Saskatchewan Government Closing Moose Jaw Location As Part Of Province Wide Retail Liquor Exit

By Robert Thomas

Year over year revenue declines are being sited for the provincial government’s decision to exit the liquor retailing business by the end of 2023.

"With year over year declines in net revenue at SLGA (Saskatchewan Liquor and Gaming Authority) retail, our government has made the decision to get out of the business of selling liquor," Minister Responsible for SLGA Lori Carr said in a statement.

"We believe now is the time to complete the transition to the private sector to free up financial resources for other priorities and to mitigate future losses,” Carr said.

Profits have been in decline in SLGA’s retail side of the business over the last several years.

The Saskatchewan government’s retail liquor outlet in Moose Jaw located in the former CP Rail passenger station- MJ Independent photo

Profits on the SLGA’s liquor retailing side were $9.4 million in 2018 - 2019 but declined to $3.2 million in 2021 - 2022. The profits for 2022 - 2023 are projected to be $395,000.

In a news release the provincial government states in order to maintain profitability many of the 34 government operated liquor stores need to either be relocated or physically adapted to better meet customer needs with no guarantees of recuperating those costs.

The actual closing date for the SLGA’s store in Moose Jaw is unknown at this time but the last retail outlet is scheduled to be closed March 31, 2023.

It is unknown at this time if another private liquor retailer will move into the SLGA’s retail location located in the former CP Rail passenger station.

The SLGA owns 19 out of the 34 stores it operates in the province.

For how long and whether there will be liquor sales after privatization in the present SLGA location in Moose Jaw is right now unknown - MJ Independent photo

According to the release the SLGA will work with the union - the Saskatchewan Government Employee’s Union (SGEU) - to negotiate a workforce adjustment plan for affected employees.

Physical assets, including 19 buildings owned by SLGA, fixtures and equipment will be sold in a separate process, the release also stated.

The retail store permits associated with the 34 stores will be sold via a public online auction process beginning in early 2023. As per usual process, successful bidders must still qualify to hold a commercial liquor permit, the release stated.

SLGA will continue to operate as the wholesaler of beverage alcohol for the province as well as the regulator of liquor, gaming and cannabis.

MJ Independent has placed calls and left messages with both the SGEU and the provincial government for comment and will post those comments when and if they do.