Beer will become more expensive, say Ambev and Heineken – 05/31/2023 – Panel SA

The brewing industry, led by Ambev and Heineken, has already warned the Ministry of Finance and the various states that today they are thinking of raising taxes in the sector to reinforce cash, which can no longer hold the price of the drink.

Represented by Sindicerv, the manufacturers presented a study carried out by FGV (Fundação Getúlio Vargas) showing that, from 2019 to the end of 2022, they absorbed 52.8% of the increase in production costs. The pass-through to prices was, according to the entity, 14%.

The sector has weight in the calculation of inflation measured by the IPCA.

This policy reduced the already tight profit margins. For microbreweries, the result was worse: no return.

The entity claims that the increase in costs is due to the shortage of packaging, high prices of malt and hops, key inputs of beer, both imported in the vast majority.

Even so, the expectation is to close this year with an increase of 4.5% in the production and consumption of the drink, reaching the level of 16.5 billion liters.

With Diego Felix

PRESENT LINK: Did you like this text? Subscriber can release five free hits of any link per day. Just click the blue F below.