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

Masset fishing derby proves to be a catch

All ages participated in the competition to bring in the top salmon and halibut hauls

Yarn Bombing mastermind is back in town

Big Canada Day longweekend in the works

Maritime Museum project receives legacy grant

A special project of the Dixon Entrance Maritime Museum Society has been… Continue reading

Richardson Ranch celebrating 100 years of family and ranching in Haida Gwaii

Tlell Polled Hereford’s continue to win awards while the ranch becomes a popular spot for visitors

Sustainble economy flourishing in Haida Gwaii and Great Bear Rainforest thanks to First Nations investments

From 2008-2018, funding initiatives led to more than $286 million in new investments

VIDEO: Trans Mountain expansion project gets green light, again

Prime Minister Justin Trudeau announced the decision in Ottawa on Tuesday afternoon

MPs hear retired B.C. nurse’s petition to change compensation for fatal medical errors

Teri McGrath wants provinces to implement no-fault system for medical errors

Horgan says he’ll still defend B.C. coast after second Trans Mountain approval

Meanwhile, one B.C. First Nation has announced plans for a legal challenge

Demonstrators on either side of Trans Mountain debate clash in Vancouver

Crowd heard from member of Indigenous-led coalition that hopes to buy 51% of expansion project

Grieving B.C. mom hopes Facebook message leads to new investigation into son’s Surrey homicide

Criminal Justice Branch didn’t lay charges, concluding no substantial likelihood of murder or manslaughter conviction

B.C.’s measles vaccination program gains traction in May

More than 15,000 doses of the MMR vaccine has been administered across the province

B.C. farmers concerned Agricultural Land Reserve changes choking their livelihood

Dozens voice concerns at special meeting hosted on Vancouver Island

UPDATE: Two-year-old involved in Chilliwack pool drowning has died

Toddler was reported to not be breathing as air ambulance called out Thursday afternoon

Family frustrated Terrace dad with advanced cancer must wait weeks for treatment

‘We can see his health declining every day,’ daughter says

Most Read