Beer consumption falls to record low
New data from Statistics New Zealand shows a sustained downward trend in overall alcohol consumption, with beer hitting a new low.
Across all categories, the total volume of alcoholic beverages available for consumption in the year ended December 2025 declined 8.3% to 442 million litres. The volume of beer available for consumption fell 10% to 265 million litres – the lowest level recorded.
The equivalent volume of pure alcohol fell 7.6%, while the number of standard drinks available per person aged 18 and over dropped 8.4% to 1.6 standard drinks per day, continuing a five-year decline.
The volume of wine fell 11% to 85 million litres and the volume of spirits (including spirit-based drinks) rose 1.3% to 93 million litres.
“Beer consumption is now at its lowest point on record,” says Brewers Association of New Zealand Executive Director Dylan Firth. “That’s not just a short-term fluctuation, it reflects long-term behavioural change. Kiwis are moderating, and beer is playing a central role in that shift.”
The most significant declines were in higher-alcohol categories with beer above 5% ABV falling 27%, and beer between 4.35-5% ABV falling 13%.
Mid-strength beer between 2.5- 4.35% ABV was broadly stable, rising slightly by 0.8%.
“The strongest beers saw the steepest declines,” says Firth. “That tells us this is about strength as much as it is about volume. Consumers are clearly favouring moderation and sessionability.”
He noted the continued consumer interest in mid-strength and lower-carb products, which typically sit in the 2.5–4.3 percent ABV range.
“Brewers have invested heavily in producing quality lower-ABV and low-carb beers that deliver flavour without excess strength. The data suggests consumers are responding.”
The new figures show that beer accounted for 60% of total beverage volume, and of the beer available for consumption in 2025, 86% was produced in New Zealand.
Firth points out that excise rates on beer have risen more than 20% over the past five years through automatic annual CPI adjustments, yet over the same period, total beer excise revenue has remained broadly flat as volumes decline.
“What that tells us is the tax per litre has risen sharply while the overall tax take from beer has stagnated. That places increasing pressure on brewers, pubs, and consumers without delivering additional revenue growth to the Government.”
The Brewers Association says the latest figures highlight the need for policy settings that recognise both the moderating market and the economic contribution of brewing.
In addition to 265 million litres available for domestic consumption, New Zealand exported 12 million litres of beer in 2025. The sector supports thousands of jobs across brewing, logistics, retail, and hospitality.
“Beer volumes are down. Consumers are moderating. The industry is adapting responsibly. What we now need is a fair and sustainable tax and regulatory framework that supports local brewers and hospitality businesses operating in an already contracting market,” says Firth.