Brewing regulation needs a fresh look
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February 20, 2012 2:00 AM
Portsmouth has a rich history of brewing beer that dates back to Frank Jones in the mid-1800s, and a mix of modern-day brewers has reinvented the tradition, putting the Seacoast and state back on the map in this industry.
For example, the Portsmouth Brewery is about to release its latest batch of Kate the Great, a Russian imperial stout, that is fast becoming world renowned. The Redhook Ale Brewery is a craft brewer already with a national profile, and it brews many of its beloved beers right here in Portsmouth.
The business leaders who brought these breweries to the city were visionary entrepreneurs out in front of the craze for craft and micro-brews. At no point was it easy for them to break into the market and grow while facing corporate beers that have the advantage of huge advertising campaigns.
We recently learned small brewers in New Hampshire face a series of laws that make continued success and growth all the more difficult. Some of them were called “just silly” by Redhook brewer Andy Schwartz, who spoke to about a dozen New Hampshire legislators at an event at Redhook on Feb. 11.
“There are going to be some things that we could use your help with,” Schwartz told the assembled legislators.
The fact that Redhook hosted a contingent of lawmakers at the brewery was a stroke of genius. The venue, which included tours of the operation, personalized their role in the industry and showed lawmakers just how serious the business of brewing is. Lawmakers also got a chance to sample the outstanding products.
It has been said that beer saved civilization, but on a more regional and economic level, lawmakers can seemingly take some small steps to help this industry grow. And its growth can mean more jobs, more tax revenue and more fairness. Already, the beer industry in New Hampshire is a $1.2 billion effort, which employs more than 5,000 people. Redhook recently invested $4 million in its Portsmouth brewery to increase production by 50 percent.
The brewers contend that New Hampshire regulates the beer industry more strictly than the federal government. The state doesn’t allow for higher alcohol use, which is rather outdated considering the rise in wine and liquor sales. But further, the state bans the use of unique ingredients, some as simple as sugar, fruits and spices. Redhook also reported it is mandated to use a cardboard cutout to hold every two 12-bottle packages created, per state regulations for transport, which costs 28 cents apiece.
It would seem these regulations are perhaps leftover from a time gone by, and while relaxing regulations isn’t as grand as a massive new tax revenue, it would help this industry continue to grow. The role of government regulation is more about painting with fine lines than with broad strokes, and listening to these industry leaders to reform regulations is a perfect example of that.
Rep. Fred Rice, R-Hampton, who attended the brew summit, said he was surprised he hadn’t heard of the issues before. And he said of possible reforms, “Some of these seem to be slam dunks.”
To that we say “Cheers.”
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