Government shutdown impacting breweries, wineries and distilleries

Lloyd Doyle
January 14, 2019

The breweries can still sell new beers in the state, but they are missing out on out-of-state sales until the shutdown ends. "There's a lot of worry, a lot of uncertainty, and it's really starting to trickle down past just government employees and contractors to ancillary businesses such as coffee shops around government buildings and then trickling all the way down to us as a craft brewery".

Paul Gatza of the Brewers Association estimates that half of all craft breweries in the US find themselves in the same dilemma. Because the government's been shutdown, there's been a backlog of labels to be approved over those two weeks that have to be taken care of before any new applications can be reviewed.

The Alcohol and Tobacco Tax and Trade Bureau is part of the U.S. Department of the Treasury.

Mispillion River Brewing President Eric Williams says without agency approval.Their new beers can't leave the state. We're going to take the next couple of minutes to talk about one of them - the craft beer industry.

21, the TTB had received 192,279 label applications since the start of 2018. That breaks down to about 3,000 applications coming in every week. He owns Pearl Street Brewery in La Crosse, Wis., which is celebrating its 20th anniversary next month.

That's bad news for craft beer brewers. "Any products that need those government approvals are just kind of frozen on hold", Gatza said. I think about all the spring releases that are going to be coming out soon.

That's the agency that approves new beers and their labels before they hit the shelves and for local Lincoln breweries this unexpected hold-up is causing headaches.

Among the TTB's duties: approving new labels for beer and liquor.

Owners there say they have a lot to look forward to. "So the opportunity cost of what's sitting in that tank, we're not able to send it out and we're not able to fill that tank back up with another beer".

Other reports by Iphone Fresh

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