Higher Beer Prices for Ontario?
CBJ – Molson Coors Canada CEO Stewart Glendinning is warning beer drinkers that changes to the Beer Store could lead to higher prices in Ontario.
Glendinning’s comments come in the wake of a new Queen’s Park idea of making beer companies pay a so-called “franchise fee.”
“My overall worry is that we create a problem for beer volumes in Ontario,” Glendinning says.
An expert financial panel recommended the fee, a cost the companies would not be allowed to pass on to consumers as a price increase. That stipulation right there is guaranteed to create fireworks.
Another recommendation is that the government-owned LCBO be allowed to sell 12-packs of beer instead of just six-packs. As of now, there is a deal in place between the LCBO and the Beer Store that prevents 12-packs and 24-packs from being sold at liquor stores.