We would like to salute the activists of the CAQ, gathered in convention this weekend, for having had the courage to adopt a proposal aimed at “exempting alcohol producers from the constraints of the Société des alcools du Québec ( SAQ) when they sell on production sites,” especially considering that CAQ MPs refused to even debate a similar motion tabled in the National Assembly by PQ MP Pascal Bérubé last month. .
Unfortunately, Finance Minister Eric Girard immediately rejected this proposal. This attitude echoes that of the management of the SAQ, which has refused to discuss this issue with the Union québécoise des microdistilleries (UQMD) for several years. The reason given is that it is impossible to abolish the SAQ mark-up, because Quebec is bound by international trade agreements which say that we must treat foreign companies as we treat our national companies.
PHOTO PROVIDED BY THE AUTHORS
Stéphane Casaubon and Joëlle Bolduc, from the peasant distillery Les Esprits tortus
This issue is real and we must take it seriously. But the fact that the SAQ deducts an amount to cover its marketing expenses when it does not market for distilleries that sell at their place of production is also a real issue that must also be taken seriously. . The only way to find a solution is for the two parties to sit down to talk and together find a way forward that would be satisfactory for everyone.
There are solutions that would make it possible to respect our trade agreements while relaxing the current tax system, which is absolutely unfair to small spirits producers.
But to find them, we must establish a real dialogue between the parties. For the management of the SAQ to agree to discuss with the microdistillers, the Minister of Finance will have to give it the mandate to do so. The solution is therefore partly political. Perhaps the Prime Minister himself should intervene and tell Mr. Girard to settle this file.
Another important issue for microdistilleries mentioned by Mr. Girard is the “strict regulations” on distiller’s permits which allow distilleries holding an “artisanal” permit to be exempted from paying the SAQ mark-up for on-site sales. production. But there are two main problems with this law. First, this type of permit is based on the nature of the raw materials that are processed while excluding several of them, notably cereals. Secondly, the methods and volumes of production are not taken into consideration in any way, whereas the latter are at the heart of what defines craftsmanship (production methods with little or no mechanization and automation, and, consequently, smaller volumes of production). What is missing from this law is the notion of “small-scale distillery” which would provide for a more progressive tax regime.
Is Mr. Girard ready to work on this front? As owners of a small, very artisanal distillery that does not fit into any of the boxes on the “artisanal” permit application form, which sells exclusively to the distillery but sees 70% of its revenue go to taxes of all kinds , we would like the Minister of Finance to change his position and ask the management of the SAQ to discuss with the microdistillers and agree to review the regulatory framework surrounding the production and sale of spirits in Quebec.