The Indie Beer Battle is Raging

It’s good sometimes to step back and get perspective on what exactly this indie movement is about by looking at how it’s unfolding in other industries besides music and the arts. Here at the Indyish homestead we’re preparing to face the next stage of our business by compiling lists of independent, ethical and environmental companies to approach as our advertising partners for the site. In doing some of this research this morning I’ve been steeped in interesting corporate politics, and spun off down the lane of some features of the Canadian corporate landscape I didn’t even know existed.

I knew, for example, that in Ontario your options for beer buying are pretty much limited to the Beer store. I did not know that the Beer store is “owned by Molson Coors, Labatt and Sleeman–Canada’s three biggest brewers” (canadian business magazine). Nor did I know this:

Half of Quebec’s beer sales take place in the various chain grocery stores. Certain of these chains centralize all listing, and marketing of beer at the Quebec head office. These chains are paid significant sums by large brewers to control shelf space, cold space, retail pricing of competitors’ products, and display space. In short, InBev-Labatt and Molson-Coors, with the support of chain store head offices, control access to product available to Quebec consumers, even when some of these products sell less well than beers on offer by local small brewers. Peter McAuslan.

The bad news is big business is throwing big money around to limit choice and drive independent craft brewers out of stores. The good news is, in Quebec at least, it’s not gonna work, largely because independents like McAuslan- aside from supporting Canadian indie theatre by sponsoring the Fringe festivals- have consistently kicked up fuss to draw attention and support.

In 1989, 2 brewers controlled 99% of the beer market in Quebec (guess who? Labatt and Molson). Today there are over 300 beers to chose from. Not that you’ll see them all at your local depanneur or within 100 feet of a Provigo (usually). Even the beers that appear indie there are deceiving- I’d have thought Maudite and Fin du Monde were independent, but they’re both owned by Sleemans these days.

Sleemans was a pretty large scale independent, making their own higher end brew and distributing craft brewers, but they were bought out in 2006 by the Sapporo holding company, whose majority shareholder “is a Cayman Islands-registered fund management subsidiary of Warren Lichtenstein’s Steel Partners” with a history that raises eyebrows, including accusations of green mailing. Whether this is exactly true or not, they are certainly among a new breed of headhuntin hedge funds who make the hostile takeovers of the ’80’s look like kids games with chump change. Lichtenstein, aside from being the principle of the clearly above-board Steel Partners in the Caymans, “has been a director (currently Chairman of the Board) of United Industrial Corporation (”UIC”), a company principally focused on the design, production and support of defense systems and a manufacturer of combustion equipment for biomass and refuse fuels, since May 2001.” (forbes profile). The Unibroue craft beers (Fin du Monde, etc) may still be award winning, but you wanna watch out for that steely aftertaste these days. Metaphorically speakin.

The indie’s may be harder to find, and perhaps an official seal of indie like the “certified organic” label is in order so we can differentiate and make informed choices… heck, I’d like to see an environment and ethics ranking system slapped on labels right next to the ingredients; but for now, the challenges local independents face in Canada should make the search all the more worthwhile- they’re out there and brewers like McAuslan are kicking up a big stink to protect their access to customers. Heck, you can sign the petition if you like, it’s here.