PM defends no minimum pricing on alcohol

Published: 7:00AM Friday August 26, 2011 Source: ONE News/Newstalk ZB

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Prime Minister John Key has defended the Government's Alcohol Reform Bill after it was slammed by anti-alcohol abuse groups.

NZ Drug and Alcohol Foundation executive director Ross Bell says the issue of pricing and marketing is the biggest discrepancy in the recommendations released yesterday.

But speaking today Key said that a hike in alcohol prices may not be the answer. 

"The question would be whether that would actually work and whether you could actually hike it enough," he said.

"Obviously you could set a minimum price, but that minimum price would still be quite a low price, relatively speaking. I think the recommendations from the Select Committee look quite a solid set of recommendations to me."

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.

Govt has 'not gone far enough'

Bell said earlier today that sales and marketing is an issue that will continue to frustrate communities.

"I think it's pure politics. No Government wants to be putting up the tax on alcohol," Bell told TV ONE's Breakfast.  "We've seen how that doesn't go down so well in this country before."

He said the Government is shying away from the issue and the "Government has not gone far enough with reforms".

The Government has accepted 130 changes suggested by the committee to its Alcohol Reform Bill.

Greater restrictions on alcohol advertising, a crackdown on supermarket liquor sales and banning dairies from selling alcohol were among those recommendations.

The Bill's proposed split drinking age was also accepted by the committee, meaning 18-year-olds would be able to buy alcohol in bars and pubs, but would have to be 20 to purchase from liquor outlets.

However, some reform suggestions have been ignored, prompting critics to complain the Bill doesn't go far enough in changing what's perceived to be New Zealand's binge-drinking culture.

Alcohol Healthwatch director Rebecca Williams said real progress was needed around the price of alcohol, alcohol tax and sponsorship.

Williams said it is like "Tonka toys" going to do the job rather than the heavy machinery needed.

Committee chair says change will be gradual

Bell says the reforms are essentially "a bit of smoke and mirrors" because it ignores the larger problem of bulk-purchasing power, which allows alcohol suppliers to offer heavily reduced prices.

In response to such criticisms, National MP and committee chair Chester Borrows told TV ONE's Breakfast that the reforms do contribute to solving the problem of binge-drinking.

"I don't think they recognise how far we've come," he said.
 
However, Borrows said the Government plans to look at further changes that will eventually address all the points made in the 8000 submissions from lobby groups and the public.

One such critic, Family First, says the reforms will have little effect on binge-drinking.

"The binge drinking culture has been spiralling out of control as we have liberalised laws and controls around alcohol abuse. In 1989 alcohol law changes eased restrictions for off-licence selling ... then in 1999 we foolishly lowered the drinking age," said Bob McCoskrie, national director of Family First.

Dairy owners annoyed

And where there are some saying the reforms don't go far enough, dairy owners say they go too far.

Many are angry at the prospect of not being able to sell alcohol.

The Association of Dairies, Groceries and Small Businesses says the measures do nothing to educate people about alcohol.

Spokesman Neil Patel says prohibiting convenience stores from selling alcohol will result in their demise.

He says while alcohol only makes up a small portion of sales, it is the sale of  other commodities bought at the same time which will be reduced.

What do you think about the reforms? Have your say on the messageboard below.

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  • menacerec said on 2011-08-27 @ 23:12 NZDT: Report abusive post

    Let them smoke P too then and don't dare act like it isn't hypocritical to have one legal and not the other.

  • menacerec said on 2011-08-27 @ 23:10 NZDT: Report abusive post

    I usually support John Key but this is ridiculous. In fact, I'm going to change my vote this election just because of it.

  • dalekiloveu said on 2011-08-27 @ 09:07 NZDT: Report abusive post

    The plain facts are supermarkets use alcohol as a loss leader nothing will change until they are stripped of alcohol and then traditional bottlestores are encouraged to pay staff on a knowledge basis, then we can retain staff who show an interest in the products instead of them using us as a means to shoot overseas. If we can educate the young in their formative years we can change their drinking patterns however the price wars have to stop and managers licences should include product knowledge

  • FelixM said on 2011-08-26 @ 22:03 NZDT: Report abusive post

    The problem with NZDAF and Alcohol Healthwatch is that they don't live in the real world. They deal with alcohol related issues all day, so it becomes a norm to them that simply has to be overcome at all costs. In the real world people don't need yet more rules - let alone price controls - to make alcohol more expensive and (yeah right) change their behaviour. Prohibition never worked, so let's not even consider such silliness again. Let people drink if they want! Sheesh!

  • menacerec said on 2011-08-26 @ 20:17 NZDT: Report abusive post

    All I can say is, if you drink alcohol, don't look down your nose at other drug users i.e. P users, cannabis smokers, heroin users and the rest. Drugs are drugs.

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