NBWA Boosts Distributors Against Human Traffic Goal to 25,000 Workers

National Beer Wholesalers Association (NBWA) announced a new goal for the Distributors Against Human Trafficking initiative: train 25,000 beer distribution employees in total across the country to spot and report signs of human trafficking by the end of 2021.

NBWA surpassed its initial goal of training 10,000 employees from the July 2020 launch to the end of 2021, in part thanks to a monumental effort by beer distributors during National Slavery and Human Trafficking Prevention Month in January. During that month alone, more than 5,000 employees joined the fight against human trafficking.

NBWA President/CEO Craig Purser announced the new goal today during the first day of live programing at the 2021 Legislative Conference, which is being hosted virtually for the first time.

“We have been blown away by the support our members have shown for the Distributors Against Human Trafficking initiative since its launch,” said Purser. “Our initial goal was to train just over 10,000 beer distributors to recognize and report the signs of human trafficking by the end of 2021. I am excited to announce that we have already exceeded that goal, and we hope to more than double our impact by training 25,000 employees by the end of this year.”

The Distributors Against Human Trafficking initiative centers around an awareness training video to train the more than 140,000 beer distribution employees in the U.S. to recognize and report signs of human trafficking. Beer distributors are uniquely positioned to help fight this heinous crime given their level of access to locations often unseen by the public as they visit around 600,000 licensed retail locations across the country.

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To Understand Where the U.S. Is, Understand the 2020 Election

To understand where we are as a country, you have to appreciate what happened in the last election, Amy Walter, national editor, Cook Political Report, said.  Elections always have an ending, she said.  You get a sense where the country wants to go. This election gave a lot of mixed messages.  We are an incredibly closely — but deeply — divided country.

Biden’s election wasn’t as dramatic as it seems.  Move just 90,000 votes and Trump would have been re-elected — while losing the popular vote.  Biden has 51% of the popular vote, Democrats have 50% in the House and the Senate.  “You can’t get even closer than that.”

“What we’re seeing is a country as polarized as ever.  It didn’t get worse, but it did get deeper.  The dividing lines are as much about density as much as anything else.  There’s also an economic divide, a cultural divide and a trust divide,” she said.

One way to look at it is to look at the nation’s 3,000-plus counties.  In 2012, Obama only won 23% of all counties, four years later, he won only 21%.  Biden won 16%.  Metropolitan areas are booming, both in population and economically.  Those 16% of counties Biden won account for 70% of GDP.  “The priorities the two parties have are different because they are representing two entirely different economies and priorities,” she explained.

Pew Research found that 20 years ago top issues of Rs and Ds were almost the same.  Today, there’s zero overlap.  The problem is, we don’t agree on priorities.  The Democrats’ top issue is gun violence.  The Republicans’, illegal immigration.

Turning to the “Trust divide”, she said Pew found that 90% of Democratic voters and Republican voters said if the other party won, they would do lasting damage to the country.  Only 20% believe the other party represents the country’s norms and traditions.  “How do you govern with this sort of divide?” she asked.

All politics has gotten much more nationalized, she said, adding that’s partly because of the collapse of local media. “The agenda is being set by media in New York, Washington, Los Angeles.” And it’s gotten more parliamentary.   In the 1990s, there were 100 members of Congress who represented districts that voted differently for president and congress.  This year, just 16.

“Having diversity within your party is important because it helps prevent the parties from going to the extremes.  During Biden’s first week in office, Gallup found he was the most polarizing of any president[ 98% of Rs thought they couldn’t support him.

When it comes to actual governing, Biden has been pretty partisan, Walter said, adding he’s signed more executive orders than any other president, including Trump.

It looks like there isn’t enough support for Biden’s big programs, like infrastructure, she added.

Biden has a 54% approval rating.  “That’s better than Trump, but not as good as other presidents.  Sixty percent approve of his handling of Covid.  But it remains to be seen how voters will view him after he gets into other policy areas,” she said.

With a 50-50 Senate majority, you have to get as much done as you can as quickly as you can.  It’s almost like smash-and-grab politics.  Get as much done as you can.  Historically, the party in power loses seats in a mid-term election.

With redistricting coming up this year, it’s important to note Democrats didn’t win at the state legislative level, so Republicans have the opportunity to draw new seats to take the Democrat’s Senate majority — and perhaps their House majority — away.

Biden has to be happy as he watches the stock market and the economy, she said.  But even a good economy doesn’t have the same heft as 20 or 30 years ago.  It doesn’t matter what the data tell you, the out-of-office party thinks the economy is doing terribly.

