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New Zealand’s beer industry ‘vital’ to the economy

New Zealand’s brewing industry contributes NZ$3.58 billion to its national economy, according to a new report.

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The data, produced by the Brewers Association of New Zealand and the Brewers Guild of New Zealand, also shows that the beer sector generates NZ$1.7 billion in tax revenue and supports over 35,200 jobs.

Across the market, Auckland leads the sector and accounts for 42% of gross domestic product contributions and 40% of brewing-related employment, with Canterbury and Wellington emerging as key hubs.

According to the findings, the beer industry’s influence additionally extends beyond economics and also boosts tourism and community engagement. The report outlines that more than “60% of breweries are involved in tourism and nearly 80% offer taprooms” which bring people together.

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Summarising the impact of the beer sector and its importance across New Zealand, the data highlighted how the industry was “vital”. To emphasis this, the report added: “From craft breweries in Otago to innovative exporters in Taranaki, brewing continues to be a vital driver of regional pride and economic growth.”

In 2023, New Zealand saw its second largest beer tax increase in 30 years, a move which was been made by the New Zealand government in an attempt to shake up the industry. At the time, it was yet another challenge for a struggling industry that was trying to regain its footing following the pandemic.Speaking about the struggle, Brewers Association of New Zealand executive director Dylan Firth said as the taxation came into play that “the beer excise increase could not come at a worse time for brewers and consumers” and reminded that “With Kiwis facing a cost-of-living crisis, more tax is the last thing anyone needs”.

Despite this, the sector continued on its path to success, offering up both income and support for the economy. But still, its reputation suffered, with alcohol being used as a “loss leader” and devalued in the off-trade, while beer festivals in NZ were also met with reputation-danaging shenanigans. Irrespectve of all of these hurdles, however, the industry has stayed strong.

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