Ontario authorizes the sale of wine in 300 grocery stores

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Ontario Premier Kathleen Wynne has announced that the province will allow for the sale of wine in up to 300 grocery stores, starting with about 70 supermarkets by this fall.

The initial grouping of 70 “universal” licences for grocery stores to sell wine and beer will be distributed this summer, with the goal to have wine in stores this fall. Grocers will not be permitted to sell wines for less than $10.95.

Of these initial licences for grocery stores, half will be restricted to selling only Ontario Vintners Quality Alliance (VQA) wines for the first three years, while the rest will be able to sell Canadian and international wines as well. After three years, those stores’ restrictions will be lifted, and every three years the province would roll out a new tranche of Ontario-only licences in a bid to support Ontario wineries.

As with the beer licences allocated earlier this year, Ontario will accept bids from grocers interested in selling wine. Of the initial 70 licenses, 18 will be reserved for independent grocers, with the remaining 52 going to both large chain and independent grocers.

“At the end of the day, the government sets the framework and it’s our role to negotiate the best deal we can for independents,” says Gary Sands, vice-president of public policy with the Canadian Federation of Independent Grocers. “So within that framework, we’re happy to have 25% of the licences reserved towards independents.”

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