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 Monday March 2, 2020. The revised rates are listed in the table below and can be found in our updated “March 2020” pricing calculators here. 

Fees ($/Litre)

Current

March 2, 2020

In-store cost of service

$0.6483

$0.6612

Out of store cost of service

$0.1754

$0.1789

Out of store cost of service

(draught beer)

$0.1089

$0.1111

 

To administer this change for March 2, LCBO will not accept requotes starting on Monday, February 17, 2020. Requotes for subsequent dates will be accepted, however, based on the following timelines:

• Thursday, February 13 – submissions and supplier quotes due by 4 p.m. forMarch 2 effective

• Monday, February 17 – no price change submissions will be accepted

• Monday, February 24 – no beer price changes; price change submissionswill be accepted for March 9 effective

• Monday March 2 – new rates and retail prices in effect, regularsubmission/price change schedule resumes

For brewers of Ontario beer listed at TBS, LCBO or grocery

To maintain the current retail price, no action is required. The product will be re-priced to reflect the change in Cost of Service, and the supplier quote will be reduced accordingly with no change to the retail price. If a change in price is desired on March 2, please submit the Beer Price Submission form.

For brewers of imported beer

Retail prices will be adjusted on March 2 to reflect the change in Cost of Service. To maintain the current retail price for March 2, a revised wholesale quote is required along with a completed Beer Price Submission form. The quote must state: “The supplier will pay to reduce the cost of inventory on hand and on order.” Please note: For products listed at TBS, no changes will be made to licensee prices or pack-up prices unless requested by the brewer on the Beer Price Submission form.

All quotes and beer price submission forms must be submitted via email to pricing@lcbo.com by the deadlines indicated above.

Questions may be directed to my attention at pricing@lcbo.com.

Thank you for your continued support and partnership.

Sincerely,

Kyle Baker, Manager, Pricing Administration