Governor Josh Shapiro has signed a bill allowing convenience retailers to sell RTD cocktails, according to the Meadville Tribune. The new law takes effect Sept. 15.
Previously, RTDs could only be sold in state-owned liquor stores. The bill restricts the sale of the drinks to before 11 p.m. and to drinks that have alcohol content lower than 12.5%, reported local news station WHYY.
According to the Pennsylvania Liquor Control Board, it anticipates that if the 12,439 licensed establishments, which also includes restaurants, bars, beer distributors, and grocery stores, apply to sell these ready-to-drink cocktails, it will raise $137 million in tax revenue over the next five years. That is not counting the additional money coming in from the permit application fees and annual renewal fees, wrote the Meadville Tribune.
Alex Baloga, president and CEO of the Pennsylvania Food Merchants Association, said the bill “represents a significant step forward for our industry. It offers consumers greater convenience and choice while supporting local businesses. We eagerly await the governor's signature to bring this exciting change to our state. This bill not only meets the evolving preferences of our customers but also provides a boost to our economy by opening new market opportunities for retailers.”
RTD cocktails have seen significant growth in the convenience channel. According to NIQ data from earlier this year that tracked the last 52 weeks of growth, ready-to-drink cocktails grew by 63.5% as consumers seek single-serve beverages.