Sales of alcoholic beverages fell 1.6 per cent to $25.8\u00a0billion in the 2024-2025 fiscal year, despite a 1.6 per cent increase in prices during that same period. That’s because sales by volume dropped for the fourth year in a row as Canadians of legal drinking age purchased fewer drinks per week. <\/p>\n
Alcohol culture is shifting globally, with younger generations leading the change to a more sober lifestyle<\/a>, explained Rod Phillips, professor of history at Carleton University in Ottawa who specializes in the history of alcohol.<\/p>\n “We’re moving to, I’m not going to say a post-alcohol society, but a position where a lot of people are simply not accepting that alcohol is a pre-condition for having a good time with your friends or enjoying a meal,” Phillips told CBC News.<\/p>\n “It’s generational, but also broadly social, and certainly international.”<\/p>\n On average, Canadians bought the equivalent of eight drinks per week between March 2024 and March 2025, down from 8.7 a year earlier and 9.7 a decade ago, according to Statistics Canada.<\/p>\n Beer, wine, and spirits sales all fell in both dollar amount and volume. Ciders and coolers were the only category to grow in that time period, the agency noted, though they remain the smallest share of the market at 9.3 per cent of total alcohol sales.<\/p>\n Culture shift and cost<\/p>\n Recent studies<\/a>, reports<\/a> and polls<\/a> have all shown<\/a> that younger generations are drinking less than older adults.<\/p>\n You can see the shift in the data<\/a> \u2014 and in daily life \u2014 through the surge in non-alcoholic<\/a> drink options and the rise of “soft clubbing<\/a>” and morning raves<\/a> among Gen Z, gatherings that emphasize connection over substances.<\/p>\n Phillips said younger people are also more receptive to warnings about the health consequences of alcohol, including links to cancer and heart disease, as well as overall well-being.<\/p>\n “That when you go out and drink one night, the next morning you either have a hangover or just don’t feel 100 per cent,” he said.<\/p>\n At the same time, alcohol has become more expensive. Inflation, climate impacts<\/a> on scotch-makers and vineyards, and tariffs on the aluminum used in cans<\/a>, have all contributed to higher costs.<\/p>\n The cost of buying alcohol in stores rose 1.6 per cent, according to Statistics Canada. In the most recent inflation report<\/a>, alcohol purchased in licensed restaurants and bars in January was up 9 per cent from a year earlier, though the data was influenced by last year’s GST\/HST break.<\/p>\n A November survey<\/a> by Angus Reid for Restaurants Canada found 32 per cent of Canadians surveyed said they cut back on alcohol purchases to save money.\u00a0 <\/p>\n “The decline in alcohol consumption has had a significant impact on the restaurant industry,” Chris Elliott, Restaurant Canada’s chief economist, told CBC News.<\/p>\n Based on industry averages, alcohol accounted for 21.1 per cent of total revenues at full-service restaurants in 2013, but fell to 17.1 per cent by 2023, the most recent year available, Elliott said.<\/p>\n “The overall impact is that people are spending less when they dine out, in part due to not ordering alcohol or reducing their alcohol consumption.” <\/p>\n Bars and breweries closing<\/p>\n In its Thursday report, Statistics Canada <\/a>said beer sales in 2024-2025 fell 1.6 per cent to $9.1 billion, while volume fell 3.8 per cent to the equivalent of 3.1 standard bottles per week per person of legal drinking age. It was the ninth consecutive annual decline in beer sales by volume. <\/p>\n Wine sales fell\u00a02.2 per cent to $7.7\u00a0billion in\u00a02024-2025. Volume also fell for the fourth year in a row, to the equivalent of 1.9 glasses per week per person of legal drinking age. And sales of <\/p>\n Spirits sales fell 3.2 per cent to $6.7 billion, while volume fell 4.4 per cent to the equivalent of 2.2 shots per week. <\/p>\n WATCH | Number of craft breweries in Canada shrinking: The party may be over for craft beer as consumer drinking habits change<\/p>\n With beer sales down, the number of craft breweries across Canada is starting to shrink after years of unprecedented growth. Experts say the decline is partly due to changing consumer drinking habits. <\/p>\n Craft breweries are closing<\/a> across Canada as sales decline, Elliot said, and bars are closing as well. He said Canada had nearly 9,000 bars and nightclubs in 2000, compared with just 3,721 in 2025. <\/p>\n Meanwhile, global wine consumption is at its lowest level since 1961, according to the International Organisation of Vine and Wine, <\/a>citing inflation, lifestyle changes, shifting social habits and generational changes in consumer behaviour. <\/p>\n Bloomberg reported<\/a> last fall that shares of the world\u2019s top publicly listed beer, wine and spirits makers lost a combined $830 billion US over the previous four years as drinking habits changed.<\/p>\n A domestic boost<\/p>\n It’s not all bad for the alcohol industry. Domestic sales edged up to represent\u00a060.6 per cent of total alcohol sales in Canada, up from 59 per cent a year earlier, according to Statistics Canada. The domestic share increased across all drink categories.<\/p>\n Perhaps most notable, though, was a 3.9 per cent decrease in imported wine sales, and a 1.9 per cent increase in domestic.<\/p>\n “This was the first time imported wine sales have decreased since Statistics Canada began tracking alcohol sales by origin in\u00a01992\/1993,” the agency said.<\/p>\n In February 2025, most provinces\u00a0pulled millions of dollars’ worth<\/a>\u00a0of U.S. wine and spirits from store shelves in response to U.S. President Donald Trump\u2019s decision to impose a 25 per cent tariff on Canadian goods. <\/p>\n![\"Wine](\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2026\/03\/1772889488_682_default.jpg\")
Alcohol-free bottles of wine at the 2026 edition of the Wine Paris international wine and spirits fair in Paris in February 2026. (Guillaume Baptiste\/AFP\/Getty Images)<\/p>\n![\"\"](\"https:\/\/www.newsbeep.com\/ca\/wp-content\/uploads\/2026\/03\/1772889489_481_default.jpg\")
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Empty shelves where American-made wine was removed are seen as an employee speaks to a customer at Bishop’s Cellar in Halifax in March 2025. (Darren Calabrese\/The Canadian Press)<\/p>\n