Key points

• Despite a broader decline in North American beer consumption, Alberta craft brewers are seeing sales growth and strong community support at local taprooms.
• While mostly insulated from direct export tariffs, brewers face compounding supply chain costs for inputs—an expense they are absorbing rather than passing on to price-sensitive customers.
• For local breweries, resilience means making strategic, day-to-day decisions to overcome challenges that extend well beyond the taproom. 

Your favourite locally brewed beer has a story that stretches beyond the taproom. There’s the barley that goes into it, the can that holds it, and the business decisions that bring it to market. 

To celebrate Small Business Week (October 19-23), I sat down with Blair Berdusco, Executive Director at the Alberta Small Brewers Association (ASBA), to get a closer look at how small craft breweries are navigating economic uncertainty—and finding opportunities along the way.

A pint half full

In our latest Small Business Pulse report, 30% of entrepreneurs named weak consumer demand as a top challenge over the past year, and 28% pointed to rising input costs. We were curious to see if these pressures—among other challenges—were felt by craft brewers as well. Blair notes that they’re actually seeing encouraging signs on the demand side. And while Alberta’s brewers are concerned about economic uncertainty, like many other small businesses, they are still optimistic about their product and industry maturation.

Despite the broader decline in beer consumption in North America, Blair says the ASBA has observed recent growth in Alberta-made craft beer sales. Increased keg purchases also suggest support from more customers visiting taprooms and restaurants—in line with the nearly 8% year-to-date growth in Alberta’s restaurant and bar sales.

That points to one of the industry’s strengths. Breweries offer somewhere to gather, alongside a product made locally. Blair remains optimistic, believing these strong community ties will encourage consumers to direct a larger share of their spending toward local producers.

Bottlenecks beyond the border

These brewers may operate locally, but that doesn't shield them from the fallout of global trade disruptions.

According to Blair, very few Alberta breweries regularly export to the United States, limiting their direct exposure to U.S. tariffs on their products. While Alberta brewers benefit from local access to arguably the best malt barley, packaging remains a major pain point. The most common can size (473 ml) is sourced almost exclusively from the U.S. or China. Aluminum products crossing borders multiple times face compounding costs due to U.S. Section 232 tariffs and Canadian counter tariffs, leaving an essential input exposed to cross-border disruptions.  It has forced many breweries to explore alternative international suppliers or bulk-buy collaboratively to drive down unit costs.

Passing those costs along is difficult. Blair says many breweries are absorbing higher packaging costs because customers have little interest in more expensive beer. Even where sales hold up, profitability can remain under pressure—a challenge familiar to many small businesses. While packaging costs squeeze margins, flexibility in sourcing hops also gives producers options when choosing ingredients to help navigate these supply chain pressures.

Changing tastes

Adaptation also extends to what they sell. Blair points to more breweries producing lower-alcohol beers and other “refreshment beverages” (like spirits or cider) as customers seek alternatives. 

Moving into fully non-alcoholic production, however, can require a substantial investment because of the different techniques required to produce non-alcoholic beer—illustrating how responding to changing preferences brings its own financial decisions.

The next round (of growth)

Looking beyond Alberta offers another potential avenue for growth, although interprovincial barriers remain a concern. Blair welcomes efforts to improve market access, while noting that shipping costs and beer’s weight and shelf life still shape whether direct-to-consumer sales— selling products straight to customers through their own channels, skipping the retail middleman—make commercial sense.

Bottom Line

For Small Business Week, these experiences give resilience a concrete meaning: businesses adapting to uncertainty, adjusting their products, and deciding where scarce investment dollars will have the greatest impact.

Alberta’s brewers have local ingredients, community connections, and quality products to build on. Their next chapter will depend on continuing to use these strengths as they navigate challenges beyond the taproom door.

Answer to the previous trivia question: The first woman to be President and CEO of the Edmonton Chamber of Commerce was Janet Riopel. She took on the role in 2014 and led the organization until 2021.

Today’s trivia question: Who was the American medical researcher and physicist who developed standards for radiation protection and established techniques for treating tumors with radiation and X-rays?