Disagreement among wholesalers in California over the rampant consolidation in the state, driven by Reyes Beverage Group, has created a split in what was once the sole trade association.
A significant number of wholesalers in the state have terminated their membership with the California Beer and Beverage Distributors to join the new California Family Beer Distributors. The new association has been formed to “protect our family-owned member companies from forced consolidation leading to monopolies in the industry,” according to the CFBD website. One of the stated priorities of the CFBD is to “protect member companies from forced consolidation by global mega-companies.”
Reyes has been buying up wholesalers throughout the state over the last few years and now sells nearly 50% of all distributed beer in the state.
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