Ottawa and all provinces, with the exception of Prince Edward Island and Newfoundland and Labrador, agreed to remove barriers to alcohol sales in March.The Globe and Mail
Nine provinces and one territory have agreed to allow direct-to-consumer alcohol sales between their jurisdictions and are aiming to do so by May, 2026.
Federal, provincial and territorial representatives on the Committee on Internal Trade announced on Tuesday that all provinces – with the exception of Newfoundland and Labrador – and the Yukon have signed a memorandum of understanding to allow DTC sales.
The non-binding agreement builds on a commitment made in March to remove barriers to alcohol sales, though progress has proven to be slower than initially promised.
“I think that there was a lot of optimism when we saw a number of provinces say that they’re getting their frameworks in place,” said Ryan Mallough, vice-president of legislative affairs and communications at the Canadian Federation of Independent Business.
“And to hear that we’re about a year away is a little bit disappointing.”
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Christopher Skeete, Quebec’s minister for the economy, said the provincial and territorial governments are taking their time with establishing DTC sales to ensure they get it right.
“We’re starting from scratch, something that’s never been done before in Canadian history – that is to align all the provinces for sales, direct sales to consumers of alcohol,” Mr. Skeete said in a news conference Tuesday.
“That means making sure that, for instance, if you’re shipping your goods from British Columbia and you want to ship it to Quebec, we need to make sure that the taxation is right.”
In March, the federal government and all provinces, with the exception of Prince Edward Island and Newfoundland and Labrador, agreed to remove barriers to alcohol sales.
Former internal trade minister Anita Anand told The Globe and Mail at the time that the agreement would lead to direct-to-consumer sales in some jurisdictions within weeks.
Since then, Ontario Premier Doug Ford has signed several memorandums of understanding on internal trade with other provinces that commit to working on direct-to-consumer sales. Several provinces have also made the necessary legislative changes to allow them to move forward with DTC sales.
And on Tuesday, PEI and the Yukon joined the other provinces by committing to establishing DTC sales as well.
Ontario and Manitoba missed their June 30 deadline to reach a bilateral deal.The Globe and Mail
But the vow to rapidly knock down internal trade barriers to counteract U.S. tariffs has not come to fruition. Ontario and Manitoba missed their June 30 deadline to reach a bilateral deal. Now, nine jurisdictions will have to negotiate with one another to establish their own agreements.
Jean-Claude D’Amours, New Brunswick’s minister of intergovernmental affairs, said his province will be ready to launch direct-to-consumer sales in a month, but the timeline will depend on when other provinces will be ready to do the same.
Beer Canada president CJ Hélie said in a recent interview that provinces are trying to ensure that the fiscal and regulatory framework to any DTC sales program is fair, so that producers selling directly to consumers in another jurisdiction are subject to the same fees and rules that a local producer faces.
Mr. Hélie said that while his organization supports government efforts to allow direct-to-consumer alcohol sales, brewers don’t stand to benefit much from the move. That’s because beer is a low-priced product relative to its weight, meaning shipping it directly to customers in another jurisdiction would add a lot to its cost.
“It’s important symbolically that consumers should be able to access the beer brands they want, how they want, when they want, but we do not see a commercial opportunity there,” Mr. Hélie said.