The Government of Saskatchewan announced changes to the markup structure for beer to encourage small and medium-sized breweries to grow their production levels. As part of these changes, markup rates for most production levels were reduced to create a more gradual ramp for small and medium-sized breweries as production volume increases. The limit for qualifying for these rates was increased 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,” Minister Responsible for the Saskatchewan Liquor and Gaming Authority (SLGA) Alana Ross said. “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 products sold in the province and distributed through SLGA and third-party warehouses. The markup rates are applied to products produced not only in Saskatchewan and across Canada, but also internationally. The changes announced today have been communicated to industry, including producers, distributors and will come into effect for industry on July 1st.
