Saturday, April 5, 2014

Beer Franchise Laws

Beer Franchise Laws

To the Editor:
Re “Free Craft Beer!,” by Steve Hindy (Sunday Review, March 30):
Beer franchise laws benefit consumers because the laws support an independent system that generates tremendous choice. Brewers benefit because they can partner with independent distributors who invest in new brands that they market and sell to retailers across the country.
And the public benefits because franchise laws support the system that regulates and safeguards a socially sensitive product.
In 2013, craft beer grew another 18 percent. That’s an American success story facilitated by an independent distribution system. Without an independent system and franchise laws, brewers would be able to penalize independent distributors for taking on new brands.
Franchise laws allow distributors to invest capital and labor in new brands, meeting the needs of today’s consumer. These laws support an open, accountable and transparent marketplace where brewers of all sizes can compete and gain access to retailers, large and small. And within the highly competitive beer market, these laws allow for distribution agreements to be terminated for cause.
America’s beer distributors are proud to be part of today’s effective system that helps America’s craft brewers continue to experience double-digit growth each year.
CRAIG A. PURSER
President and Chief Executive
National Beer Wholesalers Association
Alexandria, Va., March 31, 2014

2 comments:

  1. In the 1960s, beer distributors’ independence was greatly challenged as brewers sought to exert undue influence on local distributors. Their independence was threatened by arbitrary terminations and unreasonable requests for distributors’ investments. Beer distributor independence is essential to a free market beer distribution and system. Furthermore, these laws help to the avoidance of: violating liquor laws, limited brands, and favored retailers. If it weren’t for these laws, the beer market would nowadays be much more restricted and much less diverse.

    ReplyDelete
  2. In the 1960s, beer distributors’ independence was greatly challenged as brewers sought to exert undue influence on local distributors. Their independence was threatened by arbitrary terminations and unreasonable requests for distributors’ investments. Beer distributor independence is essential to a free market beer distribution and system. Furthermore, these laws help to the avoidance of: violating liquor laws, limited brands, and favored retailers. If it weren’t for these laws, the beer market would nowadays be much more restricted and much less diverse.

    ReplyDelete