NEWS

Container Deposit Schemes Expanded in SA, NSW and NT

On 3 September 2025, the South Australian and New South Wales Governments announced that their Container Deposit Schemes (CDS) will be expanded to include wine and spirit bottles up to 3L, with changes to take effect in mid to late 2027.

The Northern Territory Government has also introduced legislation to expand its scheme, with commencement to be set by gazette or automatically by 30 August 2027. The NT legislation allows for a two-year transition period for refund mark labelling.

While governments have expressed a willingness to work with industry to ensure the least cost and simplest transition, Australian Grape & Wine (AGW), the South Australian Wine Industry Association (SAWIA), and NSW Wine remain deeply concerned about the significant costs and limited environmental benefits of these expansions.

What this means for producers

  • The CDS will add costs of around 20 cents per bottle for wine companies. This covers the 10-cent refund, scheme fees, and administration costs, excluding the additional expense of label changes for compliance.
  • Government modelling assumes costs can be passed on to consumers, but experience in Queensland shows this is unlikely to be achievable in today’s competitive retail environment.
  • These changes come at a time when many producers are already under severe financial strain.

Our position

We will continue to strongly engage with governments on behalf of the grape and wine sector. Our advocacy priorities are clear:

  • National harmonisation of registration, reporting, invoicing, and payments to minimise duplication and costs.
  • Adequate transition arrangements to give businesses time to adapt.
  • Cost impact relief for small businesses, such as exemptions or thresholds.
  • Ongoing government investment in the wine sector to support export and domestic sales success.

AGW, SAWIA and NSW Wine have long argued that any CDS changes must be backed by robust, evidence-based analysis demonstrating strong environmental outcomes. Evidence to date shows CDS schemes are expensive and deliver limited additional benefit.  We will keep members updated as discussions progress.

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