Trade anger over Carlsberg prices

By Ewan Turney

- Last updated on GMT

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Carlsberg Deliverymen
Brewer blames rising costs as it ups prices by almost 5% across its range. Brewer Carlsberg has increased its beer prices for the second time within...

Brewer blames rising costs as it ups prices by almost 5% across its range.

Brewer Carlsberg has increased its beer prices for the second time within nine months in a move that has infuriated the trade.

The company is upping prices by 4.94% across the board and blaming the rising energy costs and a malt shortage - it raised prices by 3% in February.

The price increase, effective from 20 November, could add as much as 15p to a pint of Carlsberg and means its beer prices have climbed by almost 8% this year.

It will raise fears that other major brewers will slap on similar rises in the coming months.

InBev and Scottish & Newcastle UK said they had no plans to increase prices before the New Year.we have found it necessary to pass on increases in costs of production and distribution​Mark Crowther, On-trade sales director, Carlsberg UK.

"We are sticking to our promise of one price rise a year,"​ said S&NUK spokesman David Jones.

But a Coors spokesman said it did not wish to make a comment.

The Carlsberg price hike comes three months earlier than the usual round of annual increases.

Further Pressure​The move is certain to heap further pressure on licensees already suffering themselves from rising energy costs, a minimum wage hike and the effects of cheap supermarket booze.

"We are aware that this increase occurs ahead of what would have been a conventional annual review. However, we have found it necessary to pass on increases in costs of production and distribution, which are far in excess of the Retail Price Index,"​ said Carlsberg on-trade sales director Mark Crowther.

"Excluding any duty changes that may occur with the Chancellor's budget, we will hold any increase in Carlsberg UK brands until Autumn 2007,"​ Crowther promised.

Further analysis and background on this story is available in your weekly Morning Advertiser magazine.

Do you think this second price rise is fair?Will other brewers be quick to follow suit?How will these price rises affect your business?

Have your say in our forum​ by clicking the "Post new comment" link below

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