A research paper has been published showing the Northern Territories alcohol floor price did not affect retailer's revenue while it was in place. It was introduced back in twenty eighteen and the floor price saw the banning of alcohol sales below a dollar thirty per standard drink. As we know, that was aimed to reduce alcohol related harm by making cheap drinks less affordable and less accessible. I guess too now. Research from four Australian universities tracked alcohol sales at two major bottle shop chains across three years and found that cask wine sales fell dramatically, but those losses were made up by the increased sale of spirits. Now joining me on the line is research fellow at the National Drug Research Institute, doctor Nick Taylor. Good morning to you, Doctor Taylor.

A research paper has been published showing the Northern Territories alcohol floor price did not affect retailer's revenue while it was in place. It was introduced back in twenty eighteen and the floor price saw the banning of alcohol sales below a dollar thirty per standard drink. As we know, that was aimed to reduce alcohol related harm by making cheap drinks less affordable and less accessible. I guess too now. Research from four Australian universities tracked alcohol sales at two major bottle shop chains across three years and found that cask wine sales fell dramatically, but those losses were made up by the increased sale of spirits. Now joining me on the line is research fellow at the National Drug Research Institute, doctor Nick Taylor. Good morning to you, Doctor Taylor.

Good morning Keaty.

Good morning Keaty.

Thanks so much for your time this morning. Now what exactly did this research look.

Thanks so much for your time this morning. Now what exactly did this research look.

Into, so I'll be extra acted. Some retail sales data from the three year evaluation of the alcohol flow price in the Northern Territory and we wanted to see what sort of impact the policy had on the industry. In the end, we found that the industry industry revenues went up by a small margin the year following the minimum unit price, suggesting that it didn't really have a large impact.

Into, so I'll be extra acted. Some retail sales data from the three year evaluation of the alcohol flow price in the Northern Territory and we wanted to see what sort of impact the policy had on the industry. In the end, we found that the industry industry revenues went up by a small margin the year following the minimum unit price, suggesting that it didn't really have a large impact.

So while you know that cheaper alcohol was less accessible to everyday territory and so they were still getting their hands on other alcohol, we.

So while you know that cheaper alcohol was less accessible to everyday territory and so they were still getting their hands on other alcohol, we.

Think it's actually more that there was an Australia wide rise in expensive spirit sales at the time. So we think that while cheap alcohol consumption certainly went down, there was a nationwide boost in spirits sales, which seems to have covered any losses the Northern territory would have experienced. That being said, the margin between the cheap alcohol and spirits is quite substantial. We think these were unique drinkers, unique spirits drinkers, rather than those people who've been drinking cask wine.

Think it's actually more that there was an Australia wide rise in expensive spirit sales at the time. So we think that while cheap alcohol consumption certainly went down, there was a nationwide boost in spirits sales, which seems to have covered any losses the Northern territory would have experienced. That being said, the margin between the cheap alcohol and spirits is quite substantial. We think these were unique drinkers, unique spirits drinkers, rather than those people who've been drinking cask wine.

Yeah right, So you're saying other people were buying more expensive spirits rather than those who might have usually been purchasing cheaper wine.

Yeah right, So you're saying other people were buying more expensive spirits rather than those who might have usually been purchasing cheaper wine.

That's right. There were many more other products around the a dollar thirty mark that those drinkers would have more likely moved to given the costs. When spirits are a lot more expensive than the cask wine that they're essentially disappeared from the shelves.

That's right. There were many more other products around the a dollar thirty mark that those drinkers would have more likely moved to given the costs. When spirits are a lot more expensive than the cask wine that they're essentially disappeared from the shelves.

Now, tell me a little bit about why this research was conducted. Why did you decide to get it underway and have a look at the minimum unit.

Now, tell me a little bit about why this research was conducted. Why did you decide to get it underway and have a look at the minimum unit.

