Friday, April 5, 2013

Florida Breweries vs. Anheuser-Busch Distributors

Big beer companies are watching craft breweries grow exponentially and are trying their best to halt the expansion. In this instance, they are fighting a bill to legalize 64 ounce beer containers, known to many of us as growlers, to be sold at breweries in Florida. There are three states where filling up a growler is illegal, Utah and Mississippi being the other two. The odd thing in Florida is that it is LEGAL to get a 32 or 128 ounce (gallon) growlers but not the usual 64 ounce ones. David Wescott, a craft beer enthusiast like many of you, said "It makes no sense to me. It's just not logical — 128s are probably too much, 32 is too small. I'd love to get a 64."


Can you  imagine going to Ballast point and not being able to get a growler of Sculpin? 

Two law makers have supported the effort to legalize 64 ounce growlers and have filed bills to be to be heard but a group of beer distributors are fighting both measures and might have effectively killed the bills.  Rep. Katie Edwards, D-Plantation doesn't even drink beer but her support of the bills is based on economic growth. The half-gallon size growlers are an industry standard and are sold at breweries around the country, helping to expand the small businesses. However the Florida Beer Wholesalers Association, which represents all the state's Anheuser-Busch distributors, are opposing the bill. Their lobbyist, Mitch Rubin, was able to convince Rep. Debbie Mayfield, R-Vero Beach, not to give it a hearing at the House Business and Professional Regulation Subcommittee, which she chairs. Without a House hearing, the bill is essentially dead. 


32oz & 64oz Stone Growlers
Rubin's argument is to support the three-tier system of alcohol distribution the federal government set up after Prohibition, which is that alcoholic products are passed through a distributor to get to retailers. Exceptions have been made for purchases where products are produced, such as buying bottles of wine at a winery and Florida law does allow take-home sales at breweries. But Rubin argues that the language was meant only to allow sales at Busch Gardens in Tampa when Anheuser-Busch brewed beer at what is now a major theme park. He said it was never intended to allow breweries to sell directly to consumers. So basically he is saying that it is ok for big beer companies to sell directly to the customers but not for the smaller craft breweries to do it. 


Lost Abbey/Port Brewing's tasting room

Most Brewers say growlers and tasting rooms are an important part of growing business, especially when certain beers aren't readily available in stores. The larger profit margins on beer sold at Florida breweries helps them reinvest the money to produce more beer, which creates more jobs. Unlike beer giants such as Anheuser-Busch and MillerCoors, which have automated systems that allow a few people to brew massive amounts of beer, craft brewing is labor intensive. In order to brew more, small breweries have to hire more people. It is believed that the wholesalers association is opposing the growler bill to protect its profits, as growlers and brewery tasting rooms help craft brewers expand their market presence.

Green Flash Tasting Room


It is also widely believed that if the big beer companies can shut the tasting rooms down, they can get rid of some the competition. However, the Beer Industry of Florida, which counts MillerCoors distributors among its members, supports legalizing the 64-ounce growlers because the industry group doesn't see the jugs as a threat to the three-tier system. This fight continues in Florida, lets help out however we can and continue to drink craft beer and support out local breweries. Cheers!




No comments:

Post a Comment