N.L. cautious to dismantle interprovincial trade barriers on alcohol

Newfoundland and Labrador is moving slowly as Canada looks to dismantle interprovincial trade barriers in the wake of U.S. tariff threats.

It's a move that could allow alcohol from other parts of the country to flow to the province easier.

Finance Minister Siobhan Coady says she's concerned about the potential impact on Newfoundland and Labrador's Labatt and Molson breweries.

But that doesn't mean the provincial government is isolating itself from other markets.

Ottawa reached a deal with the majority of provinces on Thursday to allow Canadian alcohol to flow freely across provincial borders. It's a response to pulling U.S. liquor from store shelves.

The move is part of a host of changes being worked on by the federal, provincial, and territorial governments.

But Coady said Thursday the provincial government is holding out on selling beer products from other jurisdictions to prevent hurting two of the province's biggest breweries: Labatt and Molson. 

She made the comment after CBC News reported that Newfoundland and Labrador and Prince Edward Island are the only two holdouts. 

"We don't want to have unintended consequences," Coady said. "We have two breweries in this province and we don't want to impact the workers or the manufacturing of those products here in Newfoundland and Labrador."

Coady said she has yet to get feedback from local breweries. She said the province is trying to avoid unintended consequences. 

"We have two national breweries here in the province of Newfoundland and Labrador, and as you know, that was a very important point of making sure that those breweries remain in Newfoundland and Labrador," she said. 

But local restaurateur Todd Perrin is questioning why the province isn't jumping on board. 

He said he suspects that money motivates the province, because the Newfoundland and Labrador Liquor Corporation has a monopoly on its products.

"We pay a lot more for our liquor than everyone else does," Perrin said. "The NLC reports a much larger percentage profit than the other liquor boards in the country do."

On Wednesday, the federal government announced it was adding $200 billion to the Canadian economy while U.S. tariffs still cast a shadow over the country.

Late on Thursday, U.S. President Donald Trump paused most tariffs once again, with a new deadline for April 2.

However, Trump said he was still moving ahead with tariffs on Canadian aluminum and steel next week.

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