A bubbling booze war between B.C. and Alberta could lead to changes that some say could have devastating impacts on their industry.
Last month, Alberta began blocking imports of B.C. wine, claiming that 106 wineries were guilty of bypassing liquor agencies by using direct-to-consumer shipping.
“Suppliers from other provinces that offer direct-to-consumer shipping are in contravention of provincial legislation,” AGLC said in a statement to Global News.
Then, this week, Alberta upped the ante, saying it was now eyeing B.C. craft brewers and distillers.
However, Alberta noted this war could end if B.C. opened its borders to alcohol producers just east of the Rocky Mountains.
On the west side of the Rockies, B.C. beer and spirits producers say they’re already dealing with high taxes and other rising costs, and that an open border will be just another blow to the industry.
“Clearly there’s not an equitable trade relationship at play here,” said Dale Nally, Alberta’s minister of red tape reduction.
While the politics plays out, it’s B.C. producers who are paying the price, as wine growers are still locked out of Alberta. And craft brewers and distillers could be next.
Some distillers say if Alberta gets its way, it’ll hurt the local market.
“I think it’s hard enough to bring people out, let alone you’re fighting with your neighbour,” said Rod Rindt of Roots and Wings Distillery.
“When they flood the market with either commercial distilleries, breweries or wineries, it’s just going to drive the prices down and dilute the market.”
The Roots and Wings owner added that not even B.C. distillers are exempt from the province’s tax system, which drives up the cost of a bottle.
“You’re paying a tremendous amount in tax,” said Rindt.
He also said, “I think people are trying to take the whole pie and then leave the guys on the ground making the product in the dark.”
In an email to Global News, the B.C. Craft Brewers Guild said it wasn’t aware of any implications from the current dispute, but it would continue to monitor the situation.
Meanwhile, high-level talks are continuing between B.C. and Alberta to work out the dispute.
“I want to ensure that we have agreements in place that are fair to both our wine industry, spirits and beer industry and that’s fair to Alberta,” said Mike Farnworth, B.C.’s minister of public safety and solicitor general.
“We want to find a way to resolve this dispute. That’s why my staff has engaged with Alberta and I have spoken with the minister.”
— with files from Jennifer Ivanov
Comments