Australia Craft Beer Market Report and Forecast 2025-2034

Australia Craft Beer Market Report and Forecast 2025-2034

Market Outlook

According to the report by Expert Market Research (EMR), the Australia craft beer market size reached around USD 1041 million in 2024. Aided by a growing appreciation for unique, high-quality brews, changing consumer preferences towards artisanal and locally brewed beers, and the expanding variety of flavours and styles, the market is projected to grow at a CAGR of 17.50% between 2025 and 2034, reaching almost USD 4989.2 million by 2034.

Craft beer, distinct for its small-scale production, innovative flavours, and high-quality ingredients, has found a strong foothold in the Australian beverage industry. In recent years, a wave of microbreweries and independent brewers has swept through the country, offering a vast array of unique brews that cater to an increasingly discerning and adventurous customer base. Unlike mass-produced beers, craft beer is often brewed in small batches, with an emphasis on quality, taste, and creative flair.

One key driver aiding the Australia craft beer market expansion is the increasing focus on local and sustainable consumption. Australian consumers are becoming more conscious of where their food and beverages come from, opting for locally sourced ingredients and supporting small businesses. Craft breweries, many of which are independently owned and operated, align with these values, as they often use local, organic ingredients and prioritise sustainability in their production processes. As consumers seek out products that reflect their values, craft beer has become an increasingly popular choice.

Additionally, the rise of the millennial and Gen Z consumer groups has played a significant role in the growth of the Australia craft beer market. These younger consumers tend to favour products that are authentic, innovative, and aligned with their lifestyle choices. Craft beer’s emphasis on innovation, variety, and creativity is particularly appealing to these generations, who are keen to explore new tastes and experiences. This demographic has driven the trend of experimentation within the beer industry, as breweries experiment with new brewing techniques, exotic ingredients, and diverse beer styles to capture the attention of these younger consumers.

The Australia craft beer market has also benefited from the increasing number of craft beer festivals and events. These events provide a platform for local breweries to showcase their products, offering consumers the opportunity to taste and discover new beers. Craft beer festivals, such as the Sydney Craft Beer Week and the Melbourne International Beer Festival, have become annual fixtures, attracting both local enthusiasts and international visitors. These events not only help raise awareness of craft beers but also foster a sense of community and camaraderie among beer lovers, contributing to the continued expansion of the market.

Another factor contributing to the Australia craft beer market development is the increasing availability of craft beer in mainstream retail channels. Traditionally, craft beer was confined to speciality retailers, boutique liquor stores, and a limited number of bars and restaurants. However, as consumer demand has grown, major retailers and supermarkets have begun to expand their craft beer offerings. This increased accessibility has made craft beer more widely available to consumers, particularly in regional and remote areas, further fuelling its popularity. The growing presence of craft beer in mainstream outlets has also facilitated the discovery of new brands and styles by consumers who may not have previously been exposed to the craft beer movement.

Furthermore, the Australia craft beer market is seeing an increase in the popularity of low-alcohol and alcohol-free craft beers. As consumers become more health-conscious and mindful of their alcohol consumption, the demand for these alternative options has surged. Craft breweries have responded by developing beers with lower alcohol content without compromising on flavour and quality. This shift has allowed craft beer to appeal to a broader audience, including those who may have previously avoided beer due to its higher alcohol content.

As the Australia craft beer market continues to expand, it faces challenges related to increasing competition and market saturation. While the market’s growth prospects remain strong, breweries must find innovative ways to differentiate themselves and stand out in an increasingly crowded marketplace. The ability to maintain product quality, deliver unique and compelling flavours, and establish strong brand identities will be crucial for breweries looking to succeed in the long term. Additionally, the market will need to navigate regulatory challenges, including labelling requirements and distribution restrictions, to ensure continued growth and sustainability.

Despite these challenges, the future of the Australia craft beer market looks promising. With a continued focus on innovation, quality, and local sourcing, the market is expected to thrive, attracting new consumers and maintaining a loyal following among craft beer enthusiasts. As Australian consumers continue to prioritise unique, authentic experiences and explore new flavours, the market is well-positioned to remain a vibrant and dynamic sector within the country’s broader beverage industry. The growing demand for high-quality, locally crafted beers ensures that the market will continue to flourish in the years to come.

Market Segmentation

The market can be divided based on type, distribution channel, and region.

Market Breakup by Type

• Sour Beer
• Ales Beer
• Wheat Beer
• Pilsners and Pale Lagers
• Others

Market Breakup by Distribution Channel

• On-Trade
• Off-Trade

Market Breakup by Region

• South Wales
• Victoria
• Queensland
• Australian Capital Territory
• Western Australia
• Others

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Australia craft beer market. Some of the major players explored in the report by Expert Market Research are as follows:

• Asahi Holdings (Australia) Pty Ltd.
• Emencee Pty Ltd. trading as Balter Brewing Company
• Akasha Brewing Company Pty Ltd.
• BentSpoke Brewing Co.
• Boatrocker Brewers & Distillers
• Bridge Road Brewers
• Mountain Culture Beer Co.
• Fixation Brewing Co.
• Mountain Goat Beer
• Lion Group (Lion Pty Ltd.)
• Wildflower Brewing & Blending
• Bracket Brewing Company Pty Ltd.
• Others

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*We at Expert Market Research always strive to provide you with the latest information. The numbers in the article are only indicative and may be different from the actual report.