Plans to sell alcoholic flavoured milk drinks have run into opposition from liquor licensing and health authorities in the Australian state of Victoria.

Wicked Holdings, a company based in the provincial city of Shepparton wants to sell strawberry, banana and chocolate flavoured Moo Joose in bottle shops, clubs and nightclubs aimed at 18-25 year olds. It would have an alcohol level of 5.3% and be sold in 250ml bottles.

However, the state authority, Liquor Licensing Victoria, rejected the company's application for a pre-retail licence - Wicked Holdings will appeal - on the grounds that the product would lead to alcohol misuse and abuse.

Although the company said the product would be sold only in licensed outlets, the Australian Drug Foundation said it was a nightmare which would put alcohol within the reach of children. The Australian Dairy Farmers Federation said it was concerned the drink would confuse consumers. Wicked Holdings said the product had been extensively researched and met the standards of other RTDs.