The rise of breweries in Canada

canada-beer

 

The Beer Canada, an association that advocates on behalf of Canadian beer lovers, has just released the result of a research in which it points out that in the last five years there has been an exponential growth in the number of breweries and microbreweries in the whole country.

From 2013 to date, the number of licensed brewers has increased to 995, doubling the number since then.

The province that stood out the most was Alberta, with the largest number of new breweries, totalling 42 only in the year of 2018. In second place comes Ontario, with about 40 new units last year alone.

According to the association, Canada has an average of 3.4 breweries for every 100,000 people able to consume the beverage, with the province of New Brunswick as absolute champion, with about eight breweries for every 100,000 consumers.

Nevertheless, it is noted that the domestic sales of the beverage had a much lower growth than expected, only 0.3% between January and December 2018. In addition, the sale of imported beers had an unprecedented decrease of 3.4% throughout the country.

Canada is one of the countries with one of the highest beer taxes on the planet. To get an idea, taxes account for up to 47% of the final price of each unit of the beverage. Saskatchewan, one of the provinces with the highest tax on beer, saw the price rise by almost 6% only last year.

The report also brings some other interesting data, for example, sales of canned beers now represent about 62% of sales, surpassing the sales of bottled beers.

The Canadian brewing market supports about 149,000 jobs throughout the country, generating about $14 billion in Gross Domestic Product and $5.7 billion in government tax revenues.

The perspectives for the coming years are excellent, but entrepreneurs should keep in mind that high taxes and increased competition will make this market increasingly competitive.

 

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