In April of this year, beer aficionados may find their wallets a bit lighter as federal taxes on beer are slated to increase by 4.7 per cent, which could tack on an additional 20 cents to every case of 24 come April 1. The excise tax also applies to wine and spirits.

This impending hike is brewing discontent among both consumers and industry representatives.

The President of Beer Canada, CJ Helie, says the federal government imposed the automatic annual increase in 2017, tying it to mirror inflation numbers. But that was a time when inflation was relatively low, unlike now.

He says the hospitality industry is still trying to recover from two or three years of COVID and a subsequent spike in operating costs including a big jump in the price of barley.

There are about 20 brewers in Newfoundland and Labrador.

Packaging costs are up by 40 per cent, transportation costs have doubled, says Helie. He’s concerned that piling on more taxes will put some brewers out of business, not to mention bars and restaurants.

Beer Canada is calling on Ottawa to back off on the tax increase.