Yes, so this is part of a series of research that we're doing to examine perhaps the unintended consequences of this policy. And the alcohol industry, you know, in the Northern Territory and in other jurisdictions, has discussed how this kind of policy harms their business model, and so we really wanted to see if the evidence showed that, and from what we can tell, it hasn't been a substantial harm to the alcohol industry at all.

Yes, so this is part of a series of research that we're doing to examine perhaps the unintended consequences of this policy. And the alcohol industry, you know, in the Northern Territory and in other jurisdictions, has discussed how this kind of policy harms their business model, and so we really wanted to see if the evidence showed that, and from what we can tell, it hasn't been a substantial harm to the alcohol industry at all.

I mean, it's a really interesting one, I guess for those of us, and I'm not one hundred percent sure where you're based, but for those of us here in different parts of the Northern Territory where when that minimum unit price came into effect, it seemed like we sort of went from seeing you know, like those cask wine packets and things left around the place rubbish wise, to literally seeing some of those much heavier spirit bottles, you know, rubbish sort of littered around different public areas. So I suppose for a lot of us listening, we're probably thinking you know, it's it's not a huge surprise. I guess that those you know that the profits for the liquor outlets didn't change.

I mean, it's a really interesting one, I guess for those of us, and I'm not one hundred percent sure where you're based, but for those of us here in different parts of the Northern Territory where when that minimum unit price came into effect, it seemed like we sort of went from seeing you know, like those cask wine packets and things left around the place rubbish wise, to literally seeing some of those much heavier spirit bottles, you know, rubbish sort of littered around different public areas. So I suppose for a lot of us listening, we're probably thinking you know, it's it's not a huge surprise. I guess that those you know that the profits for the liquor outlets didn't change.

Yeah, it's the spirit's one. Is an interesting question given that it's Australia wide, So areas that didn't have this policy saw the same rise and spirits failed as the Northern Territory did. So it seems to be its own independent trend. Spirits just seem to get really popular around that period.

Yeah, it's the spirit's one. Is an interesting question given that it's Australia wide, So areas that didn't have this policy saw the same rise and spirits failed as the Northern Territory did. So it seems to be its own independent trend. Spirits just seem to get really popular around that period.

So what other like, what else did the did you like? What other main findings did you did you uncover as a result of this research.

So what other like, what else did the did you like? What other main findings did you did you uncover as a result of this research.

So one of the things that I found particularly interesting is it wasn't disclosed which retailers the starter came from in the government report. We found that it only really covered about thirty four percent of the alcohol that should have been sold in the Northern Territory. So that leaves a lot of room for like the alcohol industry to present I guess, favorable data and in industry, in industry or government reports. It's in a reflection on the study. This data could be collected by the government and we could we would be able to know changes like this when they happen, rather than waiting until four or five, six years after the policy comes in. So I think that's my biggest takeaway is that this data exists and the government really isn't making use of it. It's you know, falling on researchers four years after the policy comes into place.

So one of the things that I found particularly interesting is it wasn't disclosed which retailers the starter came from in the government report. We found that it only really covered about thirty four percent of the alcohol that should have been sold in the Northern Territory. So that leaves a lot of room for like the alcohol industry to present I guess, favorable data and in industry, in industry or government reports. It's in a reflection on the study. This data could be collected by the government and we could we would be able to know changes like this when they happen, rather than waiting until four or five, six years after the policy comes in. So I think that's my biggest takeaway is that this data exists and the government really isn't making use of it. It's you know, falling on researchers four years after the policy comes into place.

Yeah, and you know then we sort of see policies change at different times, they chop and change in different ways, and we sort of, you know, we may not even look into that research before those policies change. Well, doctor Nick Taylor, it's good to speak to you this morning. I really appreciate your time and having a chat to us about this research.

Yeah, and you know then we sort of see policies change at different times, they chop and change in different ways, and we sort of, you know, we may not even look into that research before those policies change. Well, doctor Nick Taylor, it's good to speak to you this morning. I really appreciate your time and having a chat to us about this research.

Excellent. Thank you for having me on.

Excellent. Thank you for having me on.

Thank you, Thanks so much.

Thank you, Thanks so much.