Cheap wines selling for less than a bottle of water would increase to $7 or $8 under a plan by health groups to tax alcoholic drinks by strength and volume.
The Australian Medical Association and the National Alliance for Action on Alcohol are leading the charge to change the nation's drinking culture.
The groups held a national summit to demand reform yesterday after alcohol tax was left off the agenda at next week's two-day Tax Forum in Canberra.
Finance Minister Penny Wong told ABC Radio it was not the time to change the tax on wine, but the Henry tax review had recommended all alcoholic beverages be taxed on a volumetric basis.
Alliance chairman Michael Daube said wine was the cheapest way to get drunk and a volumetric tax would make stronger alcohol products more expensive. He said the tax could be tiered to ensure the price of spirits did not go down.
''It's not good enough that young people and people with alcohol problems should be able to get wine at $2a litre, cheaper than bottled water,'' Professor Daube said.
There are more than a dozen tax rates on different types of alcohol. Beer and spirits are taxed on the basis of alcoholic content but wine is taxed on the basis of price - leaving cask wine virtually tax-free.
Professor Daube said it sent a confusing message to drinkers.
AMA president Steve Hambleton said the costs of alcohol abuse exceeded $36 million each year and the Government needed to act.
He said price points were particularly effective on teenagers and young adults.
''The health of our community and the cost to our community is way too great and we're talking about an uneven health impact particularly on our young people,'' Dr Hambleton said.
''We know the impact is weighted towards our young people, with those from 14 to 25, 80 per cent of the alcohol consumption at that age group is actually at harmful levels.''
Professor Daube praised Health Minister Nicola Roxon for referring a floor price to the Preventative Health Agency but said the Government was not moving fast enough.
''The Government's doing good things - it's referred the volumetric tax through; it's referred the floor price through ... that will be considered and reviewed and that will take quite a bit of time. We need action now.''
The Blewett Review of Australian food labelling also recommended alcohol warning labels and nutritional information on alcohol products.








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