A beer price war in Norway, launched by retailers, could threaten jobs in the country's breweries, local press have reported.

On 15 April, beer prices were dropped to NOK6.50 (US$0.94) per 0.33-litre bottle. Before Easter, the price of a 0.33-litre bottle was NOK9.0. Retailers in Norway have said that they are prepared to cut prices even more in future to attract more customers.

The press reports suggest the move has been sparked by the expected arrival of German discount retailer Lidl into the Norwegian market later this year. Lidl is known for its strategy of attracting customers with low-priced beer.

The country's brewing trade is concerned, however, that the price war could threaten jobs at smaller breweries in Norway.