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U.S. whines over wine

UPDATE: 1:50 p.m.

B.C. says it will defend against a trade law challenge by the U.S. government over the sale of B.C. wine in grocery stores.

“We support the growth of the industry, and we will defend it against this challenge," said Shirley Bond, the provincial minister of jobs, tourism and skills training. 

"The B.C. government is confident that we are complying with B.C.’s and Canada’s international trade obligations. We will continue to work closely with Global Affairs Canada to ensure that B.C.’s liquor policies fall within these trade obligations, and we will continue to work with GAC through the upcoming consultation process."

She said the number of liquor stores in B.C. selling imported alcohol has increased significantly since 1987 from 344 to about 1,100 today.

“Trade agreements, such as NAFTA, allow for a number of private wine outlets that sell only B.C. wine, and we are confident in the approach we have taken," she said.


ORIGINAL: 10:05 a.m.

The sale of B.C. wines in some of the province's grocery stores is being challenged by the United States government as a breach of Canada's commitments to the World Trade Organization.

The American government says the decision to allow only B.C. wines to be sold in grocery stores is damaging to U.S. wine makers.

U.S. Trade Representative Michael Froman says the province's regulations provide a substantial competitive advantage for B.C. wines.

The U.S. has sent a letter to the Canadian government asking for consultations as a first step in trying to resolve the dispute.

If that fails, the U.S. says it may request that the WTO establish a dispute settlement panel.

B.C. amended legislation in April 2015 to allow wine sales in grocery stores and held an auction about a year later for licences to sell wines.

– The Canadian Press



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