Mississippi alcohol community roiled by liquor and wine delivery delays stemming from state warehouse failure

(SeaPRwire) –   Brandi Carter’s business depends on her wine supply.

As the owner of Levure Bottle Shop in Jackson, Mississippi, she sells natural wine that’s delivered to her store by a state agency tasked with distributing alcoholic drinks to liquor stores, bars, and restaurants. However, delays stemming from issues at a state warehouse have left Carter and numerous other retailers with shrinking inventory and declining sales while they wait for fresh shipments.

Carter—who also manages the beverage program for a Jackson restaurant—stated that she’s been grappling with delays since February, and she feels powerless as foot traffic in her shop decreases.

“I’ve just come to accept that this is our new normal, and it’s terrible,” Carter said on Wednesday.

Mississippi’s state agency is the sole distributor of wine and liquor

In Mississippi, the state’s Alcoholic Beverage Control department—an affiliate of the Mississippi Department of Revenue—handles the distribution of wine and liquor to licensed businesses. This setup differs from other states, where private companies manage alcohol distribution, Carter noted.

For the week ending April 12, over 172,000 cases were awaiting delivery, and businesses waited an average of 17 days to get their orders, per the Mississippi Department of Revenue.

These figures are lower than those from the week ending March 1, when the backlog seemed to hit its yearly peak. Back then, over 220,000 cases were pending delivery, and the process took an average of 25 days to finish.

By comparison, for the week ending Jan. 11, the number of pending cases stood at over 51,000, with a wait time of just three days, the department reported.

Carter noted that the backlog has led to wait times of four to five weeks, compared to the previous two weeks or less before the delays started.

Warehouse problems are the root cause of the delays

Shipping delays from the state’s 40-year-old warehouse started in January when the facility phased out its “obsolete” conveyor belt system in favor of a pallet-based method for moving cases, per a Mississippi Department of Revenue statement. The department added that a new warehouse management system had technical glitches, which contributed to the delays.

“The warehouse’s new computer program didn’t integrate well with the ordering system,” Carter explained. “The initial backlog was the worst because items were marked as shipped even though they hadn’t been sent out.”

The department stated that technical issues have been fixed, and the warehouse is now running at full capacity, with pending orders being shipped as retail demand rises.

“Although the current facility’s capacity has been a struggle for more than five years, there is no alcohol shortage,” the department emphasized. “Once retail orders stabilize, we expect shipments to return to normal levels in the next few weeks.”

Lawmakers considered adjusting the distribution system

Mississippi lawmakers debated a temporary measure that would have let out-of-state distributors sell and ship alcohol directly to retailers. The bill would have expired after two years, but it failed to pass. The state’s legislative session has already concluded.

The revenue department noted that a new warehouse, scheduled to be finished by the end of this year, will be able to store and ship more than twice the number of cases as the current facility.

Retailers and customers frustrated by the backlog

Josh Sorrell, owner of Spillway Wine and Spirits in Brandon, shared that he once ordered 600 cases a day, but now he’s restricted to just 100 cases daily. He added that roughly 30% to 40% of the items he typically orders each day are out of stock.

Sorrell thinks reinstating the conveyor belt system would solve the issue. He has requested that Mississippi Gov. Tate Reeves declare a state of emergency.

If delays persist, Sorrell worries that his business will struggle through the end of the year—when he generates most of his revenue.

“As things get busier, we’re going to fall apart,” he said. “I mean, it’ll be nearly impossible to stock up for October, November, and December with only 100 cases a day.”

At the same time, customers are visiting three or four stores to find their preferred bottle, and they often come up empty-handed, Sorrell noted.

“It’s frustrating to lose customers who come in looking for a specific product that I can’t even obtain from the state,” he stated.

On Thursday, Lauren Roberts visited Sorrell’s store to find Soda Jerk’s orange cream shots, but he was out—just like the supermarket where she normally purchases them. So she picked up a different drink for an upcoming family celebration.

“We’re having a small gathering this weekend because it’s my daughter’s prom and her boyfriend’s family is coming,” Roberts said. “Everyone else has their drink of choice, but not me.”

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Sainz contributed reporting from Memphis, Tennessee.