Tap contracts exclusively bad for cider

17 Feb 2015

Restrictive deals that lock pubs into selling draught products from the big brewers are hurting local cider producers, according to industry body Cider Australia.

The competition regulator is examining wholesale beer supply arrangements in response to complaints that exclusive and unfair contracts are impacting small, independent craft producers.

President of Cider Australia Sam Reid said this issue goes beyond craft beer and is stifling consumer choice when it comes to draught cider even more so.

“Pubs generally have only one tap for cider and so by tying up this tap these contracts effectively lock up all the draught cider, leaving no room for competition”, said Mr Reid.

Contracts often allow for some taps to be freed up for popular beers, but there is rarely an option for any other ciders.

Cider remains the fastest growing alcohol category in Australia and, as has been seen with craft beer, consumers are showing a strong interest in trying the many different styles of cider available in the market place, from the lighter modern fruit-driven ciders and perry to more robust traditional styles”, Mr Reid said.

Mr Reid said it was telling that while retailers across the board are dedicating increased shelf space to cider, this change is not reflected in the range of draught ciders on offer at many venues.

“The reality is that the big companies can supply only some of the cider styles that are sought after by consumers and many of the smaller Australian producers are producing some very interesting ciders”.

“We want consumers to understand and appreciate cider – for its history and its diversity – and ensuring publicans can fairly negotiate with suppliers is crucial if they are to meet the needs of their customers”.

“I’d like to see more pubs break away from the notion that cider is all the same and start to embrace some of these more interesting styles being produced locally in Australia now and dedicate an extra tap or two to cider!”, said Mr Reid.
For more details or media enquiries, please contact Cider Australia President Sam Reid on 0434 734 797.