EDMONTON – A Saskatchewan brewer has won a temporary injunction to not pay Alberta’s new flat rate markup on beer.
Saskatoon-based Great Western Brewing Co. will instead pay a reduced rate under an old sliding scale until both sides can air their full arguments in court next summer.
The head of the brewery, Michael Micovcin, says the $1.25 per litre flat rate imposed by the province in August contravenes free-trade rules and was having a significant impact on company sales.
Alberta Finance Minister Joe Ceci brought in the flat rate while also introducing a rebate program to help out small-scale provincial brewers.
Previously, Alberta brewers paid less on the markup, with a sliding scale starting as low as 10 cents a litre.
Brewers in Saskatchewan and B.C. got the same deal under the free trade New West Partnership Agreement.