News   Apr 16, 2024
 256     2 
News   Apr 16, 2024
 356     1 
News   Apr 16, 2024
 712     0 

The Beer Store: Political Reasons to Keep/Kill It

I'm ok so screw everybody else. Nice.

Listen, if beer isn't your thing how about ethics? You know, monopolies and corrupt governments?
Absolutely. I should go complaint to my MPP. Arthur Potts, what are you doing about this?
 
The Beer Stores should definitely be cut lose at this point - the question remaining is whether all booze should be sold at LCBO (I think there will be logistical issues) or other types of retail outlet. Beer at the corner store? Not so sure about that - considering the amount of under the table stuff that goes on there.

AoD

Perhaps. Society has not collapsed in Quebec or Newfoundland, though, despite being able to buy beer at Esso. The Beer Store is a peculiar Ontario thing that really has no purpose today - at least the LCBO's profits make it directly into provincial coffers.
 
It's ridiculous that Ontario in the year 2014 should have one place sell beer, and only beer (but only certain kinds of beer) - and have another that sells all sorts of alcohol, including beer - but only single bottles of six packs of beer. You can't make this nonsense up. It's farcical.

I would love to know how much the megabreweries behind The Beer Store cabal gave to various political parties over the last ten years to retain their very lucrative status quo. They have certainly bought the shameful silence of a lot of politicians.

That said, I say let the Beer Store live. But let's level the playing field and get rid of these sordid back-room collusions. Let the LCBO sell beer in whatever quantities the customers want - if that means 24s, so be it. Because I am mostly a craft brew drinker, pretty much all my beer is either bought at local restos or at the local LCBO, because the Beer Store's selection is craptastic and because they penalize smaller craft brewers too much for having the effrontery to want this decrepit, Soviet-style institution to stock their wares.

The Beer Store does a good job of recycling bottles, and that's the only reason I go there anymore these last several years. But that is hardly a reason to let them keep on screwing Ontario's legions of beer drinkers; other companies can get in on the bottle recycling game. The Beer Store's outdated retail model reeks of a stiffer, more absurdly repressed era. Let's ditch their fixed advantages - let these bums fend for themselves.
 
So many amazing beers we can't buy in Ontario. For a lot of these small craft breweries, it's not worth the hassle to ship beer to Ontario. There is too many obstacles getting their beers listed at the Beer Store and LCBO. It's also expensive. They have to pay ridiculously high listing and stocking fee's to get their beer on Beer Store and LCBO shelves. This current system in Ontario only benefits the big 3 breweries.
 
Perhaps. Society has not collapsed in Quebec or Newfoundland, though, despite being able to buy beer at Esso. The Beer Store is a peculiar Ontario thing that really has no purpose today - at least the LCBO's profits make it directly into provincial coffers.

Also you can already buy beer in grocery stores, general stores, and convenience stores across the Province, just not in cities (although the government imposes a 10KM setback from other liquor stores) http://www.doingbusinesswithlcbo.com/sdre/WhatsNew/AgencyStoreMap.html
 
On the horizon, government controlled Dairy Stores and private monopoly Milk Store. Where you can buy ice cream at the Dairy Store, but not the Milk Store. Need to control lactose intolerant products.

We're kind of there already. Dairy production in Canada is controlled by federal policy that allocates quotas to farmers, sets the wholesale milk price, deters new Canadian entrants to the industry, and keeps out most foreign milk and dairy products by imposing astronomical tariffs and other restrictions. So your dairy retailer may exist in the free market, but the product they sell you is controlled by a Stalinist collective. Meaning we pay a lot more for dairy products than we should. Funnily enough eliminating agricultural supply management is something the Harper government could actually do to help consumers, but fat chance of that ever happening.
 
We're kind of there already. Dairy production in Canada is controlled by federal policy that allocates quotas to farmers, sets the wholesale milk price, deters new Canadian entrants to the industry, and keeps out most foreign milk and dairy products by imposing astronomical tariffs and other restrictions. So your dairy retailer may exist in the free market, but the product they sell you is controlled by a Stalinist collective. Meaning we pay a lot more for dairy products than we should. Funnily enough eliminating agricultural supply management is something the Harper government could actually do to help consumers, but fat chance of that ever happening.

pman, that "Stalinist collective" is for the most part the reason why our dairy products don't degrade into the type of toxic sludge available just south of the border. Trust me, the Americans would love to see the milk marketing board dismantled so that Canadian bellies are nice and open to their brand of free market competition. I'm 100% sure that consumers would benefit, no doubt.
 
LCBO, Beer Store face legal action over secret ‘sweetheart deal’


From The Globe and Mail, at this link:

Revelations of a secret deal to carve up Ontario’s beer market between the big-brewer-owned Beer Store and the provincially owned Liquor Control Board of Ontario have spawned a proposed class-action lawsuit demanding $1.4-billion in damages on behalf of beer drinkers.

