Tuesday, December 20, 2016
Government reducing markup charged to NS Craft brewers
(Halifax, NS) - Inside Garrison Brewing's brewhouse Premier Stephen McNeil announced that Nova Scotia's Liberal government is changing the fee structure it currently levies on craft breweries.
The Retail Sales Markup Allocation (RSMA) that is charged to craft brewers will change from $0.50 per litre on their beer to five per cent of wholesale costs of sales made directly. The Craft Brewers of Nova Scotia (CBANS) have been lobbying for this change for some time to bring the sector inline with both the wine and spirits industry in the province.
"Craft brewers are playing an increasingly significant role in the economy and tourism in communities across the province," said Premier Stephen McNeil. "We're pleased to see the success of these entrepreneurs and look forward to this measure helping the sector keep growing."
"This change will have a positive impact in every region of the province," said Emily Tipton, president of the Craft Brewers Association of Nova Scotia. "With more craft breweries per capita than any other province in Canada, and 12 per cent of Nova Scotia's tourists visiting a craft brewery this year, this announcement will help craft breweries grow and make more world-class beer."
The change for craft brewers will take effect April 1, 2017 and will reduce the amount craft brewers pay by about $800,000 per year which will go into reinvesting in their breweries.