Share:
House Co-Sponsorship Memoranda
House of Representatives
Session of 2023 - 2024
Regular Session
MEMORANDUM
| Posted: | October 2, 2023 02:54 PM |
|---|---|
| From: | Representative Robert Leadbeter |
| To: | All House members |
| Subject: | Jobs and Economic Benefit of RTD's in Pennsylvania |
| Soon, I will introduce legislation concerning the sale of ready-to-drink beverages (RTD). My proposed legislation will permit businesses holding an R, H, or D License to sell ready-to-drink beverages for takeaway consumption. Ready-to-drink beverages, often abbreviated as "RTD" beverages, are pre-packaged drinks containing liquor and mixed ingredients to create canned cocktails that offer consistency and reliability for both consumers and the market. Currently, RTD beverages are only available at state stores in Pennsylvania. However, the selection of RTDs in these stores is quite limited, occupying only a fraction of the shelf space. Despite these space constraints and their small market share in our state, RTDs experienced a remarkable 43% global consumption growth in 2020, swiftly emerging as a major trend in the alcohol industry. Regrettably, Pennsylvania has yet to adapt to this evolving trend. This lack of adaptation results in missed economic opportunities, with RTD producers investing valuable marketing and sales resources in neighboring states that can meet market demand. In turn, Pennsylvania residents are left with a restricted range of product offerings, while potential state revenue goes untapped. Moreover, my legislation will empower distributors to source and wholesale RTD cocktails directly to eligible licensees, following the same procedures as malt and brewed beverages are handled today. These wholesalers have a proven track record of compliance with state laws and the Pennsylvania Liquor Control Board (PLCB), and they adhere to various labor agreements in their facilities, all while ensuring reliable and safe service to retailers and consumers. Finally, it's essential to note a few key points under my proposed legislation: RTDs will continue to be available for purchase through the PLCB, as they are presently. Any alcohol by volume (ABV) restrictions in place for R, H, and D License holders will remain unchanged. High-alcohol RTDs will remain exclusively within the PLCB system, maintaining the current arrangement. I appreciate your consideration of this legislation and thank you in advance for your support. |
Introduced as HB1750