Bevan, 33, widely regarded as one of the best batsmen in the history of the one-day game, fast bowlers Bichel, Nathan Bracken and Ashley Noffke, and off spinner Nathan Hauritz were not offered new contracts.
"Michael Bevan has been a wonderful player for Australia over many years, particularly in the one-day arena," chairman of selectors Trevor Hohns said in a CA statement.
"However, it was felt Michael's contribution to the one-day side has decreased, and more importantly, we thought it was the right time to move forward as we start to form a core of players to take us to the next World Cup (in 2007)."
Former Test opener Matthew Elliott of Victoria has been given his first contract since 2000-01. He hit three centuries in 20 Tests before losing his place following a poor run of form in 1998-99.
Victoria batsman Brad Hodge, 29, and South Australian paceman Shaun Tait, 21, who are uncapped at international level, have been awarded contracts.
HIGHEST AVERAGE
Bevan has not added to his 18 Test caps for six years but the left-hander has averaged 53.58 in 232 one-day
The New South Welshman, who played in Australia's one-day series in Sri Lanka in February, has the highest batting average in one-day international history (minimum 20 innings). Bevan has hit 6,912 runs, including six hundreds and 46 half-centuries.
Queensland's Bichel was dropped from Australia's Test side during the home series against India in 2003-04. The seam bowler has taken 58 wickets at 32.34 in 19 Tests and 78 wickets in 67 one-dayers, including 16 wickets at 12.31 in last year's World Cup in southern Africa.
Bichel, 33, was not selected for Australia's Test and one-day series in Sri Lanka last month.
Western Australian batsman Mike Hussey, who has played one one-day international, has regained a contract. Test players Simon Katich and Michael Kasprowicz have been upgraded to full-year contract status after gaining deals during 2003-04.
Contracted players will receive a minimum retainer in 2004-05 of A$140,000 (US$105,000), up from A$125,000 last year. Match fees will remain at A$12,100 per test and $4,850 per one-dayer, CA said.
