.
Beer production and supply provides 14,297 full-time jobs in Australia, generating $6.2bn in economic activity per annum. In addition, Australian-brewed beer provides 62,322 jobs from on-licence retailing and 28,530 from off-licence retailing.
The geographical split shows that the industry is important across the entire country. Brewing in New South Wales supports the most full-time jobs (30,735), while brewing in Queensland provides the most economic activity (c. $4.9bn).
“Instinctively, Australians know beer is a part of our national lifeblood,” comments Brett Heffernan, Brewers Association CEO. “It’s a major ingredient in what brings families, friends, colleagues and entire communities together. But it is also a vital lubricant for our economy at national, state and local levels.
“For every direct full-time equivalent job making beer in an Australian brewery (3,954), a further 26.6 jobs are created elsewhere in the economy. Every Australian schooner of beer sold in pubs and other licensed premises contributes $6.24 to GDP, while its off-license equivalent in packaged liquor store beer sales contributes $2.73 to GDP.
“The complete 2015-16 data on beer and taxes is also compelling. Australian beer drinkers poured almost $3.8bn into government coffers – that’s $2bn in excise and $1.78bn in GST. Australian government tax is the single biggest ingredient in the cost of a beer.
“Over 9.1m Aussies celebrate with a beer. Who knew that Aussie beer is, itself, worth celebrating? It’s a huge supplier of local jobs. It’s a major economic driver and revenue raiser for government. It’s also the spice of life, so enjoy in moderation, secure in the knowledge you’re doing your country a favour.”