While many small Canadian businesses are preparing for the worst as President Donald Trump's tariffs loom, some may find a silver lining 鈥� Macaloney鈥檚 Island Distillery is one of them.
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 Even after that halt was temporarily rescinded.
鈥淚 think there鈥檚 been a real Canadian sentiment. We see it on television with the premiers talking about trade barriers, but we鈥檙e seeing it with consumers too,鈥� said Graeme Macaloney, founder, president and master whisky maker at Macaloney鈥檚.
Macaloney was fondly described by one of his employees as a 鈥渂it of a mad scientist entrepreneur.鈥� 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.
鈥淵ou know, to be booing at a hockey match against Americans 鈥� 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,鈥� he said.
But tariffs aren鈥檛 the only thing boosting his business. Macaloney鈥檚 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鈥檛 be worth the effort.
鈥淭here鈥檚 no way I will even attempt that 鈥� it will not be viable. However, we don鈥檛 need the Americans,鈥� he said, explaining that his distillery is turning its focus to other countries and expanding sales within Canada.
鈥淲hen 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.鈥�
Amid his efforts to get his bottles on shelves worldwide, Macaloney says new opportunities are emerging in Canada as well.
鈥淭here鈥檚 always been kind of a glass ceiling, if you will, because with the BCL here, we鈥檝e got five whiskies listed. In Ontario and Quebec, we only have one,鈥� he said.
鈥淎ll of a sudden, we鈥檙e now talking to these other liquor buyers, saying, 鈥榃hy don鈥檛 you list more of our whiskies?鈥� And then Canadians can visibly see there鈥檚 a bunch of new Canadian products.鈥�
Macaloney has no trouble keeping up with demand, thanks to his 鈥減roprietary distilling method,鈥� 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.
鈥淚鈥檝e got a warehouse full of whisky ready to sell now. I can make a lot more, and I don鈥檛 have to wait.鈥�
Overall, Macaloney says the trade war has so far been a net positive for his business, but he knows that鈥檚 not the case for everyone.
鈥淢y 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,鈥� he said.
鈥淭rying 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鈥檝e got high inflation, and now you鈥檝e got this rubbish coming out of Donald Trump. These are the kinds of things that kill small companies.鈥�
Those looking to replace their usual Jack Daniels or Buffalo Trace with a northern product can learn more about Macaloney鈥檚 whisky on their website.
