Alcohol sales dip last year in Pennsylvania
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Pennsylvania alcohol sales slipped last year as more people limited their drinking.
Why it matters: It's only the second time annual sales declined in the state over the past three decades, the last time being 2019-20, when the pandemic shutdowns began.
Driving the news: Total sales for wines and spirits across the Commonwealth slumped more than 1% in fiscal year 2024-25 compared to the previous year, coming in at $3.16 billion, per the Pennsylvania Liquor Control Board's (PLCB) unaudited fiscal report that was revealed last week.
- And net income for the agency dropped 44% from the previous year, hitting $135 million.
Flashback: Pennsylvanians flocked to alcohol later during the pandemic, leading sales to spike.
Between the lines: PLBC regulates the manufacture, importation, sale and distribution of all alcohol in the state, overseeing more than 560 Fine Wine & Good Spirits stores.
- The 2024-25 fiscal year ran from July 1, 2024, to June 30, 2025.
What they're saying: Shawn Kelly, a PLCB spokesperson, chalked up the sales drop to a variety of potential issues — changing consumer demographics, unfavorable economic conditions, and structural and cyclical market changes.
- The drop in net income was also attributed to an increase in payroll and benefits, and pension expenses, per a PLCB news release.
Meanwhile, the latest sales figures are drawing concerns from the state's wine and spirits industry.
- Mike Negra, the executive director of the Pennsylvania Wine & Spirits Association, tells Axios that the group is working with other trade organizations and the PLCB to help improve product selection and availability.
Zoom out: Declining alcohol consumption is a nationwide trend.
- The share of U.S. adults consuming alcohol hit a new low, with 54% reporting having an occasional drink this year, per Gallup data.
And adults looking to unwind also have more choices, including cannabis.
- While Pennsylvania leaders failed yet again to legalize recreational cannabis this year, nearly every state around the Commonwealth has legal weed for sale.
Plus: The trend of Americans drinking less also could be affected by the rise of the "sober-curious" movement, where younger people are pursuing sobriety for health and wellness reasons, while others are limiting consumption for the same reasons.
- Case in point: The rise in popularity of Dry January, an annual booze-free challenge (which some are extending into February and beyond).
What we're watching: For the PLCB to release its full annual report on alcohol sales for last year to see whether Fireball Cinnamon Whisky maintains its crown as the highest-selling spirit in the state for a fourth year running.