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Sask. lowers beer markup to boost small, medium brewery growth

The Sask. government is lowering beer markup rates to help small and medium-sized breweries expand production and stay competitive.
Sask 9Mile1
Saskatoon's 9 Mile Brewery has been serving local craft beer since 2015. File photo

REGINA — The Government of Saskatchewan has announced changes to the province’s beer markup structure to encourage growth among small and medium-sized breweries.

The new structure, revealed May 29, reduces markup rates for most production levels to support breweries as they increase production, while also increasing the production limit to qualify for these rates from 400,000 to 500,000 hectolitres.

"Small and medium-sized breweries employ many people locally and are a source of pride for Saskatchewan and across Canada," said Alana Ross, 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 is applied to all products sold in the province and distributed through SLGA and third-party warehouses. The revised rates apply not only to products made in Saskatchewan and Canada, but also to those imported internationally.

The changes were communicated to producers and distributors and will take effect for the industry on July 1.

 

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