As the voice of craft brewers in Ontario, we join other sectors in expressing relief that the immediate threat of U.S. tariffs have been paused for 30 days.

The need to support locally-owned craft breweries and other producers, however, must remain front and centre in the days and weeks ahead and it is critical that we take steps to put our local beverage alcohol industry in a position to succeed ahead of the potential for tariffs next month.

While U.S. made booze will remain on store shelves for now as a result of the pause, this has not removed the need for us as a province to put Ontario and Canadian-owned products front and centre. That is why we continue to call on the provincial government and the LCBO to put policies in place over the next 30 days that truly support locally-owned craft brewers and other Ontario owned beverage alcohol producers.

The consumer is rightly looking for local options and there are many ways that the LCBO can immediately improve the choice and availability of locally-owned craft beer, and help craft brewers weather the instability of a potential trade war. These include establishing minimum shelf space requirements for locally-owned craft beer on LCBO shelves like are in place for grocery and convenience stores, stocking hyper local craft breweries’ beer at their 10 closest LCBO stores, and dedicated promotion for locally-owned craft brewers both in-store and in Food & Drink magazine to name a few.

We know that these moves would be massively positive for both these small businesses and the province alike – it would help Ontario craft brewers withstand the coming tariffs, create more good jobs in our communities, and would put more money back into the local economy at this critical time.

While these measures are important in the short-term, it is critical that the government fast track its planned and long-needed tax reforms for the craft beer sector. Ontario currently has the highest tax rates on craft brewers in all of Canada. These high taxes have long been the biggest threat to the future of the craft beer sector and are holding locally-owned breweries back. The looming threat of U.S. tariffs makes addressing them more urgent than ever.

As Ontario looks to support home-grown sectors and industries, it is critical that it move to immediately lower Ontario’s marginal tax rate in line with Alberta, which is 8X LESS than Ontario, ahead of March 1st to help ensure craft breweries are able to sustain a potential trade war and in a position to compete, grow, and thrive now and into the future.

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SOURCE: Ontario Craft Brewers (Press Release)
PHOTO CREDIT: Ontario Craft Brewers