Summerhill Winery will lose 15 per cent of its business if B.C. wine exports are barred from Alberta, but CEO Ezra Cipes doesnѻýt have sour grapes.
After considering Alberta premier Rachel Notleyѻýs wine ban, he spoke to the vineyardѻýs bistro chef and asked him to source some grass fed Alberta bison for their menu.
Itѻýs a symbolic gesture, but one he hopes will resonate with both consumers and industry insiders who are being caught in a tug-of-war between politicians.
ѻýI think everybody within the wine industry is feeling disheartened. We consider ourselves to be Canadian. We sell Canadian wine and we love Albertaѻýa number of wineries in B.C. are actually owned by Albertans,ѻý Cipes said.
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ѻýI just hope everybody is just appreciative of whatѻýs happening around them and the culture thatѻýs being created. We should choose to support each other.ѻý
Consumer support is going to be increasingly important if Notley goes through with the wine ban.
LETTER: ALBERTA IS WINNING THE WINE WAR
Larger scale wineries that ship their goods to Alberta see crates of wine delivered to a central government-controlled distribution warehouse. From there all independent restaurants and retailers purchase what they needѻý so Notley is effectively pulling up the drawbridge and blocking $160 million a year in retail sales, according to a sales estimate from the BC Wine Institute.
Sheѻýs also whipping up dissent that is affecting those who donѻýt tap into the same market as the Summerhills of the industry and export to Alberta on a smaller scale.
Jak Meyer is the owner of Meyer Winery in Okanagan Falls, which is poised to lose about three per cent of business under current conditions.
RELATED: DID THIS START IT ALL?
ѻýWe have had a few wine club members drop out just in the last few days, so those are people we were shipping wine directly to. I wouldnѻýt be surprised if, unfortunately, I saw a few more leave,ѻý Meyer said.
Having lived 17 years in Edmonton before investing in the wine business, Meyer has many friends in the oil industry. His own father worked 50 years in oil.
ѻýI get why they are so upset, but I donѻýt think this is the right tactic. They can get their point across without harming anyone, but I guess any Alberta businesses could argue that we are doing the same thing,ѻý he said.
The wine war was sparked when B.C. Premier John Horgan announced Jan. 30 that his government would halt the flow of diluted bitumen through the Trans Mountain pipeline pending the outcome of what amounts to an environmental review. The pipeline expansion has an estimated worth of $7.4 billion and over the construction period is expected to add 15,000 construction jobs and 37,000 indirect and direct jobs.
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Beyond pinots and pipelines, B.C. and Alberta already have the two most integrated provincial economies in the country ѻý estimated at about $30 to $35-billion combined.
In addition to financial ties, there are strong cultural bonds with residents often living in B.C. and working in Alberta. A large portion of the Okanaganѻýs real estate market is tied to individuals who do just that.
That inter-connectedness between Alberta and the Okanagan, as well as a little political opportunism is what likely put the wine industry in Notleyѻýs crosshairs, says a UBC Okanagan assistant professor of economics.
ѻýOn the coast (of B.C.) theyѻýre sipping wine and not worrying about their jobs,ѻý said Ross Hickey, from UBC Okanagan.
And thatѻýs why Notley is eyeing up the Okanagan and its exports, he said. Thereѻýs not much she can do to influence change in B.C.ѻýs political hubs right now, but the Kelowna West riding is up for grabs Feb. 14ѻýthe same day the wine ban goes into effectѻýand the disruption sheѻýs causing may be directly related to that.
ѻýNotley knows that Horgan and Green leader Andrew Weaver need to win support and seats if they want stable governance,ѻý he said. ѻýThey canѻýt rely on coastal voters for all of that and sheѻýs targeting pain where the B.C. government wants stability. This is a great time for Notley to do this.ѻý
Hickey said he doesnѻýt see it going much further, however. Itѻýs ѻýfoolish and illegalѻý by his estimates. Alberta could face $5 million in fines for violating the New West Partnership Trade Agreement, and there are more agreements being stepped on, said Hickey.
ѻýWith the Trade, Investment and Labour Mobility Agreement, the provinces agreed there shouldnѻýt be trade barriers of goods and services between Alberta and B.C.,ѻý said Hickey. ѻýThe exceptions to that rule occur in the case of environmental protections. What the B.C. government is doing isnѻýt prohibiting trade and flow of tradeѻýthey want to review environmental policy that would apply to the bitumen products that Alberta exports.ѻý
Hickey said that the question at play is simply if bitumen were to spill from a future pipeline, who is on the hook to clean it up.
ѻýOur province has to be responsible and do its due diligence,ѻý he said, adding if Alberta were to approach B.C. hat in hand and offer to foot the bill, the review process would go away.
ѻýThe trade and labour agreement we signed with Alberta allows us to do that to protect our environment. What it doesnѻýt allow us to do is ban Alberta beef because weѻýre mad.ѻý
Similarly, he said, it doesnѻýt allow the Alberta government to say ѻýweѻýre unhappy so we arenѻýt playing by the rules.ѻý
ѻýItѻýs foolish and childish,ѻý said Hickey. ѻýThis is just a show. There is so much surplus being generated by the trade flow, that in the long term we will see the return of happy trade. ѻý
Hickey isnѻýt the only one who thinks Notleyѻýs trade war is childish.
Josh Jamroziak is the manager of Blink Restaurant and Bar in Calgary and said he thinks the whole thing lacks merit and could even hurt local business.
ѻýI think itѻýs pretty childish. We do sell B.C. wines here, especially to tourists,ѻý he said. ѻýB.C. wines have made such a big name for themselves worldwide, when the tourists come in they always want to try it. If we donѻýt have that anymore then the opportunity is gone for us.ѻý

