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“I think it’s a very important development. The concept of LCBO stores in grocery stores is something that will help improve access for consumers, which is something we’ve heard about.”

Duncan expects the pilot project will be well received by consumers and will then be expanded to other areas.

The LCBO will also create new VQA boutiques for Ontario wines inside five of its own stores, announced Duncan.

“These new VQA boutique stores within the larger LCBOs is really going to put a highlight on our wine industry,” he said.

The Progressive Conservatives have said it’s time to overhaul Ontario’s antiquated liquor laws and allow more private sector sales, especially in convenience stores.

Duncan said the changes announced Monday were not in response to the Tories’ plan, which he called “boneheaded,” and warned would mean less revenue for the government, which is facing a $14.4-billion deficit.

“That will destroy our wine industry because they won’t stock in corner stores VQA products and things like that,” he said.

“They’ll just jam in the highest volume things, which inevitably will hurt not only our wine industry but our craft beer industry.”

The LCBO turned over $1.65 billion to the province last year, excluding taxes.

PC Leader Tim Hudak has rejected the Liberals’ claim that selling any part of the LCBO would deprive the province of much-needed cash and said revenues would actually increase because there would be more choices open for consumers.

The Ontario Convenience Stores Association released a petition last July with 112,500 signatures gathered across the province supporting the idea of broader retail availability of beer and wine.

The petition was started by Joanne McMurchy, who runs the General Store in the hamlet of Vanessa, south of Brantford, where some of the 80 local residents complained they have to drive 20 minutes to get to a liquor store.

Former Liberal premier David Peterson promised to allow beer and wine sales in corner stores in the 1980s, but never followed through on the pledge.