NORTH VANCOUVER – As British Columbia continues to grow its reputation as the craft beer capital of Canada, craft brewers on the North Shore will now benefit from an additional $10 million per year in economic support thanks to a significant reduction in the mark-up rate for craft beer products.
Effective July 3, 2016, the mark-up rate for small and regional breweries across B.C. will be reduced by approximately 25 per cent per litre, ensuring craft breweries will have increased financial capacity to grow and expand. These changes further improve mark-up rates for craft beer that were announced last year when government introduced the new wholesale pricing model, and will enable craft breweries to increase production and create jobs, while increasing the availability of quality made-in-B.C. products.
As part of these new changes, craft breweries will also no longer be required to remit the supplier price of their products to the Liquor Distribution Branch.
- The B.C. craft beer industry has seen exponential growth over the past few years, increasing from 54 breweries in 2010 to 118 breweries in 2015, with up to 20 new breweries on the horizon.
- Provincial efforts to cut red tape and increase supports for the industry have resulted in a 35% increase in the amount of craft beer produced in B.C. over the last year.
- Microbreweries now have opportunities to showcase their products at their local BC Liquor Stores and can access new revenue streams, thanks to changes that allow on-site tasting lounges at breweries and beer sales at artisan and farmers’ markets.
- The mark-up rate is the revenue generated by the Province from the sale of liquor products.
- To date, 41 of the 73 recommendations from the Liquor Policy Review have been implemented. Work to continue implementing additional recommendations is ongoing.
- Read the full list of Liquor Policy Review recommendations: www2.gov.bc.ca/local/haveyoursay/Docs/liquor_policy_review_report.pdf