Container deposit scheme is a “triple threat”, says Beverages Council

According to the Australian Beverages Council, the proposed drink container tax is a “triple threat” that will cause job losses, increased grocery costs and a reduction in consumer choice. The council expressed its disappointment that environment ministers are still considering implementing a container deposit scheme (CDS).

“The first threat is the loss of jobs. The industry is already in a state of contraction and any further stress on manufacturers, including small and medium companies, through a drink container tax will cost jobs,” said Geoff Parker, CEO of the Australian Beverages Council.

“Proponents of a drink container tax cite nostalgic ideas of scout groups and schools collecting used drink containers to buy new equipment. What they don’t realise is this will cost jobs and ultimately end up in a nationwide emu parade by children to collect a few dollars. As a nation we’re probably past this type of approach to litter and recycling.”

Parker said the tax would add an estimated $300 to the average family’s annual shopping bill, even though families already pay for recycling through their council rates. “The drink container tax is a double hit for families and just not fair,” Parker said.

“Finally, the impact on the industry of a drink container tax will force many small and medium-sized companies, particularly those in regional towns, to scale down or, worse still, close. Consumer choice will be greatly diminished. Those small niche brands will disappear.

“We urge Ministers to employ common sense and reconsider the most cost-effective way to reduce litter and increase recycling without the collateral damage,” Parker concluded. “A drink container tax isn’t it.”