The bill for wines and spirits at the Société des alcools du Québec (SAQ) will climb next Sunday, and it is those who love products from France who will have to dip the most into their pockets.
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“Our suppliers are facing significant challenges as inflation hits highs across the globe,” President and CEO Catherine Dagenais said in a statement.
As of May 22, the SAQ will adjust the prices upwards on 2,470 current products and in continuous supply. These are the best-selling wines and spirits on the shelves. About 80 products will also be increased on July 17, since they are currently on sale.
In addition, 1,328 wines purchased in batches, present mainly in the Espace Cellier, will also see their prices jump from a few cents to several dollars on Sunday, according to figures provided to the Journal by management.
In recent weeks, the president of the SAQ had mentioned a price increase. Each year, the company adjusts its rates in May and November.
Last year, the SAQ had to exceptionally proceed with three increases due, among other things, to pressure on transportation costs. Management does not rule out having to do it once more this year.
According to the SAQ, the new average rate increase will be 3.7% or $0.78; its impact will be felt above all on French products.
Remember that the state-owned company is the largest buyer of French wines in the world. These products represent 30% to 35% of its sales.
Due to these new price adjustments, the bill for Burgundy wines will jump by 7.7%, Beaujolais by 6.4% and Loire by 5.5%.
To justify these changes, management once more cites cost pressures for shipping and disruptions in the supply chain. The increase in excise duty rates on wine by 2.4% on April 1 would also have weighed in the balance.
The SAQ says that producers have also seen their production costs rise in recent months, in particular due to labor challenges, climate impacts and shortages related to dry materials, such as bottles or labels.
In addition, next Sunday, the SAQ will lower the prices on 339 regular and specialty products in continuous supply and products purchased in batches.
► During the first three quarters of 2021-2022, the SAQ made profits of $1.12 billion.