Beer Canada is praising the Government of Ontario for its decision to freeze the Ontario Beer Basic Tax, providing much-needed relief to the province’s brewing industry. The freeze, which halts any increases to the provincial beer tax, is seen as a significant step in supporting local brewers and the broader beer value chain.
CJ Hélie, President of Beer Canada, expressed the organization’s approval of the decision, stating, “We are very pleased with the Ontario government’s move to freeze the Beer Basic Tax. This decision provides crucial stability for brewers and helps alleviate some of the financial pressures that have been building due to rising costs and inflation.”
The brewing industry, like many other sectors, has been facing significant challenges in recent years, with inflation, supply chain issues, and increased operational costs putting strain on businesses.
By freezing the tax, Ontario’s government is offering local brewers breathing room to manage these challenges and continue contributing to the province’s economy.
Hélie noted that this freeze will benefit not only brewers but also the wider network of businesses connected to the industry. “From grain growers to restaurants, the entire beer supply chain will feel the positive effects of this decision,” he said.
Beer Canada has long advocated for measures to reduce the tax burden on brewers, citing Canada’s position as one of the highest beer-taxing countries among the G7 nations.
The Ontario government’s move is being celebrated as a step in the right direction, particularly for small and mid-sized breweries that rely heavily on tax relief to stay competitive.
The freeze on the Ontario Beer Basic Tax comes at a critical time for the industry, providing a boost to local brewers and allowing them to focus on innovation and growth without the looming concern of increased tax burdens. Beer Canada hopes this will inspire other provinces to consider similar relief measures to support the national brewing industry.
“We appreciate the Ontario government’s support and urge other provinces and the federal government to take note of the positive impact this kind of decision can have on the economy, jobs, and consumers,” Hélie added.
