Buying beer now costs 6.8% more than in fiscal 2020, prices for alcoholic beverages rose much less, 2.4%.
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Breweries are booming, but British Columbians drink less beer across Canada, according to emerging data.
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Industry professionals attribute the consumption gap to the rising costs of beer, compared to spirits, and a growing list of ready-to-drink cocktails available on retail shelves.
British Columbians drink an average of 64.8 liters of beer each year. They are far outnumbered by residents of Newfoundland and Labrador, who consume an average of 90.6 litres. Those in Quebec and New Brunswick save 77.4 liters per year, details a report by Beer Canada, a group representing 50 Canadian brewers.
There’s even more variety of beer to choose from at liquor stores, as the number of BC breweries increased 15% in 2021, to a total of 230 operations.
“We’ve seen an explosion of breweries coming to market since 2014,” said Rhandi Clarke, who works in management at JAK’s Beer Wine & Spirits, a 13-location liquor store operation in BC.
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Clarke said part of what’s keeping more British Columbians from buying beer is price. “In general, locally produced alcoholic products have become very expensive due to inflation.”
Buying beer now costs 6.8% more than it did in fiscal 2020, while prices for alcoholic beverages are up much less, at 2.4%, according to the industry report.
“The cost of grain alone, used as malt for brewing, is up 40 percent in the last year,” Clarke said.
These combined trends are causing British Columbians to choose to buy spirits or non-alcoholic beverages.
“We’re seeing a lot of low-calorie options gaining in popularity with the summer,” Clarke said. For JAK’s, gin and tequila-based beverages currently account for about 40 percent of the company’s canned goods sales.
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Consumers who still choose to buy six-packs do so with their local brewer in mind.
“We’re seeing the majority of the beer being sold in our stores coming from the closest breweries to that specific retail location,” Clarke said.
“It shows us that people want to support their community, feel like they’re part of something.”
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