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US Asks for WTO Panel on US Wine Sales Issue in Canadian Provinces

Consultations at the World Trade Organization have failed to resolve trade barriers to U.S. wine in British Columbia grocery stores, so the U.S. has asked for a dispute settlement panel to take up the issue, the U.S. announced on May 25. Consultations started last October. The issue is the stores require that imported wine be stocked in a separate building from the main store (see 1701180083). The news release announcing the panel request said that as far as the U.S. has been able to learn, no stores have made the investment to sell imported wines. American wines are still sold at liquor stores, which used to be the only place to buy wine in the province.

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“Canada is an important market for U.S. winemakers,” U.S. Trade Representative Robert Lighthizer said. “Discriminatory regulations implemented by British Columbia are unfairly keeping U.S. wine off of grocery store shelves, and that is unacceptable. Canada and all Canadian provinces, including BC, must play by the rules." The U.S. is also in consultations with Canada over similar policies in Ontario, Nova Scotia and Quebec (see 1802080042). The chairman of the House Ways and Means Committee and the chairman of its Trade Subcommittee lauded the action. Trade Subcommittee Chairman Dave Reichert, R-Wash., said, "Thank you to Ambassador Lighthizer and his team for defending American wine producers and giving them a chance to compete on a level playing field."