fbpx

< Back to Thought Leadership

Treasury Report targeted at Competition in the Beverage Industry

By: Zach Mattingly, CPA, Manager and Derek Gray, CPA, Director

In early February, the U.S. Treasury Department released a 63-page report titled, Competition in the Markets for Beer, Wine, and Spirits, targeted at changes in the market for beer, wine, and spirits. The recommendations outlined in the report are part of a larger effort aimed to increase competitiveness in the overall market.

The goal is to increase competition, which will lead to consumer savings, which are estimated in the hundreds of millions of dollars per year. Per the Treasury, the recommendations below would make the market fairer for new brewers and cheaper for consumers.

Some of the key recommendations in the report are:

  • A higher level of scrutiny placed on mergers and acquisitions. As an example, the Treasury cites acquisitions made by the two largest brewers, which now control about 65% of the revenue in the beer market.
  • Implementing different excise tax rates for producers to allow new entrants to grow their business.
  • Lowering regulatory hurdles that have prevented new entrants to the alcohol industry in the past.

While many of the regulations are set at the state level, the Department of Justice (DOJ) and the Federal Trade Commission (FTC) are encouraging states to take a deeper look at the regulations that may inhibit small producers from not only entering but also succeeding in the market.

We’ll continue to keep you informed on any major law changes or developments on Treasury’s recommendations. If you have any questions, please reach out to Derek Gray or any member of Blue’s Beverage Group.

Blue & Co., LLC Announces New Partnership With Vsimple | Vsimple and Blue and Co logo

Blue & Co., LLC Announces New Partnership With Vsimple

CARMEL, Ind. (May 5, 2022) – Blue & Co., LLC is excited to announce our new partnership with Vsimple, a workflow management software company based in New Albany, IN.  Blue & Co and Vsimple will be working closely together to address the workflow and process improvement challenges of manufacturers throughout the Midwest. “At Blue & […]

Learn More
Proposed Rule FY 2023 for Skilled Nursing Facilities

Proposed Rule FY 2023 for Skilled Nursing Facilities

It is that time of year again! The Center for Medicare and Medicaid Services (CMS) has issued the proposed rule that would update Medicare payment policies and rates for the fiscal year (FY) 2023’s Skilled Nursing Facility (SNF) Prospective Payment System (PPS). The Patient Driven Payment Model (PDPM) was implemented on October 1, 2019. This […]

Learn More
Coverage Scheduling Solutions for Physician Practices and Hospital Systems

Scheduling Solutions for Clinician Work-Life Balance

One of the most challenging conversations in any multi-physician practice or specialty-based hospital employed group is about how to create a fair distribution of on-call and/or inpatient hospital service coverage while balancing the duties of an outpatient practice. The COVID-19 pandemic has contributed to clinician burnout, and physicians and Advanced Practice Providers (APPs) place significant […]

Learn More