
State And Local Issues | |
Some State Laws Prohibit Wine Shipments |
Thirty-five states limit interstate wine shipments in one way or another. Although the Constitution prohibits states from erecting trade barriers against one another, the 21st Amendment -- which repealed Prohibition -- let states decide how alcohol is sold and marketed. The result has been a patchwork of laws that critics say benefit no one but alcohol retailers and distributors -- by putting roadblocks between consumers and vintners.
The limits cut sales at as many as 1,700 wineries -- most of them too small to link into national distribution networks. Usually they are family businesses that sell fewer than 10,000 cases a year. Wineries that do a substantial business in direct shipping are estimated to forgo as much as $10,000 a month in direct sales. Source: Editorial, "Grapes of Protectionist Wrath," Investor's Business Daily, December 10, 1998. For more on State and Local Regulations http://www.ncpa.org/pd/state/state4.html |
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