Retail Drinks push to scrap ‘unfair’ liquor cap on NT corner stores as minimum unit price removed

Retail Drinks Australia is urging the NT government to scrap an ‘unfair’ 25 per cent liquor sales cap on grocery store licences, as the minimum floor price is officially axed.

Retail Drinks Australia is urging the Northern Territory government to amend the Liquor Act to scrap an “unfair” 25 per cent liquor sales cap on grocery store licences.

Retail Drinks Australia is urging the Northern Territory Government to amend the Liquor Act to scrap an “unfair” 25 per cent liquor sales cap on grocery store licences.

Retail Drinks chief executive Michael Waters praised the Country Liberal Party after its legislation to remove the minimum floor price for alcohol passed through Territory parliament Tuesday night.

The floor price, also known as the Minimum Unit Price (MUP), was introduced by the former Labor government in 2018 and applied a minimum price of $1.30 per standard drink on all alcohol sold in the Territory.

The CLP said the policy failed to achieve meaningful outcomes, pushed problem drinkers from cask-wine to hard spirits, imposed unnecessary burdens on businesses, and punished everyday Territorians with higher prices at the bottleshop.

Hospitality NT chief executive Cathy Simmonds.

Hospitality NT warned consumers not to expect a big drop back to 2018 prices.

“It’s 2025, and nothing is the same price that it was in 2018,” chief executive Cathy Simmonds said.

“Reforms from 2018 have meant the NT is the most heavily regulated jurisdiction for liquor – but the social problems have never been worse.

“It’s time to see more resources and effort directed at reducing problem drinking – that is the pathway towards a reduction in alcohol related harm in the NT.”

Australian Medical Association NT was one of several health and community groups calling on the government to reconsider its decision, arguing the MUP had contributed to significant reductions in alcohol-related harms and its removal would be a backwards step.

The doctors’ lobby warned the policy change might disproportionately affect vulnerable populations, including Aboriginal communities.

Chief Minister Lia Finocchiaro and Hospitality and Tourism Minister Marie-Clare Boothby, hold a press conference with evidence of problem drinking nearby. Picture: Pema Tamang Pakhrin

Tourism and Hospitality Minister Marie-Clare Boothby said studies suggesting the effectiveness of the MUP “cherrypicked” data, and almost all positive trends should be attributed to Police Auxiliary Liquor Inspectors being stationed at bottleshops.

The data that speaks the loudest, Ms Boothby said, “is those smashed glass bottles in our playgrounds every day for councils to pick up”.

“This highlights that the policy has backfired, exacerbating safety concerns.

“Having a beer at the pub with mates or sharing a bottle of wine over dinner — these are part of the Territory lifestyle, which we are committed to restoring. Governments should not get in the way of that.

“We are committed to supporting a strong hospitality sector while ensuring alcohol policy is responsible, targeted, and evidence-based.”

Michael Waters – Retail Drinks Australia. Picture: Gregg Porteous

Mr Waters said the MUP was ineffective in addressing alcohol-related harm and unfairly targeted responsible drinkers.

“We congratulate Chief Minister Lia Finocchiaro for acting on the CLP’s election promise to repeal the MUP, which failed to address alcohol-related harm while punishing the vast majority of Territorians who drank responsibly,” he said.

Mr Waters said the time was now right for the government to turn its attention to other Liquor Act reforms.

“This includes raising the arbitrary 25 per cent liquor sales cap on liquor sales for grocery store licences,” he said.

“We look forward to continuing to work collaboratively with the NT government to ensure the Act is fit-for-purpose, and strikes the right balance between industry and community

needs.”