Liquor and Lotteries throws out $29K of spoiled U.S. booze

Manitoba Liquor and Lotteries has disposed of nearly $29,000 worth of spoiled U.S. booze.

The province pulled all American products off Manitoba Liquor Mart shelves earlier this year in response to tariffs imposed by U.S. President Donald Trump.

The move comes after Liquor and Lotteries said in August it hadn’t had to deal with any “significant spoilage.”

“These were wines and cream liqueurs that had expired and could not be resold,” a spokesman for Glen Simard, the minister responsible for Liquor and Lotteries said Monday in an email. Simard was not available for an interview.

“As long as Donald Trump continues to try to destroy the Manitoba economy, the province remains committed to keeping U.S. liquor off the shelves,” Caedmon Malowany wrote.

Premier Wab Kinew announced Feb. 2 American products would be removed from Manitoba store shelves after Trump’s threats. The Crown corporation also halted orders of American booze, which Kinew said would take an $80-million bite annually out of the U.S. economy.

The U.S. booze already in stock was worth $3.4 million in “duty paid landed cost.” Its retail value is estimated to be worth several times that amount, with markup and taxes. Costs associated with the removal of U.S. products from shelves during February and March — overtime costs, additional labour costs and lost revenue from marketing programs — are estimated at $70,099.12.

Disposing of the expired wines and creme liqueurs in an environmentally friendly way cost about $2,400, Liquor and Lotteries said in an email Monday, noting alcohol that can’t be sold must be processed and destroyed.

Manitoba Liquor and Lotteries does not have the equipment to destroy and dispose of the alcohol on site. It contracts a company that can safely “neutralize the alcohol and dispose of it in an ethical, sustainable, and environmentally friendly manner” and recycle the resulting glass, cardboard, plastic and aluminum cans.

A spokesman for the Manitoba Government and General Employees’ Union, which represents Liquor Mart employees, said it was unclear how the booze was disposed of and none was offered to workers.

“I do know our members do not get liquor for free or at a discount,” he said in an email.

Manitoba Liquor and Lotteries said it is gearing up for a busy holiday season and doesn’t expect any other warehouse-stored U.S. booze to be disposed of by year’s end.

Two months ago, the Liquor and Lotteries said said in an email that American products have a long shelf life and “there is not any significant spoilage of U.S. products for (Manitoba Liquor and Lotteries) to manage.”

The Crown corporation couldn’t provide the retail value of the U.S. booze it has in storage, but pointed to the 2023-24 annual report that noted the gross profit margin for liquor products was 52 per cent that fiscal year.

carol.sanders@freepress.mb.ca