There are several reasons why the Ontario market is of interest to wine suppliers. The main reason is that the LCBO simply cannot manage and adequately distribute millions of different wines, as in a “free market”. Only about 3,500 wines are sold in the LCBO stores through their general listing (i.e. wines available year-round), which means that when one wine is part of this listing, its sales can be much greater than in any other market. Another reason for suppliers to focus on this particular market is that the LCBO is a government-regulated body, which makes all the ordering, forwarding, and payment processes very formal and straight forward.
Privatization of the market has been a theme of discussion for many years. It is a subject that frequently returns during provincial election campaigns. The Ontario government recently realized a $38 billion deficit, and one way of solving a part of this debt would be to sell the LCBO and privatize it by franchising its retail stores. The summer of 2005 had been marked by a rumour of a labour strike by LCBO employees, whose main union – OPSEU - feared a privatization of the LCBO. Although the Ontario government has consistently stated that the LCBO is not for sale, it may still take years before any real change happens in the distribution of imported alcohol within the province.