Poor Regulation of Cellared in Canada Wines in the News

Details

Written by Mark Hicken Mark Hicken

Category: Latest News Latest News

Published: 19 September 2009 19 September 2009

British Columbia's inadequate wine laws were in the news again this weekend as the "cellared in Canada" issue got prominent coverage on CTV News, BCTV, the CBC and in the Vancouver Sun. This story is an important one because it relates to a long standing practice where some of B.C.'s largest wineries sell imported wine with misleading packaging such that consumers think that it is B.C. wine. The LDB is complicit in this because they list and display these products as being from British Columbia when in reality they consist of almost all imported juice.

 

The full story on the cellared in Canada controversy is on my marketing site.

BC Wine Institute - VQA Retail Issues Heat Up

Details

Written by Mark Hicken Mark Hicken

Category: Latest News Latest News

Published: 04 September 2009 04 September 2009

Ongoing issues between the BC Wine Institute and the operators of the VQA chain of retail stores have blown up yet again after the BCWI indicated that it intends to revoke the licenses of two VQA stores, Carol's Wines in Coquitlam and Arrowsmith Wine Shoppe in Parksville. The problems mostly arise from the patchwork nature of BC's retail licensing system which is long overdue for reform. Unfortunately, it looks like only government action in the form of a complete overhaul of the system will resolve these issues for the long term. The full story is here on my marketing site, winemarketing.ca.

BC Budget: No News is Good News

Details

Written by Mark Hicken Mark Hicken

Category: Latest News Latest News

Published: 02 September 2009 02 September 2009

As expected by many, the BC Budget for 2009 which was delivered yesterday did not contain any measures with immediately apparent impact on the wine industry. This was somewhat predictable since BC wine prices are now so high at retail that there really is no room for the government to try and extract additional revenue unless they reform the distribution system (more on that later). The one lingering issue is the implementation of the HST scheduled for next July. The combined HST rate on wine will be 12% which is actually 3% lower than the existing combined rates of 10% PST and 5% GST. As a result, there would be an actual reduction on the tax rates applicable to wine if the government does not act to increase retail prices by other means (such as increasing other fees or liquor board markups). The reduction in taxes is extremely small when compared to the usurious rates of liquor board markup (117%) and other fees. However, it will be interesting to see how the government handles the difference. Tax policy must be applied fairly and consistently as between imported and domestic wine. However, liquor board markup is currently not applied fairly so there is an interesting problem on the horizon. Maybe the government will just give consumers a break and let them have a 3% cut? Just wishful thinking.

Wine Law Conference November 2009

Details

Written by Mark Hicken Mark Hicken

Category: Latest News Latest News

Published: 25 August 2009 25 August 2009

I am co-chairing a conference (with Chris Wilson of Bull Housser & Tupper) on "Winery and Wine Distribution Law." which is set for November 12 and 13 here in Vancouver. We have a great lineup of speakers from both the wine industry and the legal side. Plus we have a wine tasting scheduled for the Thursday evening with the incomparable team of Sid Cross and David Scholefield. The full program brochure is here.

There's a 50% discount on your registration fees if you are part of the winery business ... just register online but choose the student/new job option to get the discount (the winery discount is set out in the "Tuition" part of the program brochure).