Beer industry leaders in Slovakia have warned that jobs and breweries are at risk from the Government plan to increase excise tax on beer by 50%.
Tax would rise to EUR0.22 (US$0.29) per litre on 1 March 2011, from EUR0.149 per litre currently, under the Slovakian Government’s proposal.
Representatives of the country’s Beer and Malt Makers Association (ZVPaS) have warned that this could erase hundreds of jobs. “When duty was raised last time, in 2003 [by 100%], per capita consumption of beer in Slovakia fell by approximately twenty litres,” ZVPaS’ executive director, Roman Susták, told just-drinks today (23 September).
In a letter to the Government, ZVPaS has highlighted that the 2003 increase resulted in a fall in beer production of up to 1.5m hectolitres. It added that seven breweries closed down and 1,200 workers were made redundant.
The current proposal still has to be approved by Slovakia’s Parliament.
Stay informed for just £1! *
Subscribe to Just Drinks for unbiased coverage of the global drinks industry, offering insights into the corporate strategies of beverage manufacturers and brands worldwide.
What’s included in your subscription:
Unlimited access to Just Drinks content including daily global news, in-depth analysis, and interviews with C-suite executives
Unbeatable coverage of categories from beer, wine and spirits to soft drinks and hot beverages
Unrivalled drinks industry comment from leading sector specialists
Ready to stay informed? Subscribe now and gain access to exclusive content.
How well do you really know your competitors?
Access the most comprehensive Company Profiles
on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Company Profile – free
sample
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the
unique
quality of our Company Profiles. However, we want you to make the most
beneficial
decision for your business, so we offer a free sample that you can download by
submitting the below form