For Ottawa craft brewers, buck-a-beer scheme falls flat

When Ontario's minimum price for a beer drops to $1just before the Labour Day weekend, craft brewers probably won't pour any effort into changing their prices.

That's according toRob McIsaac, partner and co-owner of Beyond the Pale, a craft brewery that has been operating in Ottawa since 2012.

McIsaactold CBCNews that marketing incentives offered by the provincial government such as limited-time discounts and prominent end-aisle displays at LCBO stores seem nice, but wouldn't offset the coststhe brewery would incurbylowering prices to $1 per can.

"Selling it for $1 for us, that just wouldn't be possible," he said."I don't know if we could actually sell canned water for $1 so we definitely couldn't sell premium craft beer."

Lowered from $1.25

On Tuesday Premier Doug Ford announcedthe new minimum price for beer in the province, lowered from the $1.25 pricethat hadbeen in place since 2008. Itwon't apply to beer that contains more than5.6 per cent of alcohol, or brews sold in restaurants and bars.

McIsaacsaid only bigger breweries will be able to sell beer for $1 and craft beer drinkers aren't likely to switchjust because it's cheaper.

'I don't even know if we could sell canned water for a dollar'

6 years ago

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Rob McIsaac, co-owner Beyond the Pale Brewery in Ottawa, said small breweries can't afford Premier Doug Ford's buck-a-beer challenge.

"To be honest, I don't think it's going to affect us a whole lot," he said.

McIsaac added that, ultimately, lowering the minimum price of beer from $1.25 to $1 is pretty inconsequential.

"That difference is negligible," he said. "It seems like a populist political play to try to make a whole lot of noise about something that really doesn't matter to the industry, likely won't benefit consumers, if anything else it's threatening to hurt the small business."

Brewer plans to donate

The co-founder of another local brewing company, Dominion City Brewing Co.,disagrees withFord's claimthat no tax dollars are being used to facilitate the price drop.

"Make no mistake, when you are [placing buck-a-beers atthe end of a row]at anLCBO, [in space]that you would sell for $7,000from someone who paid that last month, and you are giving it to someone else,there are tax dollars involved inincentivizingcheaper beer," JoshMcJannett said.

He would much rather see the province support brewerstrying to buy local hops and barley, he said.

Ottawa brewery takes different approach to buck-a-beer challenge

6 years ago

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The Dominion City Brewing Company in Ottawa is accepting Premier Doug Ford's buck-a-beer challenge, but not in the way he's expecting.

McJannett's company decided to respond tothe provincial government's buck-a-beerchallenge bydonating $1per can of a limited-edition blondealeto organizations that help resettle refugees in Ottawa.

"I think beer and warm welcome kind of belong together," McJannet said."I think we were just nostalgic for a time when people felt welcome and we want to do our part."

The canswill be sold for $3.50 each.

The brewery hasn't yet decided which organizations will receive the money.

The company isplanning to have the beer ready for Labour Day weekend, the same timethe provincehas pledged to institute the lower minimum price.