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How high taxes and lighter drinking are reshaping beverage alcohol outlook in Australia – Market Intel

Joe Bates
Last updated: 09/03/2026 at 3:40 PM
By Joe Bates
25 February 2026
12 Min Read

Seemingly endless tax rises and the strengthening moderation trend among younger LDA consumers are the driving forces behind beverage alcohol in Australia in 2026.


View of Sydney Opera House and Harbout Bridge
Credit: ai_yoshi/iStock

Seemingly endless tax rises and the strengthening moderation trend among younger LDA consumers are the driving forces behind beverage alcohol in Australia in 2026.

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Record-high excise duties and cost-of-living pressures are increasingly affecting the pricing and consumption levels of alcoholPremium and imported spirits continue to find opportunityBiannual excise indexation is pushing retail prices towards a clear consumer ‘ceiling’Moderation is reshaping the market, with no- & low-alcohol gaining momentum across both the on- and off-premise channelsWinemakers’ long-running oversupply crisis remains unresolved, forcing consolidation, brand rationalisation and continued pressure on growersWith the 2026 calendar still crisp at the edges, the Austra

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Joe Bates
ByJoe Bates
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Joe has been a business journalist for over 20 years, specialising in the drinks, aviation and Global Travel Retail sectors; Duty-Free News International, IWSR Magazine, Drinks International and Whisky Magazine, among others.
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