Beer prices near the rest of Canada
Published Wednesday October 28th, 2009
Despite increase this weekend, costs are competitive in Atlantic Canada: NB Liquor
FREDERICTON - Despite a 50 cent increase looming over New Brunswick beer drinkers this weekend, the province's prices aren't far off the national average.
As reported yesterday in the Times & Transcript, the cost of all beer at NB Liquor stores will go up by 50 cents on Sunday. The change is in response to a request from brewers to adjust the cost of their products, meaning the provincially-owned company will not profit from the move.
The change likely won't be popular, but beer prices in New Brunswick aren't too far off those in the rest of Canada, even with the increase.
For example, a 12 pack of Budweiser will cost New Brunswickers $21.49 after the new prices come into effect. That's the fourth-highest in the country, but only 51 cents above the national average of $20.98.
New Brunswick will come even with beer prices in neighbouring Nova Scotia, while remaining 76 cents cheaper than Newfoundland and Labrador and one dollar more expensive than on Prince Edward Island.
Nora Lacey, spokesperson for NB Liquor, says the costs are competitive with other provinces in Atlantic Canada.
"What typically happens with P.E.I. is that they kind of wait and see what the other provinces do and then they basically react after that," she says. "It makes sense that Newfoundland has higher beer prices because of higher transportation costs to get it there. Basically, prices are made up of supplier costs, tax, freight or transportation and mark up."
Alberta has the highest cost in Canada at $22.59 for the same product, while Quebec offers the best price at $18.85 for a 12 pack.
Rowland Downing, executive director of the Canadian Association of Liquor Jurisdictions, which represents every provincial and territorial control board in Canada, says the most significant reason for the different prices between provinces is that manufacturers request different price points to each board, depending on the costs and demands of each region.
"In a nutshell, every province can do their own thing and suppliers can do their own thing in every province. There's no restriction that a brewer has to sell the product in one province for the same price that he sells it in another province," he says.
While the cost of most wines and spirits will remain the same on Sunday, some brands will rise and others will have their prices cut.
Lacey adds that at least one brand of beer will always be on sale at NB Liquor stores, meaning customers will have the option of lower-priced beverages.
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-the Quebec price in somewhat incorrect, they have 18 packs often for $19 or so, same with 24s for $24 and so on.
-Ontario has the same thing, except they have so many brands of "discount" beer that isn't monopolized by their provincial government. They have in some cases 12 for $12.
And I agree a 50 cent discount is not a sale, it's more of an insult than anything.