The trend of legislation supporting the craft brewing industry continues with a big win in central New York. Brewers will ring in the New Rear with a new law that will make it easier for brewers to end a contract if the agreement is unfavorable, reported WBNG Action News. It’s a big step toward tipping the scales in favor of small breweries, which have more than doubled – jumping from less than 20 to more than 63 breweries – in New York during the past 15 years. WBNG reported that in that same 15 year time period, distributors have shrunk from 112 to less than 60.
Your News Now quoted Cortland Beer Co. Co-Owner Dan Cleary saying, “Usually, you would sign a contract and you were married for life. So the distributors weren’t performing, you can get out of the contract much easier than you could before.”
This will benefit all small brewers who have an annual volume under 300,000 barrels (bbls). The law also stipulates that the brewer must fairly compensate the wholesaler if the contact is terminated.
There is a host of other benefits, including the need for only one license to have a brewery and distillery or cidery at a location, easing up on new taxes, changing licensing fees and allowing brewers to sell beer at farmer’s markets.
Cleary reported that Cortland Beer Co. plans to nearly double its production – going from an annual 700 bbls to 1,200 to 1,500 bbls. With such progressive brewing laws, it’s a trend that looks to continue in New York.
