Restaurants Canada recommends LCBO sell beer in cases
By Canadian Pizza
Features Business and Operations MarketingSept. 10, 2014, Toronto – Restaurants Canada
recommends the Ontario government get rid of a 14-year-old agreement
that restricts competition in the beer sales system.
Sept. 10, 2014, Toronto – Restaurants Canada
recommends the Ontario government get rid of a 14-year-old agreement
that restricts competition in the beer sales system.
In a presentation
to the Premier’s Advisory Council on Government Assets, the association noted the LCBO is forgoing over $500 million annually by
protecting The Beer Store monopoly on 12- and 24-packs of beer.
“It is inconceivable that the government would protect a
foreign-controlled monopoly like The Beer Store to the detriment of
taxpayers,” said James Rilett, Restaurants Canada’s Ontario vice-president, in a news release. “This is bad for taxpayers, consumers, and small businesses.”
In the 2000 agreement, with the Orwellian name “Serving Ontario Beer
Consumers: A framework for improved cooperation & planning between
the LCBO & BRI,” the government gave away the right for the LCBO to
compete with The Beer Store on certain packaging.
“Changing the rules is not just good for taxpayers, it is good public
policy,” said Rilett. “It would give consumers more choice and
convenience, while saving small businesses millions of dollars.”
Ontario restaurants, bars and pubs pay up to 50 per cent more than the
general public for beer at The Beer Store – a premium of more than $75
million per year.
Submission attached: Restaurants Canada submission to Premier’s Advisory Council on Government Assets.
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