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June 21, 2020Iowa City, Iowa |  By: AP

Regulators back off major price increase for liquor in Iowa

IOWA CITY, Iowa (AP) - The government agency that regulates liquor sales in Iowa says it has backed off a major price increase for some products that it proposed to reduce heavy drinking.

Iowa Alcoholic Beverages Division spokesman Tyler Ackerson confirmed that distributors were notified last week of a price increase that was planned for July 1.

But he said the notice created negative "feedback from suppliers and other stakeholders" and that the agency has dropped the plan indefinitely.

Ackerson said distributors were concerned about the economic impact, particularly during the coronavirus pandemic. The planned increase had already been delayed from May 1 to July 1.