Expect a big drop-off in turnout because Trump isn’t in office or on the ballot anymore.

Walter’s bottom line:  No party should feel particularly comfortable in the majority. “We live in particularly volatile years.  When I first came to Washington, it was assumed Democrats would control the House, the Senate could flip and Republicans ran the White House.  That’s not the way it works anymore.  No party should think about getting to the place where they will have a 60% majority.

Biden has turned down the heat, but he hasn’t been able to turn down the polarization.  It doesn’t mean however that Congress is broken. We have a  culture that has an incentive structure that isn’t helpful to compromise or long-term thinking.  We have entire media models built on one thing: outrage.

Still, she said, not all is doom and gloom.  Congress can still deliver when it’s really needed; the response to Covid is proof of that. We’re a country that is incredibly resistant and optimistic.  Jon Meachum in Soul of a Nation said, “For all of our darker impulses, shortcomings and dreams denied and deferred, the struggle began so long ago is worth the struggle.”

NBWA President Craig Purser observed the 2017 tax bill was “a smash-and-grab tax package.  For our members, publicly traded companies got a permanent 21% tax rate, but our members will get an automatic tax increase in 2026.”

Walter noted that because one party tends to control an area, “The incentive is for people to win primary elections.  If you’re a Republican and you don’t have the endorsement of Trump, you’re not going to win.  On the Democratic side, progressives haven’t been as successful in knocking off the more moderate people.”

Walter:  REapportionment will move the electoral college by three votes.  Biden would have lost 3 votes.  Republicans are drawing twice as many lines as Ds.

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NBWA’s Top Lobbyist Expects Corporate Tax Rate to Rise

Laurie Knight, the National Beer Wholesalers Association’s EVP-Government Affairs, told NBWA’s Legislative Conference she thinks there will be an increase in the corporate tax rate.  “Where it goes, don’t know,” she said, adding she believes Democrats will take a page from the Republicans’ 2017 playbook, when they passed the tax bill on reconciliation without a single Democratic vote.

Knight had some advice for NBWA members on the Zoom meeting they will have with 70 new members of Congress.  First, “distinguish who they are in the alcohol universe and distribution universe — you’re wholesalers, the trucks on the road, distributing all products.”  Second, don’t be disappointed if you don’t meet–or meet only briefly with your congressperson or Senator.  “Understand that a staffer is key, because members are so very busy.  Junior staffers move up in the ranks pretty quickly.  Today’s junior staffer is often tomorrow’s chief of staff.”

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Sen. Joe Manchin: ‘The New Normal Won’t Be Like the Old Normal’

Because of the health crisis we have faced, bars and restaurants had to close, many permanently.  “But we see things coming back to life,” Sen. Joe Manchin, (D-W.Va.), told the National Beer Wholesalers Association‘s Legislative Conference.  “We don’t think the new normal will be like the old normal, he added, noting the SBA said it will begin accepting applications for the $28.6 billion Restaurant Revitalization Fill Friday (4/30).  As restaurants, etc., recover you will see all the businesses increase sales,” Manchin said.

“We’re in challenging times,” he added.  “I never thought I would see anything like Jan. 6, with our government attacked by Americans. We have to rebuild trust and commitment in our government.”

Asked about a move by House Democrats to abolish the filibuster, Manchine recalled the late Sen. Robert Byrd (D-W.Va.), who served in the Senate for more than 51 years, until his death in 2010, who explained the reason the filibuster is needed. The Senate is a deliberative body, unlike the House.  The founders “never expected the House to pass anything on a bipartisan basis,” he said.  The purpose for the Senate to work through everything on a bipartisan basis.  The reason they made sure that each state would have two senators, regardless of how big a state is whether in population or footprint, is the Founding Fathers didn’t want the big guys beating up on the little guy.

“If we don’t fight to restore decency and civility in the Senate, we’ll be no better than a third-world nation,” he added.

Manchin was asked about some current legislative topics.  On infrastructure he said, “We know there’s a tremendous amount of deferred maintenance on traditional infrastructure.  We have put about $6 trillion, mostly bipartisan except for the last bill.  I believe the current bill should be broken up to insure that what can get passed, gets passed. Manchin noted that lumber prices, houses and real estate markets are selling beyond the asking price and said he is worried about runaway spending train leading to inflation.”

Senators have to respect their colleagues, he said, noting the Senate last week passed a hate crimes bill, 94-1.  “No one should ever be subject to hate,” he observed.  Republicans offered three amendments on the floor, none of which were accepted, “and we still passed it.  We didn’t let the perfect become the enemy of the good.”

