By Kate Shumakova [1]
BELLEVILLE – The ability of local small breweries to sell in larger markets would be in everyone’s interest, said a marketing manager at a Picton brewery.
“We are willing to sell our products wherever we can. But the problem is that for craft brewers right now the access to the market is very limited. The way the legislation works right now is that we can sell our products on our premises only or we can sell through LCBO. but in that case we can sell only six packs,” Peter Law, of Barley Days Brewery [2], said Wednesday.
Ontario Craft Brewers [3] association took another step towards supporting local small breweries and deregulating the Beer Store monopoly when the idea of establishing an “off-site” craft beer-focused stores was announced Tuesday.
The idea to open doors to local brewing companies was met with a warm reaction from Premier Kathleen Wynne [4]. She said she want to move towards a fair and open alcohol retailing system.
Under the current regulation, small breweries are able to sell two of their products at five Beer Store locations close to their brewery, and the same two products at any Beer Store location by paying a per-store fee.
Law said the Beer Store’s cost for listing is prohibitive.
“It’s not really well set up to sell beer from small craft breweries,” he said.
For years, the seats on the Beer Store’s board were divided among three major companies: Molson, Labatt and Sleeman. After a new regulation made in January, all small breweries in Ontario got only three seats of 15 – Molson, Labatt and Sleeman kept the rest.
Under the association’s proposal, each Ontario brewery will be allowed to open at least one off-site store. In the press release, OCB suggest the proposal would mean an additional 1,000 to 2,000 new brewery jobs.
“Most of breweries have at least five brands, so the bigger store could carry as many as 500 to a 1,000 brands, including some imports for trade purpose,” Darren Smith, vice-chair of Ontario Craft Brewers, said in a press release.
Earlier, Progressive Conservative MPP Todd Smith [5] already made a similar proposal called “Raise a Glass to Ontario Act [6]“. The act passed a second reading and it is now headed to a committee.
Smith said that he is hoping to accomplish the hearing in Prince Edward County and to give an opportunity for wineries’ owners and craft breweries’ owners to come to the hearing and speak out on the current situation.
The bill includes Ontario craft ciders, local wineries and craft distillers and gives them an opportunity for a cross-selling.
http://www.qnetnews.ca/wp-content/uploads/2015/03/todd-smith_cut1.mp3 [7]Smith said that the bill could bring benefits for local municipalities such as an increase in tax-base and tourism attraction.
“Prince Edward County is already on the map – it’s one of the top tourist destination in the province. And if we allow local breweries to make some money, they will grow and expand, and will have more money to advertise the region and promote tourism to Prince Edward County. I see it as the wind for the whole economy, tourism and municipalities and for that matter for the province,” he said.