A Northeast beer industry group is helping lobby against a referendum that would legalize marijuana in Massachusetts. The industrys opposition to recreational marijuana is strange, given that other states that have opted to legalize have actually seen beer revenue go up.
Recreational marijuana will be on the November ballot for Massachusetts voters. The Beer Distributors PAC, which represents 16 beer distributors in the state, has contributed one of the largest donations to an organization advocating against legalization, The Intercept reports.
The political action committee donated $25,000 to the anti-marijuana Campaign for a Safe and Healthy Massachusetts, making it one of the organizations largest contributors.
The Boston Beer Company, which produces the Sam Adams brew, has also signaled concern over legalization. In a filing to investors, the company warned that recreational marijuana could negatively impact the demand for their beer.
The Brown-Forman Company, which produces Jack Daniels Tennessee Whiskey, echoed the same concerns in their own filing.
Consumer preferences and purchases may shift due to a host of factors including the potential legalization of marijuana use on a more widespread basis within the United States, the company wrote.
In 2014, Chief executive Paul Varga of Brown-Forman characterized marijuana legalization as a big threat.
Arizona, California, Maine and Nevada voters will also have the choice of legalizing recreational marijuana on the November ballot, according to MarketWatch.
The hostility of Massachusetts beer distributors towards marijuana legalization flies in the face of the evidence supplied by states that are already experimenting with loosened cannabis restrictions.
Data indicates that marijuana legalization actually helps beer sales.
Washington state legalized marijuana in 2014. By 2015, beer-tax revenue in the state rose by $890,000. Beer-tax revenue in Colorado has steadily risen as well after the state legalized recreational marijuana sales the same year.
Oregon began selling recreational marijuana in June 2015. A year later, the number of beer barrels sold in the state rose by 8,528. Alaska legalized marijuana in the same year, and the amount of gallons sold by small brewers has increased by 300,000.
Following these examples, it is not clear what Massachusetts beer distributors are afraid of.
On July 19, a poll conducted by the conservative Gravis Marketing for Jobs First found that 51 percent of registered voters in Massachusetts opposed marijuana legalization while only 41 percent were in support. 9 percent of respondents were undecided, according to The Boston Globe.
News Moderator: Katelyn Baker
Full Article: Beer Industry Fighting Marijuana Legalization
Author: Robert Fowler
Contact: editorial@rndr.com
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Website: America Now