On statehood for the District of Columbia, Manchin said “it was never intended for any state to oversee the federal government.”  If the current constitutional provision that makes Washington, D.C., a federal district and not part of any state is to be changed, Manchin said, it should be done as a Constitutional Amendment and voted on by the American people.

Turning to taxes, Manchin said he supports raising the corporate income tax rate to 25% from 21%. That’s still down significantly from the 35% rate of just a few years.  But, he added, some $400 billion to $1 trillion of taxes owed isn’t collected every year.  “If you can’t collect what you’re owed, you have no business raising taxes,” he said, adding he supports increased funding for the Internal Revenue Service.

On electric vehicles, Manchin said the U.S. doesn’t mine the critical minerals needed to build the batteries. “We have to be sure we can sustain ourselves,” he said, adding, “We’re energy independent today, we should remain independent.”

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2020 ‘Worst Year’ for Beer, but 2021 to See ‘Incredible’ Swing from Off- to On-Premise Sales

The industry went through an incredible time last year, the rush to the off-premise, Lester Jones, chief economist, National Beer Wholesalers Association told the group’s legislative conference.  Consumers spent $20 billion less for beer last year than in 2019.  There was “a lot of demand for package beer, but that didn’t compensate for the $28 billion that was lost,” he added.

This will be another incredible year for beer, he said.  “We will see is a tremendous shift from off-premise to on-premise this year.”

Spirits grew 5% last year, but beer was up a measley 0.5%.  In 2000, about 50% of ethanol belonged to beer, but last year only about 45% belonged to beer.  “The battle for share of stomach, of wallet, etc., is paramount for beer,” he said.  “We have to make beer special if we want to win against liquor.”

This year “almost matches 2019.  The industry is chugging along heading to the summer selling season.  On-premise is coming back.  Looking at NBWA’s Beer Purchases Index, last year was its worst performance ever.  But in 2021, everything is a lot stronger.  The at-risk inventory (amount of beer at risk of going out of code in the next 30 days) — in much of 2020 was below 50.  But in the last couple of months, as sales picked up, wholesalers found themselves in a new less comfortable zone of operating with less inventory

In an effort to promote beer as a category, NBWA has partnered with other groups to create the Beer Growth Initiative which has “produced meaningful results,” NBWA said.   It’s essentially “an ode to the unexpected moments that make life just a little more fun.  It targets a more female-skewed audience between 21-29.

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Stella Artois Intros a Bottle to Aid Restaurant Recovery

As the restaurants look to reopen in the coming months, up to 80% of eateries across the country reported they are still at risk of permanent closure. So, Stella Artois is releasing an aluminum “Open for Good” bottle exclusively for sale to restaurants.  A portion of the proceeds will go be donated to the James Beard Foundation’s “Open For Good” campaign to help the industry.

“Over the last year, our work with the James Beard Foundation has allowed us to support restaurants from the start of the pandemic. With the return to full capacity, we hope this new product offering can further support the industry to safely return to operating as we remember them,” said Lara Krug, vp-marketing, Stella Artois. “We’re excited to invite consumers to join us in our efforts to support their local eateries with a Stella in hand.”

Named after the James Beard Foundation’s Open for Good™ campaign, Stella Artois new “Open for Good™” aluminum bottle not only supports the restaurant industry but gives back with proceeds from each bottle sold benefitting the campaign. Over the past year, the Foundation’s Open for Good™ campaign has supported chefs by leveraging their voices to advocate for the industry, provided direct financial relief, and created critical resources and connections for the industry.

The “Open for Good” bottles will also give consumers an opportunity to participate in rebuilding the restaurant industry and will feature custom QR code technology, a Stella Artois U.S. innovation, that allows consumers to take steps to further recognize and support their favorite local restaurants.

The new, custom-designed aluminum 14 oz bottle is available starting June 7 at participating restaurants nationwide. The new design makes them perfect for summer sipping at outdoor dining patios and venues. Visit StellaArtois.com/JBF for more information about the product and for restaurants to learn how they can carry the bottle.

The “Open for Good™” bottles are a part of Stella Artois’ upcoming campaign, “Your Table Is Ready,” dedicated to bringing people back to restaurant tables to savor time with loved ones while helping support their favorite local eatery. Extending through the summer, “Your Table Is Ready” is a robust marketing campaign that will live on television, online, social, and OOH nationwide. The campaign will also include experiential activations throughout the summer for drinkers to safely enjoy Stella Artois in a whole new way while supporting restaurants.

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