More than $3.4m spent on federal promotional merchandise

The new rules took effect from July and require departments to report their merchandise spending in their annual reports. Exemptions include items sold for profit or considered critical to the government's policy objectives, under a policy that was part of this year's budget. "The Department of Finance has issued guidance to agencies to support implementation of the government's policy," a government spokesperson told the ABC.

The Department of Defence was among the biggest spenders in 2025-26, putting more than $1.4 million towards merchandise, including gifts for foreign militaries and dignitaries, as well as items for recruitment activities, employment expos and base open days. A Defence spokesperson said officials must ensure spending on merchandise represented an efficient, effective, economic and ethical use of public resources.

The health department spent $383,000, including 40,000 condoms in an initiative aimed at preventing sexually transmitted infections and 7,000 campaign-branded "condom wallets". It also bought 5,000 stress balls, 5,000 mints packs and 220 yo-yos, all carrying anti-vaping messages. A department spokesperson defended the spending, saying merchandise was procured in limited circumstances for public health campaigns or strategies. "Evaluation of these campaigns consistently show they are highly engaging, are well recognised by their target audiences and meet the campaign objectives," they said. "Merchandise plays an important role in this. When used, merchandise carries important health messages and information, such as vaccine schedules, reminders of the importance of STI testing and scheduling, and strategies to assist in how to quit vaping and smoking."

The Australian Bureau of Statistics incurred $176,000 in merchandise costs, most of it aimed at spruiking this year's census, including census-themed beanies, mini AFL footballs, socks, reusable shopping bags, pencils, pens and "I heart census" button badge pins. An ABS spokesperson said the agency had not purchased any further promotional material since the new policy came into effect. "Census merchandise was used at community events, information hubs, during remote community engagement activities and to support the enumeration of people experiencing homelessness," they said.

The Australian Federal Police spent more than $251,000. A spokesperson said it uses "standardised promotional material" for career expos and fairs, and it was "reasonable to expect" some of the expenditure went to items from the AFP Legacy Shop. "The AFP has formal governance on the acquisition of merchandise and has recently tightened this governance further to ensure a greater proportion of our merchandise has an educational element, rather than branded generic keepsakes," they said.