The Association of Canadian Distillers (ACD) was founded in 1947 to represent Canada's major distillers, all of whom are licenced manufacturers and marketers of distilled spirits products. The ACD's mission is to protect and advance the interests of its members, and to promote and protect, both nationally and internationally, the well-being and viability of the Canadian distilling industry.

The ACD is committed to fostering more positive social and responsible attitudes toward the consumption of distilled spirits (gin, vodka, rum, Canadian Whisky) in Canada; aggressively pursuing and enhancing the recognition of the name and positive reputation of Canadian Whisky as Canada's unique 'appellation' distilled spirits product, both in Canada and internationally; and preserving and protecting the integrity and standards of all distilled products.

The distilled spirits industry directly and indirectly generated $2.6 billion worth of economic activity. (Conference Board of Canada).

All beverage alcohol products contain ethyl alcohol, and standard servings of spirits (1.5 oz. at 40% alc/vol), beer (12 oz. at 5% alc/vol) and wine (5 oz. at 12% alc/vol) all contain the same amount of alcohol. However, spirits are taxed by governments at 83%, significantly higher than both wine (65%) and beer (53%) - an unfair situation which is not justified by any valid public policy objective. The distilled spirits industry does not seek special treatment - only equal and fair treatment in comparison to other beverage alcohol producers.

Since 1981, as governments have increased taxes, domestic spirits sales have decreased by 46%. Unless steps are taken by the federal and provincial governments to create a more level playing field in the taxation of alcohol, the spirits industry will continue to suffer long-term economic decline: 19 distilleries have closed since'81; 4,000 direct Canadian jobs are gone. The ACD has recommended to governments that they level the playing' field in the taxation of beverage alcohol products by implementing a taxation structure based on absolute alcohol content. A level playing field will save jobs, create new ones and increase Canada's economic activity. It is not calculated to increase consumption, but rather to recapture most of the business now going to smugglers and the underground economy.

As a result of the large difference in tax rates between Canada (83%) and the United States (42%), smuggling has become a major threat to the industry and government revenues. At least 4 million cases (12x750 ml) bottles of American and foreign produced product are sold illegally in Canada every year, resulting in a $1 billion loss in federal and provincial tax revenues and a loss of more than $200 million in sales revenue annually for the distilled spirits industry.

The ACD collaborates with governments, public health agencies, educators, law enforcement agencies and many other stakeholders across the country on alcohol awareness programs. We have participated in the development of several important messages and initiatives to remind and encourage consumers who choose to drink beverage alcohol to do so responsibly and moderately.

You can also download (192 KB) a printable copy of The ACD Fact Sheet in PDF format.