A five-page notice of action filed on Friday in Toronto in Ontario Superior Court alleges the retail outlets engaged in a “conspiracy to fix, raise, maintain or stabilize prices of beer in Ontario†and “participated in illegal and secretive discussions and made agreements relating to prices and distribution areas of beer in Ontario.â€

The allegations have not been proved in court, and class-action lawsuits need to be certified, or given a green light by a judge, before they proceed as actions on behalf of a large group of people.

The court documents were filed by lawyers with London, Ont.-based Siskinds LLP on behalf of a Burlington, Ont., man, David Hughes, and a numbered company that operates a Burlington restaurant called The Poacher, with both acting as representative plaintiffs in the case.

Named in the notice of action as defendants are the LCBO and Brewers Retail Inc., which operates the Beer Store, as well as the foreign-owned beer companies that own Brewers Retail: Labatt Breweries of Canada LP, Molson Coors Canada and Sleeman Breweries Ltd.

The action demands $1.4-billion in general damages, alleging the defendants engaged in “conspiracy, intentional interference with economic interests†and conduct that is contrary to the Competition Act. The claim also demands $5-million in “punitive and exemplary damages.â€

The lawsuit was sparked by revelations in the Toronto Star this week of a secret deal between the LCBO and the Beer Store dating from June, 2000, that saw the provincially owned booze retailer agree to sell only six-packs, leaving the cheaper 12- and 24-packs to be sold only at the Beer Store. The deal originated under the Progressive Conservative government of Mike Harris, but has been sustained since by Liberal governments.

On Wednesday, Restaurants Canada, a national restaurant industry group, called on the Ontario government to cancel what it called a “sweetheart deal†and said it had asked the federal Competition Bureau to launch an investigation. The restaurant group alleges the deal restricts competition and drives up the cost of beer in restaurants and bars.

In an e-mail on Friday, Ted Moroz, president of the Beer Store, told The Globe the retailer was not aware of any litigation and had not seen a statement of claim. However, he said the company was “confident any such litigation is completely without merit and as a result, we will defend vigorously against it.â€

Mr. Moroz also said the Beer Store does not fix prices: “Individual brewers independently set their own prices which are approved by the LCBO on a weekly basis.â€
A spokeswoman with the LCBO declined to comment "pending the receipt of a formal notice of action."
 
LCBO, Beer Store face legal action over secret ‘sweetheart deal’

Named in the notice of action as defendants are the LCBO and Brewers Retail Inc., which operates the Beer Store, as well as the foreign-owned beer companies that own Brewers Retail: Labatt Breweries of Canada LP, Molson Coors Canada and Sleeman Breweries Ltd.

From The Globe and Mail, at this link:

So let me get this straight... as a consumer the government has legally restricted me to only two choices (for lack of a better word): either the government-run monopoly that inflates sales prices and limits choice or the government-sanctioned monopoly that actually owns the major now-foreign-owned breweries?

... and as an Ontario craft brewery, winery or distillery owner my product is forced out of the market unless listed by either of these monopolies who have no interest in my being there to start with, or at the very least get to decide whether i'm an advantage to them or not?

... and as an Ontario restaurant or bar owner i am restricted from selling anything other than the product listed by the two controlling monopolies?

I just don't get it! Where's the outrage here? The public should be demanding the immediate disbanding of the LCBO and Brewers Retail monopolies. This is a sober reminder that our government has no business in the running of booze (or gambling quite frankly). This is a total conflict of interest that only leads to corruption, as we are seeing. The government needs to get out and get back to its job/mandate: protecting the interests of the people of Ontario, i.e. policing the sale of spirits only, not peddling it.

And Bravo to the Poacher!! I encourage everybody to visit their web site, email them your encouragement (poacherpub.ca) and spread the word about their efforts on social media.
 
I'd like to try Toxic Sludge on a stick please. Sounds delicious.

Let's not legislate the existing booze outlets out of business, allow anyone else to sell booze too, with proper regulation of course. The public will make the right choices as usual preventing all sorts of messy contortions when the current biggies expire as they richly deserve to do in an open market.
 
In Newfoundland there are provincial liquor stores (NLC) often attached to supermarkets. You can get beer at any gas station or convenience store.

In Nova Scotia, there are private liquor stores around which sell "higher" end wine and more craft beers. That's alongside the NSLC.

The Beer Store "experience" remains a thing unique to Ontario, but why the province otherwise remains well behind practice in Atlantic Canada is fairly ridiculous. Just abolish the private monopoly. Ontario will still be a relatively teetotaler province compared to the Maritimes and Newfoundland.
 

Back
Top