ALCOHOL POLICY

Watchdog for liquor ads
Some health experts have come together to form a national Alcohol Advertising Review Board, claiming that the existing industry-based voluntary code is a ‘toothless tiger’. The new board, headed by former Australian of the Year Prof Fiona Stanley, will follow up complaints and name and shame those in the alcohol industry considered to transgress reasonable guidelines. Prof Stanley said that the motivation for the initiative was ‘the very worrying, dramatic increases in hazardous drinking among young people’. However, the chairman of the Alcohol Beverages Advertising Code (ABAC), Stephen Strachan, said the review board was a stunt as the existing scheme had ‘a strong track record of performance’ and other industry associations have denied that ABAC is ineffective. [From Adelaide Advertiser Mar 17, 201 & other sources]

Fewer country pubs In SA,
One in six rural hotels is ‘on the market’ as publicans confront higher operating costs, dwindling local populations and harsher drink/driving laws … and from next month they will also face higher liquor licensing fees. As SA already is noted for consistently having the highest draught beer prices in the country, the outlook for country pubs in particular is not encouraging. [From Adelaide Advertiser, March 16, 2012]

Ignorance of safe levels
A recent report prepared by the Centre for Alcohol Policy Research found that 95% of those surveyed were unable to correctly identify the Australian guidelines for safe drinking. Young people significantly over-estimated the number of standard drinks per occasion considered to be ‘safe’; young men returned a mean figure of 8.8 and women 6.5 … the recommended level is 4. The report stresses a need for a public awareness campaign regarding the risks of excessive consumption. [From Adelaide Advertiser Mar 6, 2012]

BEER & BREWING: Australia – general

Light & mid-strength survey
The year ending November 2011 saw a further decline in sales of light and mid-strength beers, according to a Nielsen survey. XXXX Gold dominated the ‘mid market’ with Queensland accounting for more than 50% of the segment; beers that showed some growth were Hahn Super Dry 3.5, Peroni Leggera, Coopers Mild and Carlton Mid. The light beer segment continued its long-term decline, down 11% on the previous comparable year – Cascade Premium Light and Hahn Light were the dominant beers. [From National Liquor News, Mar 2012]

In an unprecedented move, Woolworths is collaborating with Lion to develop a new limited release Hahn beer to be available exclusively at the retailer’s own outlets. [From The Shout, Mar 9, 2012]

Viterra sold to Swiss
The sale of Canadian-based Viterra, owner of Joe White Maltings and significant grain handling facilities in SA & Vic, to Swiss commodities power house Glencore International was announced on March 21, it is possible that some components of Viterra may be ‘sold on’ by Glencore. [From various sources Mar 21, 2012]

BEER & BREWING: Australia – mainstream breweries

Coopers
On March 21 the company today declared it is now in a stronger than ever position to ward off future takeover attempts, and revealed Lion Nathan’s failed 2005 bid could have cost both parties in excess of $30 million combined; Coopers’ share alone was over $8m. [From The Shout, Mar 21, 2012]

CUB
The brewing of the 2012 Cascade First Harvest Ale will be celebrated with the 3rd annual First Harvest Party at the Cascade Visitors Centre in May 2012, when the vintage beer is released for sale. The 11th anniversary Cascade First Harvest will be available for a limited time only from the first week of May at selected retailers nationally including Dan Murphy’s, First Choice and Vintage Cellars. This year’s beer is the first under the control of new head brewer Mike Unsworth and was brewed with three experimental hop varieties which have never been used in brewing before are Campania (bitterness hop), Triabunna (flavour hop) and Ellendale (aroma hop). All have been named after historical hop growing areas in Tasmania, where hops were produced for local brewers throughout the 19th century. [From Australian Brews News Mar 14, 2012]

It is reported that Foster’s will fiercely promote its premium overseas beers as it seeks to fill the gap created by the loss of its dominant import Corona (see below). [From E-Mallt.comFlash 11b, Mar 18, 2012]

Lion As expected following SABMiller’s takeover of CUB, Mexican brewer Grupo Modelo on March 10 terminated with immediate effect its distribution agreement with Foster’s for the Corona Extra, Pacifico Clara and Negra Modelo brands in Australia. With a market share estimated to be 4.2% of the local beer market, Corona sales exceed all of Coopers’ brands combined, which in turn exceeds the entire craft industry, including Little Creatures, Matilda Bay and James Squire brands. Grupo Modelo has reassured customers that Corona stock will keep flowing during the changeover. The move means that Lion will now be the country’s ‘No 1 brewer’, a position long held by Foster’s/CUB.

