Consumer advocacy group Choice says international brewing giants like SAB Miller and Kirin are locking out Aussie craft beers with exclusive contracts that may be "unlawful".
Choice says its investigation has revealed that most pub taps are controlled by one of two international brewing giants, SAB Miller, which owns Carlton & United Breweries (Foster's Group) or Kirin-owned dairy and beverage company, Lion, at the expense of genuine Australian craft brewers.
According to Choice, the big brewers often offer more money, rebates or other incentives for exclusive access to 80 per cent or even 100 per cent of pub taps, making it hard for independent brewers to get a fair go.
Choice says it obtained a contract for the supply of tap beer that demands exclusive access for the SABMiller-owned Foster's Group with terms like:
- Foster's will be the exclusive supplier of all Light Strength (<3%ABV) Draught Beer;
- Foster's will be the exclusive supplier of all Low Carbohydrate Draught Beers;
- Foster's will be the exclusive supplier of all Domestic Premium and Sub-Premium Draught Beers;
- Foster's will be the exclusive supplier of all Imported Draught Beers;
- Foster's will be the exclusive supplier of all Specialty & Craft Draught Beers;
- Foster's will be the exclusive supplier of all Draught Spirits & Cider.
“While it might seem like you have a huge choice when buying tap beer in your local pub the fact is most taps are controlled by one of two international brewing giants, SAB Miller or Kirin, at the expense of genuine Australian craft brewers,” says Choice head of media Tom Godfrey.
“We know 83 per cent of revenue in Australia flows to the big beer barons, Kirin and SABMiller. If exclusive dealing cuts competitors, forecloses markets and keeps competitors out, it may well be unlawful.”
The wholesale supply of beer to Australia's pub industry is also believed to be under investigation by the competition regulator, the Australian Competition and Consumer Commission.
Choice also noted that the brewing giants, Kirin and SABMiller, have also been buying up craft beer brands and now currently control 47 per cent of the craft beer market.
“It might also come as a surprise to many consumers that their favourite ‘craft’ brews are now foreign-owned,” says Godfrey.
“Even Coles and Woolworths are hopping on the ‘craft’ bandwagon with Steamrail Ale (Coles) and Sail and Anchor (Woolworths) getting in on the action,” he says.
