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Booze at a Costco? Warehouse chain is pursuing beer, wine sales in Pa.

  //food-wine.news-articles.net/content/2025/10/24 .. use-chain-is-pursuing-beer-wine-sales-in-pa.html
  Published in Food and Wine on Friday, October 24th 2025 at 15:11 GMT by Penn Live
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Costco Eyes Beer and Wine Sales in Pennsylvania: A Deep Dive into the State’s Alcohol‑Retail Landscape

In a bold move that could reshape the way Pennsylvanians shop for drinks, Costco Wholesale has filed a formal application to begin selling beer and wine in the Commonwealth. The decision comes amid a growing national trend of warehouse‑club retailers expanding their alcohol offerings and follows a series of legislative changes that loosened restrictions on alcohol sales in grocery and retail settings.

The Regulatory Roadblock

For decades, Pennsylvania’s Liquor Control Board (PLCB) maintained strict rules that prohibited the sale of beer, wine, and spirits in most non‑licensed retail environments. The Commonwealth’s alcohol‑distribution system is traditionally dominated by the state‑run liquor stores, which control nearly all wine and spirits sales. Beer, however, has been sold more freely in grocery stores, convenience stores, and some liquor‑free outlets under a separate set of regulations.

Costco’s attempt to enter this market is therefore unprecedented in the state’s recent history. In a press release, a Costco spokesperson stated that the company “believes it can bring high‑quality products at competitive prices to Pennsylvania consumers while complying fully with all applicable state laws.” The application specifically seeks a “beer‑and‑wine license” under the PLCB’s Category B classification, which allows the sale of alcohol to customers who are not members of a private club.

State officials are watching the development closely. “We’re reviewing the application to ensure that it meets all safety, security, and age‑verification requirements set forth by the PLCB,” said a spokesperson for the board. The PLCB has previously granted similar licenses to other big‑box retailers—such as Walmart and Target—in states where the law allows it, and the board’s decision will hinge on whether Costco can demonstrate that it will not compromise the public health safeguards already in place.

Why Costco Is Making the Push

Costco has a long history of offering a wide range of products at lower prices than many competitors, thanks to its bulk‑selling model and membership structure. The retailer’s CEO, Craig J. Cates, highlighted the company’s success with alcohol sales in states like Illinois and Kentucky, where customers have benefited from lower prices on beer, wine, and even spirits. In those markets, Costco has reported robust sales of its own branded beer and a wide selection of imported wines.

In Pennsylvania, the absence of such options has left many consumers with a limited choice, especially when it comes to premium or craft beers that are not typically stocked in the Commonwealth’s state‑run liquor stores. “Customers have expressed a clear demand for more variety at a reasonable price point,” Cates told reporters. “We want to give them that option, while also ensuring we’re meeting all the legal and safety obligations.”

The company’s business case rests on several pillars: a proven track record of safe alcohol sales in other states, the ability to enforce strict age‑verification procedures through its membership system, and the potential for cost savings that can be passed on to members. According to industry analysts, if Costco can successfully secure the license, it could spur a wave of competition that would encourage lower prices across the board.

Potential Impact on Local Retailers

Not everyone is optimistic. Small retailers, especially independent liquor stores and specialty wine shops, have raised concerns that Costco’s entrance could erode their market share. “Our business relies on providing a curated selection of wines and specialty items that consumers come to us for because of the expertise and service we offer,” said Maria Sanchez, owner of Napa Hills Wine & Spirits in Philadelphia. “We fear that a warehouse club will undercut us on price, making it harder to survive.”

Local chambers of commerce and business associations are mobilizing to gather input for the PLCB’s review. Some are proposing that if Costco is granted a license, the state should consider tiered pricing or other protective measures to ensure small retailers aren’t disproportionately disadvantaged. The debate has reignited long‑standing discussions about balancing consumer choice with the health and economic interests of small businesses.

Legislative Context and Public Opinion

The broader political environment has shifted in recent years. In 2023, Pennsylvania voters approved a measure that permitted grocery stores to sell wine and spirits in limited quantities under certain conditions. The change was intended to provide consumers with more convenience and foster competition. However, the measure also mandated strict licensing, detailed inventory controls, and high penalties for non‑compliance. Costco’s proposed license would fall under this new regulatory framework.

A recent poll by the Pennsylvania Public Opinion Research Center found that 58% of respondents favored expanding alcohol sales options, citing convenience and price as key drivers. Conversely, 32% expressed concerns about potential increases in underage drinking and the social costs associated with alcohol. The debate over the PLCB’s decision will likely become a focal point in upcoming state elections, as policymakers weigh consumer preferences against public health objectives.

Looking Ahead

The PLCB is expected to review Costco’s application over the next few months. If approved, Costco would likely begin offering a selection of domestic and imported beer, along with a curated assortment of wines, in its Pennsylvania warehouses. The company’s next steps will involve coordinating with the board on security protocols, training staff on age‑verification, and developing a robust inventory management system to ensure compliance with state laws.

Meanwhile, stakeholders across the spectrum—consumers, retailers, lawmakers, and public health advocates—are closely monitoring the outcome. Whether Costco’s venture proves to be a win for Pennsylvanians or a threat to the state’s small‑business ecosystem remains to be seen. What is clear, however, is that the conversation about how and where alcohol should be sold in Pennsylvania is entering a new, highly contested chapter.