WASHINGTON, D.C., December 12, 2024 — The following is a statement from Margie A.S. Lehrman, CEO of the American Craft Spirits Association, on the suit that the Federal Trade Commission (FTC) filed against Southern Glazer’s Wine & Spirits related to illegal price discrimination:
“The American Craft Spirits Association (ACSA) welcomes FTC’s efforts to crack down on anticompetitive pricing practices that hurt small independent retailers, who are invaluable partners for craft distillers.
“Market access remains one of the biggest challenges facing America’s craft spirits industry. This action by the FTC is an important step to protect small businesses but also should serve as a clarion call to all legislators and regulators to enact policies that enable craft spirits manufacturers to compete in this complex and consolidated marketplace.
“Today, more than 3,000 craft distillers in the United States operate in all 50 states. Despite this number, craft spirits only account for less than 5% of all spirits volume.
“At the same time the number of craft distillers continues to rise, the number of wholesalers and retailers continue to consolidate at an accelerated pace raising barriers to market access for small business manufacturers.
“The current 3-tier regulatory structure of the beverage alcohol market is outdated and in need of reform. ACSA urges policymakers to develop additional routes-to-market including direct shipping to consumers and retailers. Enacting these measures would result in a rare win-win-win for distillers and consumers as well as our wholesale and retail partners.”
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