James Brindley, MD of Lion Beer, Spirits & Wine Australia, said ‘Corona Extra is Australia’s largest premium beer and international premium is one of the fastest growing segments in the beer market. We are delighted to have the opportunity to further grow this leading brand.’ Brindley also maintains that Lion will likely be distributing Corona in Australia long after CC-A is free to return to the beer market and that the Corona contract has not come at the expense of other brands, such as XXXX Summer Bright Ale. Tackling parallel imports of Corona will be a key concern for the new distributor, according to Australian Liquor Stores Association president Mal Higgs. Lion executives have acknowledged they face an uphill battle to curtail parallel imports of the brand, with the current exchange rate making the practice more attractive than ever before. [From Australian Beer News, Mar 10; E-Malt.comFlash 10b, Mar 1; The Shout, Mar 12 & 14, 2012 & other sources]

Flagship beer Fast becoming Australia’s favourite beer, XXXX Gold announced on March 15 it has acquired a 15-acre island on the Southern Great Barrier Reef – called ‘XXXX Island’. Designed to be the ultimate destination for mates’ trips away, the island will offer Aussies the chance to experience what the brewer terms the ‘good life’ – a relaxing few days where you can do as little, or as much, as you want with activities including fishing, touch footy, beach cricket, swimming in the ocean or simply barbecuing the catch of the day with a beer in hand. Anna McMillan, XXXX Marketing Manager said the concept was created to inspire Aussie mates to get together for some genuine ‘mates time’. [From Australian Brews News, Mar 16, 2012]

XXXX Gold will knock VB off its top perch within the next 12 months, according to CEO Rob Murray, who said that ‘another big announcement’ would be made very soon. [From The Shout, Mar 16, 2012]

BEER & BREWING: Australia – craft & smaller breweries

NSW: 4 Pines Brewing Co expects in three months to be operating a new brewery that will increase existing capacity by at least tenfold and establish it as one of the country’s biggest craft brewers. [From The Shout, Mar 11, 2012]

SA: It is reported that the ‘pre-loved’ brewing plant, sourced ex Japan several years ago by Port Dock Brewery Hotel but not fully commissioned at Port Adelaide, will be utilized in the establishment of a new venture in the Clare Valley.

Vic: Little Creatures’ new brewery is currently under construction in Geelong but trade chatter suggests that delays in receipt of plant are being experienced.

BEER & BREWING: International

MillerCoors, a joint venture between SABMiller and Molson Coors Brewing, has re-launched MGD 64 with bold new logo and silver and red labels as Miller64 in cans and bottles across USA The rebranded beer has 64 calories and 2.4g of carbohydrates per 12 fl oz (= 355mL). MillerCoors operates eight major breweries in USA, a craft brewery (Leinenkugel’s) in Wisconsin and two microbreweries. [From E-Mallt.comFlash 11b, Mar 18, 2012]

BEVERAGES: General

Coke says no Industry experts were surprised when Coca Cola Amatil announced that it was not interested in buying Foster’s spirit business, including the Cougar, Black Douglas and Karloff brands plus a range of RTDs. CCA would, however, retain its option to purchase the Australian non-alcoholic beverage business and breweries and distilleries in Fiji and Samoa. [From Adelaide Advertiser Mar 6, 2012]

WINE & SPIRITS

Best winemaker
Peter Gago, Penfolds chief winemaker, has been recognised as the Winemakers’ Winemaker of the Year at the world’s largest wine fair in Dusseldorf, Germany. Less than 300 winemakers around the globe cast votes for the annul award. [From Adelaide Advertiser Mar 7, 2012]

New boss
Former ASIC head Tony D’Aloisio will take over as president of the Winemakers’ Federation of Australia (WFA) on March 31, succeeding Peter Schultz. [From Adelaide Advertiser Mar 7, 2012]