Our latest insights

Following the recent removal of tariffs on Australian wine by China, the industry is keen to rebuild relations and explore the right export markets. This presents Australian wine producers with a chance to reassess their position in the global market.

Despite a 14% global decline in Agribusiness, Food, and Beverage M&A deals, 2024 shows promise with expected global interest rate stabilisation. Given the sector's role in global sustainability, businesses can tap into opportunities in food manufacturing and waste minimisation.

Driven by consumer demand, Australia's food and beverage manufacturing sector has seen a rise in health-focused businesses. Despite market growth, challenges like supply disruptions persist, leading to notable insolvencies in 2023. We've observed a notable increase in interest from over 100 potential acquirers for brands aligned with healthier products. But timing is critical for struggling businesses – early intervention and strategic planning are key.

The Federal Court has recently ruled in Simplot Australia Pty Ltd v Commissioner of Taxation [2023] FCA 1115 that certain frozen food products are not GST-free on the basis they are prepared meals, which is a decision that may have huge ramifications for the industry.

The AAT ruling in Chobani Pty Ltd and FCT [2023] AATA 1664 highlights the increasing complexity of the classification of food for GST purposes.

Over the past 18 months, we have seen a consistent level of deal activity despite significant headwinds which have impacted the Agribusiness, Food & Beverage (Ag, F&B) sector and the broader economy. Through our analysis of 1,466 global transactions for the Ag, F&B sector in the 18-month period to December 2022, transaction multiples have remained strong – a pleasing result for businesses undertaking divestment activity.

We’ve made it to the other side of COVID-19, but what does this mean for businesses feeling significant headwind on the horizon post-pandemic?

The Federal Government, along with the New South Wales, Victorian and Tasmanian State Governments, have now released jointly funded support packages for those affected by the recent floods.

Despite numerous lockdowns throughout the COVID-19 pandemic, the essential nature of the Agribusiness, Food & Beverage sector has seen diversification and growth opportunities for many of the market participants.

Key insights for the Australian Food, Beverage & Agribusiness industry.