While many small Canadian businesses are preparing for the worst as President Donald Trump's tariffs loom, some may find a silver lining – Macaloney’s Island Distillery is one of them. <\/p>\n
Since B.C. Premier David Eby announced a halt on sales of liquor from 'red states' within the province, the Vancouver Island distillery has seen a surge in support. Even after that halt was temporarily rescinded.<\/p>\n
“I think there’s been a real Canadian sentiment. We see it on television with the premiers talking about trade barriers, but we’re seeing it with consumers too,” said Graeme Macaloney, founder, president and master whisky maker at Macaloney’s. <\/p>\n
Macaloney was fondly described by one of his employees as a “bit of a mad scientist entrepreneur.” He entered the whisky business as a teenager working at the Black and White Whisky factory in Scottland, and eventually studying fermentation, acquiring a PhD and a degree in biochemical engineering. His engineering career eventually led him into the business world and later to Canada, where he returned to his roots to found McAloney's Island Distiller. <\/p>\n
“You know, to be booing at a hockey match against Americans – that really says a lot about how Canadians feel about being abused by Donald Trump. That has translated into a lot of interest in buying Canadian,” he said. <\/p>\n
But tariffs aren’t the only thing boosting his business. Macaloney’s was already celebrating a haul of gold medals and awards at national and international whisky competitions last year. He had been trying to break into the U.S. market, but if a 25 per cent tariff is imposed on his products, he says it won’t be worth the effort. <\/p>\n
“There’s no way I will even attempt that – it will not be viable. However, we don’t need the Americans,” he said, explaining that his distillery is turning its focus to other countries and expanding sales within Canada. <\/p>\n
“When it comes to whisky made right here in Saanich, guess what? The No. 2 market in the world, and soon to be No. 1, is China.” <\/p>\n
Amid his efforts to get his bottles on shelves worldwide, Macaloney says new opportunities are emerging in Canada as well. <\/p>\n
“There’s always been kind of a glass ceiling, if you will, because with the BCL here, we’ve got five whiskies listed. In Ontario and Quebec, we only have one,” he said. <\/p>\n
“All of a sudden, we’re now talking to these other liquor buyers, saying, ‘Why don’t you list more of our whiskies?’ And then Canadians can visibly see there’s a bunch of new Canadian products.” <\/p>\n
Macaloney has no trouble keeping up with demand, thanks to his “proprietary distilling method,” which allows his team to produce high-quality whisky in less time. The method is so effective that a four-year-old Irish whisky made using the technique bested a 27-year-old competitor to win a world title. <\/p>\n
“I’ve got a warehouse full of whisky ready to sell now. I can make a lot more, and I don’t have to wait.” <\/p>\n
Overall, Macaloney says the trade war has so far been a net positive for his business, but he knows that’s not the case for everyone. <\/p>\n
“My anxiety, if you will, is just like that of many other small business owners. Thank goodness Canadians are supporting us by buying Canadian. That has been just massive,” he said. <\/p>\n
“Trying to build a business is constantly two steps forward, one step back. COVID was a massive hindrance to small business owners, then post-COVID you’ve got high inflation, and now you’ve got this rubbish coming out of Donald Trump. These are the kinds of things that kill small companies.” <\/p>\n