Big Beer Brewers Are Being Investigated By The ACCC Over Pub Tap Contracts

The ACCC is investigating beer companies’ tap contracts. Getty/Mark Kolbe

Australia’s competition watchdog has reportedly written to major beer distributors such as SABMiller and Lion, informing the companies it is seeking a “better understanding” of the industry’s pub contracts.

The beer market in Australia is controlled by the Japanese-owned Lion and London-headquartered SABMiller (which bought Fosters Brewing two years ago).

According to media reports the ACCC has asked the companies a variety of questions about how they secure contracts for pub taps, to assess whether they are resorting to anti-competitive tactics that lock out rival beer brands.

“The ACCC is making some inquiries to better understand the supply conditions within the wholesale draught beer market in Australia, and to understand how certain conduct may be affecting competition,” the ACCC said in the letter, according to Fairfax Media.

Read more here.

NOW WATCH: Briefing videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.