CANADA: Beer price war hitting small retailers
Corner shops in Québec are struggling to survive because of a beer price war.
The cost of mainstream beer brands for small retailers will be C$27.89 (US$24.94) from 5 June, but the official government minimum price for sales to drinkers is CDN$21.90.
Supermarkets are exploiting this to sell beer as a loss leader, but small shops rely on beer. "Between 25% and 35% of business for small shops comprises of beer sales, so it's a serious problem," said Yves Servais of l'Association des Marchands, Depanneurs et Épiceries du Québec.
Sectors: Beer & cider
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