Stiff drinks: Booze is going up, and you can blame inflation and shipping costs

·1 min read
The Newfoundland and Labrador Liquor Corporation will raise prices of beer, wine, spirits and coolers by just under four per cent on May 1. (Terry Roberts/CBC - image credit)
The Newfoundland and Labrador Liquor Corporation will raise prices of beer, wine, spirits and coolers by just under four per cent on May 1. (Terry Roberts/CBC - image credit)
Terry Roberts/CBC
Terry Roberts/CBC

Alcohol prices in Newfoundland and Labrador will rise next month, with the province's liquor corporation saying the reason is rising inflation and shipping costs.

In a press release Tuesday, the Newfoundland and Labrador Liquor Corporation said prices will go up by an average of 3.9 per cent May 1. Beer will increase by around 4.5 per cent, wine will increase by about four per cent, and spirits will increase by around 3.5 per cent, according to a breakdown from the NLC.

Ready-to-drink beverage, such as coolers, will see the largest price increase — just over five per cent.

"This change recognizes the significant impact to beverage alcohol suppliers of higher costs of goods and services, increased freight surcharges, increased federal excise tax and the strain on global supply chain and logistics — increases that have contributed to Canada's most recent inflation rate of 5.7 per cent," says the statement.

Canada's inflation rate rose to 5.7 per cent in March, the highest it has been since 1991. The rising inflation rate raises the price of a variety of goods and services, including food and drinks among many others.

The cost of fuel was also a major factor in the increase, raising the cost of shipping goods to Newfoundland and Labrador and in turn raising prices.

The NLC, however, lowered the price of cannabis on April 1 by an average of six per cent because of "significant oversupply," according to the statement. The fact that all of the corporation's suppliers are in Canada negates any impact of rising international shipping costs, says the release.

Read more from CBC Newfoundland and Labrador

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