In a small industrial garage on the outskirts of Boulder, temporary workers at a 4-month-old microbrewery diligently can — by hand — the two styles of beer they market directly to local liquor stores.
Just 60 miles away in Fort Collins, the third-largest craft brewer in the country recently upped its bottling space by another 40,000 square feet of whirring conveyer belts, turnstiles and automated labelers.
The tiny Upslope Brewing and giant New Belgium hail from opposite ends of Colorado’s craft-brew spectrum and say they would face very different consequences should a bill to allow grocers to sell full-strength beer pass.
The proposal is scheduled for its first hearing today.
Charlie Papazian, president of the national Brewers Guild, said the bill threatens not just craft beer makers’ bottom line, but Colorado’s vast selection of suds.
“The craft-brew drinker, what are they most interested in? What (brewers) are trying to maintain is the Colorado beer culture,” he said.
Brewers worry that out-of-state chains will be less likely to try up-and-coming brands and will fill shelves with big-name beers. Supporters of the bill say it would open up convenience stores, which make purchasing decisions locally, to craft brewers.
To date, major beer companies have stayed out of the fight.
Part of the craft brewers’ argument hinges on liquor stores drying up or suffering such a serious blow that they won’t be able to stock their shelves with as many varieties of beer.
The Colorado Licensed Beverage Association estimates beer sales to be between 40 percent and 70 percent of liquor store gross revenues. They say that 900 liquor stores could shut their doors if the legislation passes, though bill supporters argue that number will be less.
“Look, there certainly is going to be a change in the marketplace, because you are about to break up a monopoly,” said Sean Duffy, spokesman for the proponents of House Bill 1192.
Colorado boasts more breweries per capita than other states at 100-plus beer makers. It’s also home to 1,650 liquor stores, 381 grocery stores and 1,225 convenience stores that would be affected by the bill.
New Belgium benefited from grocery store sales as it expanded into other states. Wal-Mart and Safeway are among its best customers, said national sales director Joe Menetre.
The 18-year-old Fort Collins brewery is big enough now that House Bill 1192 wouldn’t boost or hurt sales, he said.
Two decades ago, New Belgium was like Upslope, which opened in November in typical microbrewery fashion. The company’s five employees brew, can, market and sell their beer six days a week.
A friend of the owners’ family runs a nearby liquor store, one of the first to stock Upslope’s beer. Wood said it would be impossible for Upslope — at 650 gallons of beer a week — to supply a chain like King Soopers or Safeway.
