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Should the Senate pass the alcopops tax legislation?

Home > Take Action > What CAAN is doing > Changing the Drinking Culture


If the independent and minor party Senators who hold the balance of power reject the Rudd Government's tax on ready-to-drink pre-mixed spirits (RTDs), they will reward the alcohol industry for misleading the Senate Inquiry into RTDs. They will ignore proof that RTDs are consumed by the youngest underage drinkers who engage in dangerous drinking.

Independent Distillers Australia (IDA) is a major manufacturer of RTDs (or alcopops) which represent 94% of its business. Its formal submission to the Senate Inquiry denied RTDs are implicated in binge drinking: "RTDs...have not been directly linked to risky drinking behaviour" (p10) and it cited the 2004 National Drug Strategy Household Survey (NDSHS): "...[the report] showed beer, wine and spirits were listed as being consumed in risky and high risk quantities, but, very significantly, RTDs were not"( IDA submission, p9).

The quote is accurate, but misleading. The statement is true only for people whose drinking puts them at risk of long-term harm. But for the youngest drinkers, aged 14-19, who are at risk of harm in the short-term i.e. due to intoxication and its effects, the result is reversed. Three-quarters prefer RTDs: 73% of males aged 14-19 at risk of immediate harm favour RTDs and 77% of females prefer premixed spirits or spirits equally. (see this data collected by the Australian Institute Health and Welfare, which is devastating for the industry view that alcopops are not implicated in dangerous drinking.)

The case for RTDs to be taxed at the same level as spirits is well founded because it is clear they contribute to both underage drinking and binge drinking. There is no reason to give a tax break for manufacturers of drinks that are most attractive to adolescents. If the Senate should block the legislation it will reward the deceptive conduct of IDA and strike a blow against evidence-based policy.

What do you think the Senate should do?

To read the response of Crikey readers, or contribute yourself, visit the blog at www.crikey.com.au.

Or send your response to: caan@adf.org.au.

Date: 2008-07-01


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