Australia Beer Market Report and Forecast 2025-2034
Market Outlook
According to the report by Expert Market Research (EMR), the Australia beer market size reached around USD 22.7 billion in 2024. Aided by shifting consumer preferences, increased demand for craft beer, and the growing popularity of premium and low-alcohol options, the market is projected to grow at a CAGR of 2.70% between 2025 and 2034 to attain nearly USD 29.7 billion by 2034.
One of the main drivers of the Australia beer market expansion is the shifting consumer preferences toward premium, craft, and speciality beers. In recent years, Australian beer drinkers have increasingly favoured higher-quality options that offer unique flavours, ingredients, and brewing techniques. The craft beer segment, in particular, has seen substantial growth, with local breweries gaining popularity due to their ability to cater to niche tastes and offer artisanal products. Consumers are becoming more discerning about the types of beer they drink, with many opting for brews that emphasise quality, heritage, and creativity over mass-produced alternatives.
The trend toward premiumisation has also positively influenced the Australia beer market dynamics, with larger beer manufacturers responding to consumer demand by introducing more diverse and high-end products. These products cater to a broad spectrum of preferences, from hoppy IPAs to malt-forward stouts, thus ensuring that beer remains a top choice for Australians looking for variety in their drinking experiences.
The market has experienced a remarkable surge in popularity over the past decade. With the rise of craft beer, there has been an increasing emphasis on innovation, with many breweries experimenting with new styles, ingredients, and brewing techniques. This shift has also had a significant impact on the Australia beer market landscape, as craft beer festivals, events, and taprooms have become an integral part of Australian beer culture. Many craft breweries in Australia have embraced sustainability and locally sourced ingredients, making their beers not just a product but a statement of their commitment to quality and environmental responsibility.
As with many other industries, the Australia beer market growth is being shaped by the growing emphasis on health and wellness. Consumers are more informed about the impact of alcohol on health, leading to an increased interest in lower-calorie, lower-alcohol, and alcohol-free beer options. Low-carb beers and those with fewer additives are becoming increasingly popular as Australians seek to balance their enjoyment of beer with their health-conscious lifestyles.
Non-alcoholic beer has emerged as a major trend in the Australia beer market, driven by both health and moderation trends. Beer drinkers who are looking to reduce their alcohol intake or avoid alcohol altogether have found that non-alcoholic beer can provide the same refreshing taste and experience of drinking without the effects of alcohol. Many major beer brands have introduced alcohol-free options, catering to a growing segment of consumers who are looking for alternatives that align with their health-focused values.
Sustainability has become a central theme driving the Australia beer market development. As consumers become more environmentally conscious, they are placing increasing importance on the sustainability practices of the companies they support. In response, breweries are adopting more sustainable production methods, such as reducing water usage, minimizing waste, and implementing energy-efficient technologies.
Many Australian breweries are also committed to using recycled materials for packaging, particularly glass bottles and aluminium cans, and are exploring innovative alternatives such as biodegradable packaging. Moreover, the growing trend of using locally sourced ingredients not only supports Australian farmers but also reduces the carbon footprint associated with importing raw materials.
Moreover, beer has always played an important role in Australian social life, and this trend continues to boost the Australia beer market revenue. Australians often associate beer with social occasions, such as barbecues, beach outings, and gatherings with friends. As beer remains central to many social rituals, its consumption is not limited to pubs and bars but extends to outdoor activities and home consumption.
The growth of beer tourism has also contributed to the Australia beer market expansion. Beer lovers are increasingly seeking out new experiences, such as brewery tours, tasting events, and beer festivals. These activities not only support local businesses but also help to educate consumers about the diverse world of beer, which has contributed to the rising popularity of craft beer and premium beer options.
Despite the positive outlook for the Australia beer market, there are challenges that need to be addressed. Rising raw material costs, including hops and barley, may put pressure on breweries to raise prices, potentially affecting affordability for consumers. Moreover, the regulatory landscape surrounding alcohol consumption and taxation can present obstacles to industry growth, particularly as governments respond to growing concerns about alcohol-related harm.
However, these challenges also present opportunities for innovation. As the demand for premium, low-alcohol, and non-alcoholic beers continues to rise, breweries have the chance to capitalise on these trends by diversifying their product portfolios and appealing to a broader consumer base.
The Australia beer market is poised for steady growth in the forecast period, driven by evolving consumer preferences, the rise of craft beer, and a growing focus on health, sustainability, and innovation. With a strong cultural connection to beer, Australia’s beer industry continues to evolve, offering consumers a diverse range of high-quality options that cater to their changing tastes and values. As demand for premium beers, low-alcohol alternatives, and environmentally responsible brewing practices increases, the Australian beer market is well-positioned to thrive in the years ahead.
Market Segmentation
The market can be divided based on type, packaging, production, alcohol content, flavour, distribution channel, and region.
Market Breakup by Type
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