B.C. allows restaurants to buy wholesale liquor

British Columbia will permanently allow restaurants, bars and tourism operators to buy liquor at wholesale prices, a move that industry hopes will help revive the struggling sector.

The provincial government made temporary changes last June to allow the hospitality industry to buy alcohol at the same cost as liquor stores and it has now made that decision permanent.

Previously, restaurants, pubs and tourism businesses with liquor licences paid full retail price — the wholesale price, plus a markup set by the government — on most alcohol purchases.

Solicitor General Mike Farnworth says in a news release that the government is making the change permanent to give businesses certainty and to help the estimated 190,000 residents who work in the sector.

Trevor Kallies, beverage director for the Donnelly Group, which owns several bars in Vancouver, says in the release that wholesale liquor pricing will help alleviate some financial pressures so businesses can focus on other areas, such as the health and safety of staff and customers.

Restaurants Canada says in a statement that the move fulfils a long-standing recommendation from the industry group and it thanked the B.C. government for levelling the playing field between the province's retail and hospitality sectors.

"This move will go a long way to help British Columbia's hard-hit restaurant sector transition from survival to revival," said Mark von Schellwitz, vice-president for Western Canada.

Photo courtesy of Istock.