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Minimum booze price could see all liquor prices rise - industry

Published: 6:47PM Monday July 02, 2012 Source: ONE News

It is designed to bring a halt to binge drinking, but the liquor industry says a Labour Party bid to put a minimum price on alcohol will only drive the price up for everyone.

Ministry of Justice officials will meet with liquor retailing representatives tomorrow, as Labour drums up support for its plan in Parliament.

Labour MP Charles Chavuel says Labour has got the numbers to add a clause to the Alcohol Law Reform Bill, which would give the justice minister the power to set a minimum price for a drink.

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Chauvel said the Supplementary Order Paper relating to minimum pricing was drafted because the Government failed to pick-up a Law Commission recommendation on the issue when it drafted the Alcohol Law Reform Bill.

"It's very easy for particularly young women to pre-load with cheap wine from the supermarkets and then go out on the town and get drunker and drunker," Chauvel said.

The Law Commission says one standard drink of wine can be bought in this country for as little as 60 cents, spirits for 81 cents and beer for 85 cents.

"If instead of being able to buy a bottle of cheap wine for $6 from the supermarket, a minimum pricing regime puts that up to 12, 13 or 14 dollars then it's much harder people to lay their hands on cheap booze," Chauvel said.

Under the recommendations, all outlets selling alcohol will be required to provide price and sales data to the Government, which will inform the Government's consideration of a minimum alcohol price at a future point in time.

However, John Albertson, from New Zealand's Retailers Association said: "If you set a minimum price then obviously people who want to have a premium position for their wine for example may want to put a little bit more on, so the cost could go up all the way through the chain."

Scotland became the first country in Europe to pass a law setting a minimum price for alcohol in May.

England, Wales, Ireland and Australia are expected to follow suit.

And the New Zealand Government says it is investigating the matter.

"It's something the Government may have to swallow with Labour confident it has the support to get the amendment though in a matter of weeks," Prime Minister John Key said.

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