Please be advised of the following updates and changes:
LCBO Cost of Service Rates – Applicable to ALL beer products
Please be advised that index-linked increases to the LCBO beer in-store and out-of-store cost of service rates will take effect April 1, 2025. The revised rates are listed in the table below.
EFFECTIVE April 1, 2025 | ||
Fees ($/Litre) | Current | April 1, 2025 |
Beer In-Store Cost of Service | $0.7411 per litre | $0.7737 per litre |
Beer Out-of-Store Cost of Service | $0.2006 per litre | $0.2094 per litre |
Beer Out-of-Store Cost of Service (Self-delivery) | $0.1245 per litre | $0.13 per litre |
For brewers of Domestic Beer
To administer this change for April 1, the submission schedule for beer price changes will be as follows:
· Monday March 17 - Submissions due to Pricing mailbox by 4pm
· Tuesday April 1 – new rates and retail prices in effect
For brewers of Imported Beer
Retail prices will be adjusted on April 1 to reflect the change in Cost of Service. To maintain the current retail price for April 1, a Rebate Quote, via the Quote Submission Form, is required by 4pm Monday March 17, 2025.
Quotes must be submitted using the Quote Submission Form and emailed to pricing@lcbo.com.
As a reminder, the LCBO will pause the indexation of beer basic mark-ups and begin annual indexation adjustments starting on March 1, 2026
Minimum Retail Price
The LCBO will provide further information regarding indexation at a later date.
Logistics Average Freight Rates (LAFR) Review
The quarterly review of the LAFR is complete, and vendors impacted by this review have already received notification and submissions are received to be effective February 3rd. Any vendor wishing to adjust their quote due to new rates should consider their new LAFR rates when submitting revised quotes.
Federal Excise Tax
Under the Excise Act, 2001, the rates of excise duty on spirits and wine are adjusted annually on April 1 based on changes to the Consumer Price Index. However, due to amendments to the Act that were included in Bill C-69, Budget Implementation Act, 2024, No. 1, which received royal assent on June 20, 2024, this adjustment was capped at 2% for two additional years. These newly announced rates have now been published on the Canada Revenue Agency (CRA) website Canada.ca
The new excise rates will be applied to new LCBO products and Private Orders (Specialty Services) starting Tuesday, April 1, 2025. LCBO products that are continuously available, including wine, spirits, RTD and Vintages Essentials products will be re-priced with a retail effective date of Monday, April 14, 2025. Rebate quotes submitted by Monday March 17 by 4pm will have a retail change date of April 14.
For the Quote and Rebate Submission Schedules, please consult the Pricing Helpful Tools and Links page on www.doingbusinesswithlcbo.com or click here Pricing Helpful Tools and Links.
Products on Limited Time Offer (LTO) during period 1 will have the new excise rates applied on April 28, 2025, when the LTO program has ended.
Updated Pricing Calculators
Revised April 2025 pricing calculators for all products can be found on Doing Business with LCBO. All calculators are now consolidated in the LCBO Pricing Calculators workbook found here Pricing Calculators.
PO Terms and Conditions
Purchase order terms and conditions apply to, and form part of, each purchase order for the purchase of beverage alcohol products issued by the LCBO. These terms accompany each purchase order that issued and a copy of these terms can be found on www.doingbusinesswithlcbo.com or click here.
Questions regarding pricing may be directed to pricing@lcbo.com. Thank you for your continued support and partnership.
Pricing Administration