A government review of alcohol promotion regulations may lead to a crackdown on television advertising and sports sponsorship.
Associate Health Minister Damien O'Connor said yesterday that the move was a result of mounting anxiety about increased youth drinking.
Concerns about whether the broadcasting and alcohol industries should be left to self-regulate television and radio advertising are also fuelling the rethink, with Mr O'Connor appearing to signal that the Government wants greater control.
"It's very ambitious to think that the industry can run a self-regulatory regime over something where there is so much money involved and the pressures are so great," Mr O'Connor said
More regulation might be needed, he said. "It may mean a crackdown, absolutely. And obviously sport and the culture around sport plays a big part around alcohol advertising."
Watchdogs estimate that as much as $150 million is spent each year on liquor advertising and deals with sport and music events.
Drug Foundation executive director Ross Bell yesterday welcomed the wide-ranging review, saying it was clear that alcohol advertising had a significant impact on the attitudes of young people.
He wants a total ban on alcohol advertising on radio and TV and on sports sponsorship.
But breweries and the Beer, Wine and Spirits Council are vehemently opposed to any such changes.
They claim they are not contributing to the youth drinking problem and that the self-regulatory regime is "world best practice".
Lion Nathan's Steinlager brand is a major sponsor of the All Blacks and its Lion Red brand sponsors the NZ Warriors league team.
Lion Nathan corporate director Liz Reid said the company believed the existing regime was "in keeping with community sentiment around advertising".
Auckland Tennis chief executive Graham Pearce, running the Heineken Open which ends today, said banning sports sponsorship would leave "a huge hole for sports in New Zealand".
Mr O'Connor said research showed a connection between alcohol advertising and the beliefs and behaviour of young people and found that ads reinforced cultural norms.
It was too early to prejudge whether there was too much alcohol advertising but "there is growing concern about harm from alcohol, particularly on young people".
"There's a concern that many of the new, very sophisticated advertising campaigns may be contributing to that, so we are taking a look".
Mr O'Connor said there had been an assumption that self-regulation, introduced by the Shipley Government, would be sufficient.
Mr Bell of the Drug Foundation said: "Young New Zealanders are subjected to seductive images of a high life through alcohol that ignores the realities of problem drinking. A hangover pales in comparison to the risk of death and injury caused by alcohol."
He said that two years ago the industry had allowed itself to advertise from 8.30pm - instead of 10pm - when more than 25 per cent of 10- to 17- year-olds watched television, which was clearly irresponsible.
The Group Against Liquor Advertising (Gala) said about $150 million was spent each year by liquor companies on advertising, sponsorship and marketing.
About $50 million of that is spent on advertising. Figures on sponsorship are harder to come by because of their commercially sensitive nature, but research by Gala estimates the total spent on sponsorship, marketing and competitions at about $100 million.
Dr Viola Palmer, chairwoman of the pressure group, gave a cautious welcome to the review, saying it came two years after Gala first asked for it.
"But what we are aiming for is a total ban on advertising, similar to tobacco, because alcohol is equally as dangerous as smoking."
Beer, Wine and Spirits chief executive Nicky Watson said there was no silver bullet to youth drinking, but the claims advertising was responsible for it didn't stack up.
The drinks most gaining in popularity among youth were RTDs (ready to drink), yet these were barely advertised at all.
Ms Reid said Lion Nathan made a multimillion-dollar contribution to sport across the country.
"The principle behind liquor advertising is gaining brand loyalty, it's not about increasing consumption at all."
NZ Rugby Union communications manager Brian Finn said the union would want to get familiar with the review before commenting on it.
Steinlager is the All Blacks' second-line sponsor after adidas.
Under threat
* Heineken Tennis Open
* Heineken Golf Open
* Speights Coast to Coast race
* Steinlager sponsors America's Cup Team NZ and the All Blacks
* DB Draught is a sponsor of the Crusaders, the Canterbury NPC team and the West Coast Rugby Union
* Export Gold sponsors categories in the New Zealand Music Awards.
Teen drinking spurs rethink on liquor ads
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