DELTA HIKES BEER PRICES

Chronicle (Zimbabwe) - - Front Page - Ku­dak­washe Mhundwa

BEV­ER­AGES gi­ant, Delta Cor­po­ra­tion, yes­ter­day an­nounced new rec­om­mended whole­sale and re­tail prices for its clear beer prod­ucts that are sold across the coun­try, a move that has re­sulted in a 25 per­cent in­crease of the firm’s lager beer prices.

The move by Delta fol­lows an an­nounce­ment by the com­pany to sell its prod­ucts in hard cur­rency cit­ing that its busi­ness was be­ing “ad­versely af­fected” by for­eign cur­rency shortages, which re­sulted in the com­pany fail­ing to meet de­mand obli­ga­tions.

The de­ci­sion was, how­ever, re­scinded last week af­ter the firm was en­gaged in talks with Gov­ern­ment.

Fol­low­ing the meet­ing with Delta ex­ec­u­tives, which also in­volved Vice Pres­i­dent Con­stantino Chi­wenga and RBZ Gov­er­nor Dr John Man­gudya, Fi­nance and Eco­nomic De­vel­op­ment Min­is­ter Pro­fes­sor Mthuli Ncube ap­pealed to pri­vate firms to be pa­tient while Gov­ern­ment worked on fis­cal con­sol­i­da­tion.

“We are say­ing the pri­vate sec­tor should wait for us to give pol­icy. They should be pa­tient and see how our fis­cal pol­icy is mak­ing progress. We are mak­ing good progress in fis­cal con­sol­i­da­tion and once we are ready, we will in­sti­tute the req­ui­site mon­e­tary re­forms,” said Min­is­ter Ncube.

“They should not rush ahead to choose the cur­rency they think the whole coun­try should adopt. They should just be pa­tient, let us work to­gether. That is re­ally our mes­sage,” he said.

An­nounc­ing the new prices, Delta cor­po­rate af­fairs ex­ec­u­tive Pa­tri­cia Mu­ram­binda, said the lat­est in­crease is meant to cush­ion the bev­er­ages gi­ant in the face of in­creas­ing lo­cal costs.

“Delta Bev­er­ages has in­creased the whole­sale prices of clear beer by an av­er­age of 25 per­cent. The rec­om­mended re­tail prices have been ad­justed ac­cord­ingly.

“The ad­just­ment of the whole­sale price is meant to cush­ion the com­pany against the sig­nif­i­cant in­creases in lo­cal costs, as confirmed by the of­fi­cial in­fla­tion statis­tics. It also ad­dresses the value share with the re­tail part­ners. The com­pany is still as­sess­ing the cost im­pact on its other prod­ucts.

“The com­pany notes the re­ports about hikes in the re­tail prices of its prod­ucts. These prices do not re­flect the cost of ac­quir­ing the bev­er­ages from Delta.”

Some bot­tle stores have been sell­ing 375ml of Cas­tle Lager beer up­wards of $2 and up­wards of $4 for green bot­tle lagers such as Golden Pilsener.

“We com­mend the modern trade chan­nel that con­tin­ues to charge rec­om­mended prices. We urge our re­tail part­ners to be con­sid­er­ate in deal­ing with the con­sumer,” said Ms Mu­ram­binda.

Ac­cord­ing to a state­ment re­leased yes­ter­day, the bev­er­ages gi­ant said prices would be im­ple­mented with ef­fect from 7 (yes­ter­day) Jan­uary 2019.

As such, the rec­om­mended re­tail price in­clu­sive of value added tax (VAT) for lagers par­tic­u­larly Cas­tle Lager, Lion, Car­ling Black La­bel (375ml and 750ml) are $1 and $2 re­spec­tively, while Bohlingers, Golden Pilsener and Zam­bezi (340ml and 660mln) are $1,25 and $2,50.

Ea­gle Lager (375ml and 750ml) $0.75 and $1,50, Cas­tle Lite (330ml can and 340ml NRB) $1,50 and Kogs- Cas­tle lager, lion, Car­ling Black La­bel (30 L) $90,00 Kogs- Zam­bezi, Golden Pil­sner (30 L) $180 and Kogs- Ea­gle (30) $45,00.

Bulk prices for cases with VAT stand at Cas­tle Lager, Lion, and Car­ling Black La­bel 375 ml (24 units per case) $19,60 , Cas­tle Lager, Lion, and Car­ling Black La­bel 750ml (12 units per case) 19,60 , Bohlingers, Golden Pilsener and Zam­bezi 340ml (24 units per case) $24,00, Bohlingers, Golden Pilsener and Zam­bezi 660ml (12 units per case) $24.00, Ea­gle Lager 375 ml (24 units per case) $14.70, Ea­gle Lager 750 ml (12 units per case) $14.70 and Cas­tle Lite 330ml can (24 units per case) $30.00 re­spec­tively.

Lager beer prices were pre­vi­ously pegged at 80c for 375ml re­turn­able bot­tles; 750ml re­turn­able ($1,50); and 340ml re­turn­able ($1).

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