Page 70 - Grapevine May-June 2019
P. 70

International News




               Canada Vows to Loosen



               Federal Barriers to




               Interprovincial Wine Trade


               By: Briana Tomkinson
               F     or almost a century, Canadian wineries         to your home from a winery in B.C. or Ontario.

                                                                    Canadians who flout the rules risk fines, and even
                     have been prevented from shipping their
                     wines direct-ly to customers living in other
               provinces. After the most recent federal budget      jail time in some instances, he said.
               announcement earlier this year, however, wine          “It’s the 21st Century, and yet we’re still restricted
               industry leaders say they are cautiously optimistic   from the full use of wine clubs, the internet, and
               that Prohibi-tion-era rules restricting trade could   social media because we could only sell to people
               soon be relaxed—a move which industry leaders        who reside in the province,” Paszkow-ski said.
               say could be a game-changer for Canada’s many
               boutique wineries.                                     Although online ordering from wineries or wine
                                                                    clubs is uncommon, polling has shown that a strong
                 In March, Prime Minister Justin Trudeau’s gov-     majority of Canadian consumers would like to be
               ernment announced that the 2019 federal budget       able to have wine shipped to their doorsteps. A
               would remove a requirement that alcohol shipped      Gandalf Group poll commissioned by the Canadian
               across provincial borders must be sold or con-       Vintners Association in 2017 found 87% of consum-
               signed to a provincial liquor authority. According   ers believed Canadians should be allowed to order
               to Canadian Vintners Association presi-dent Dan      wine to their home from a winery.
               Paszkowski, if the proposed rule change passes in
               June, it would remove the last federal barrier to      In Canada, the vast majority of wine consum-
               internal trade in alcohol.                           ers shop at provincially run liquor stores. In the
                                                                    poll, between 80% and 93% of customers said
                 The only catch? Provincial governments still have   they bought their wine from a government-man-
               the power to make their own rules regulating the     dated liquor outlet. The one provincial exception
               sale and distribution of alcohol within their bor-   was Alberta, where only 15% buy from a govern-
               ders.                                                ment-run store, and 80% buy from a privately
                                                                    owned and operated liquor store.
                 The last time the feds relaxed their rules, only a
               handful of provinces chose to follow suit. In 2012,     Only 19% of Canadians said they bought wine
               the federal government relaxed certain restrictions   directly from wineries, though this option was
               on interprovincial trade that had been in place      more popular in British Columbia, where 27% said
               since 1928, officially allowing Canadians to bring   they did so. Only about 2% of customers said they
               alcohol across borders for personal use. However,    shopped online at a government-run online store,
               Paszkowski said only three provinces—British         private online store or wine club. Very few con-
               Columbia, Manitoba and Nova Scotia—chose to          sumers, just 9%, were even aware of the option of
               update their regulations to allow residents to ship   ordering wine directly from a winery.
               wine to their doorsteps.
                                                                      Although government-run liquor stores have a
                 In other provinces like Alberta, for example,      virtual monopoly on sales, domestically produ-ced
               Paszkowski said citizens can bring in as much wine   wine has little to no representation on store
               as they can carry on their person. However, it       shelves. In seven out of 10 provinces, Vintners
               remains illegal to have even one bottle cou-riered   Quality Alliance (VQA) wines—a designation

               Page 68                            The Grapevine • May - June 2019                         877-892-5332





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