Economy

Why The Craft Brewing Industry Is Stalled Amid The Government Shutdown

Why The Craft Brewing Industry Is Stalled Amid The Government Shutdown

That means People's won't be coming out with any new beers until the government re-opens.

"If we wanted to release that out to say OH or New Jersey or Maryland or Pennsylvania we can't get that approved right now to do that", he tells WRDE.

Like many government agencies, the Alcohol and Tobacco Tax and Trade Bureau or TTB is closed, making it impossible for breweries, wineries and distilleries to get approval on certain products. Because the government's been shutdown, there's been a backlog of labels to be approved over those two weeks that have to be taken care of before any new applications can be reviewed.

As for Gift Horse, Snyder says they shouldn't lose much money. if any at all. It received more than 192,000 label applications in 2018. He owns Pearl Street Brewery in La Crosse, Wis., which is celebrating its 20th anniversary next month.

"We have four labels actually sitting in TTB limbo because of the government shutdown that is going on right now", explained Snyder.

That's bad news for craft beer brewers. But TTB employees aren't even at work to give approval.

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Hooker won't mass produce the beers it needs approval on just yet. I think about all the spring releases that are going to be coming out soon.

Craft breweries are in fierce competition with each other for innovative new beers.

Owners there say they have a lot to look forward to.

That's because a crucial seal of approval in the production process of new beers can not happen right now. all thanks to the government shutdown.

GATZA: For beers that brewers want to release sometime in February or March, a lot of them are trying to rush their paperwork in now just so they don't get stuck having to wait months when the shutdown ends. "[It] doesn't matter what the size of the company is; when nobody's answering the phone, the work stops and it really puts the beer industry at a disadvantage", Purser said.