A dozen grocery stores around B.C. will have a VQA-only wine licence.

B.C. wine in grocery stores target of U.S. trade complaint

Californian vintners argue exclusive access for B.C. VQA wines is 'discriminatory.'

American wine makers want to overturn the province’s decision to let select grocery stores exclusively sell B.C. VQA wine, arguing shoppers should be able to buy international wines as well in those outlets.

If successful, the challenge under international trade agreements could transform or even put a cork in the centrepiece of the B.C. government’s liquor policy reforms.

The California Wine Institute submitted its complaints to the Office of the United States Trade Representative in an Oct. 27 letter stating that the regulations were “blatantly discriminatory.”

The B.C. government announced in 2014 that as of April 1, 2015, grocery stores would be able to apply for a permit to sell B.C. wine on their shelves under one of two different models.

A VQA-only licence allows stores to bypass the rule they be at least one kilometre from liquor stores, as well as avoiding the ‘store within a store’ model set out for non-B.C. wine.

California Wine Institute vice-president and international trade counsel Tom Lafaille said the organization has opposed the regulations since their implementation.

“We were assured by the B.C. government and industry that imported wines would still be able to be sold in B.C. grocery stores,” Lafaille said, adding that this two-part model doesn’t satisfy that promise.

“We’re working with industry and governments… this is an international effort to free up grocery store shelves for non-B.C. wine.”

The VQA-only permit goes against Canada’s international trade commitments, said Lafaille. The submission to the Office of the U.S. Trade Representative noted that the U.S. and Argentina, Australia, Chile, Mexico, New Zealand and the United Nations filed formal objections with the B.C. government challenging the new system on April 29, 2016.

While the future of the North American Free Trade Agreement has been called into question by U.S. President-elect Donald Trump’s promise to renegotiate or rip it up, U.S. wine lobbyists aren’t relying solely on NAFTA.

The letter stated that as new regulations appear to favour B.C. wine over imported wine, the nations question “whether they are consistent with Canada’s commitments as a member of the World Trade Organization – specifically the national treatment obligations under Article III:4 of the General Agreement on Tariffs and Trade 1994.”

But the province disagrees.

“To our knowledge, no regulatory tariff action has taken place and no trade injunctions has been filed,” said Ministry of Small Business and Red Tape Reduction communications director Bill Anderson.

“The B.C. wine on shelves mode will never see more than 60 partners and the liquor licences that are in these grocery stores are the same VQA licences that have existed in B.C. for years.”

Currently, Anderson added that only 12 grocery stores – six per cent of the total amount in B.C. – will have VQA-only licences, including one in South Surrey.

 

 

@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter

 

 

 

Just Posted

Victoria police investigate dumpster fire in gated alleyway

VicPD and Victoria Fire Department respond to fire on Johnson Street

Pacific FC signs 24-year-old defensive midfielder from Panama

González joins the roster following the team’s 2-2 tie game against York9 FC.

Pacific FC game ends with tie against York9 on Saturday

PFC’s defender scored an own goal off a deflection, putting the game at 2-2

Famed Syrian artist displays paintings created while living in refugee camps

Farid Abdulbaki’s ‘Between Two Worlds’ exhibit will be displayed May 24-26 in Victoria

Mighty Garage Sale offers boost to Metchosin groups

Metchosin Community Association holds annual sale on May 25 and 26

VIDEO: Horseshoe pitching association appeals to Greater Victora youngsters

Youth horseshoe pitching club offers fun for all ages, says GVHPA

‘Teams that win are tight’: B.C. Lions search for chemistry at training camp

The Lions added more than 50 new faces over the off-season, from coaching staff to key players

Rescue crews suspend search for Okanagan kayaker missing for three days

71-year-old Zygmunt Janiewicz was reported missing Friday

B.C. VIEWS: Reality of our plastic recycling routine exposed

Turns out dear old China wasn’t doing such a great job

B.C. ferry stops to let black bear swim past near Nanaimo

Queen of Oak Bay brakes for wildlife in Nanaimo’s Departure Bay

Mother dead, child in critical condition after carbon monoxide poisoning at Shuswap campground

The woman was found unresponsive insider her tent and the youth was taken via air ambulance to hospital

Canada’s parole officers say correctional system has reached breaking point

About half of Canada’s federal parole officers work inside penitentiaries and correctional institutions

Montreal researchers create audible hockey puck for visually impaired players

Three years ago, Gilles Ouellet came up with the idea for a puck that makes a continuous sound

Vancouver Island MusicFest: ‘House bands’ from the golden age of rock and R&B

Some of America’s greatest session musicians are coming to the Comox Valley this summer

Most Read