The Government of Saskatchewan is implementing changes to its beer markup system in an effort to support the expansion of small and medium-sized breweries across the province.
Announced Friday, the revised structure will reduce markup rates across most production levels, enabling a more gradual increase in costs as breweries grow. Additionally, the threshold to qualify for these lower rates will rise from 400,000 to 500,000 hectolitres of annual production.
“Small and medium-sized breweries employ many people locally and are a source of pride for Saskatchewan and across Canada,” stated Alana Ross, the minister responsible for the Saskatchewan Liquor and Gaming Authority (SLGA). “Encouraging them to grow is particularly important in a time where consumers are increasingly interested in supporting Saskatchewan and Canadian businesses.”
Markup rates apply to all beer sold within the province, regardless of whether it is produced locally, nationally, or internationally. These rates impact beer distributed through the SLGA as well as through third-party warehouses.
The updated markup structure has been communicated to industry stakeholders, including producers and distributors, and will come into effect on July 1.
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