OPINION

Beer tax, large and avoidable

Fred Geschwill
Guest Opinion

There are less than 30 families that raise hops commercially in Oregon. Mine is one of them.

We’ve always taken pride in our work, but the Oregon Health Authority has decided that we are raising a crop that contributes to “large and avoidable costs on the health of all people in Oregon.”

What they aren’t realizing is that its proposal, which amounts to an 800% tax increase, is a threat to workers in fields, breweries, warehouses, bars and restaurants across this state. That’s who will pay these taxes, and that’s who, given the enormous struggles Oregon has faced with COVID-19 and wildfires this year, the state should be protecting, not attacking.  

Hops are a labor-intensive crop and a lot of that labor is done in the field. My employees are hard-working people that are enduring a pandemic.

With the closures of bars and restaurants and the ensuing drop in demand, my fellow farmers worry that our product won’t be purchased, hindering our ability to continue our businesses and retain our employees. Given these circumstances, we’re concerned that our leaders don’t understand or appreciate our way of life.

As unique crops that grow from rhizomes, hops require time to mature and establish themselves. Fortunately, our state’s climate — incredibly well-suited for hop cultivation — makes us one of the top producers in the world in terms of quality. There are only so many places that can do what we do, and it's unclear to me why our elected officials want to punish success.

In Oregon, it takes two seasons to plant and harvest the first crop. To make it economically viable, we need certainty. Especially when our partner brewers are holding off on signing contracts with us due to market instability. So our farm must wait to make any changes in acreage and hope that the economic climate improves.

However, if the OHA gets its way, it’s virtually guaranteed that some farmers won’t be part of the Oregon hop industry anymore. 

Another view: Last call? Tax proposal could muddle beverage industry

We’re just one sector of the economy that would be affected by this tax increase. There are countless people across the state who drive forklifts and trucks to move our product closer to the dinner table. There are many brewers who take care to brew our hops into their art form: beer. The thousands of waitresses, bartenders and restaurant staff that make our product great often go un-thanked. These are the people that the Oregon Health Authority would like to tax. 

I, for one, do not believe that my crop places avoidable costs on Oregonians’ health, and I think a lot of people in this state would agree with me.

Those of us in the fields are proud to call it a way of life. Yet, we are impeded by government agencies that claim to help us. Making it harder for us to do our job does the exact opposite of what the OHA says it wants to do.

Fred Geschwill

The solution is simple: Say no to taxing beer.

Fred Geschwill owns and operates F & B Farms in Woodburn with his wife, Leigh, brother, Bill, and sister-in-law, Heidi. You may reach him at hopgrower@fandbfarms.com