Alberta and British Columbia Reach Agreement on Digital Warehouse for Cross-Provincial Wine Sales
Alberta and British Columbia have resolved a six-month trade disagreement over wine sales by agreeing on a virtual marketplace for their products.
The conflict began in January when Alberta Gaming, Liquor and Cannabis (AGLC) informed B.C. winemakers that they could not sell directly to consumers.
AGLC stated that it would prohibit shipments from wineries unless they agreed to cease direct-to-consumer sales to maintain Alberta’s liquor model integrity and protect retailers and liquor agents in the province.
On July 16, Alberta Premier Danielle Smith and B.C. Premier David Eby announced the signing of a memorandum of understanding allowing wine producers in each province to sell directly to consumers.
Premier Eby expressed satisfaction that B.C. wine producers could resume direct sales to Alberta residents, highlighting the wine industry as a point of pride in British Columbia.
One of Alberta’s concerns regarding direct-to-consumer sales was tax avoidance by wine producers, as stated in an Alberta Government news release.
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The release stated that “those issues have now been addressed.”
Premier Smith expressed the government’s concern for “fair treatment” between retailers, emphasizing the need for equal treatment for all selling into the market through liquor stores.
As part of the agreement, a bilateral working group will be set up between the provinces to enable electronic access to B.C. wines, according to an Alberta government news release.
Premier Smith mentioned that the agreement ensures consistent charges for all wines sold in Alberta, with a review planned after a year.
“We’ll assess how things are progressing, and we’ll revisit our agreement,” she added.
The Greater Vancouver Board of Trade welcomed the news, highlighting the stability it brings to B.C.’s wine industry.
“This announcement brings welcome stability to B.C.’s award-winning wine industry,” Bridgitte Anderson, president and CEO of the board, said in a statement emailed to The Epoch Times. “Together, consumers in Alberta, Saskatchewan, and Manitoba consume over 62 million litres of B.C. wine each year.
Wine Producers Concerned
In response to the initial Alberta complaint, the Wine Growers of British Columbia responded in January, stating that AGLC’s jurisdiction only applied to Alberta and not B.C. wine producers.
The wine growers questioned the “political motivation” behind the complaint, citing financial hardships faced by local growers and producers due to poor weather in the past year.
Miles Prodan, president and CEO of the organization, emphasized the necessity of a working free-trade relationship between Alberta and British Columbia for the country’s economic well-being.
B.C.’s Parliamentary Secretary for Rural Development Roly Russell stated that Alberta’s actions would have “serious repercussions” on B.C. producers already struggling with adverse weather conditions.
The Canadian Press contributed to this article.
