Heineken had already hiked its beer prices several times this year, but the beer giant is adding another price hike. The company has advised restaurant entrepreneurs that beer and cider prices will rise an average of 10.7% in 2023.
Earlier this year, Heineken already raised prices by 3.4%. This was followed by a 5.8% price increase in the summer. ‘We see prices rising sharply all over the world. This also applies to us as a company. Whether it’s transportation, raw materials like malt and hops or packaging materials like cardboard and foil; prices are skyrocketing when it comes to producing, packaging and transporting our beers’, reads a letter to entrepreneurs.
The brewer says that not all costs are fully passed on. ‘Heineken is absorbing some of these huge cost increases. At the same time, we cannot bear all the costs and we cannot avoid passing some of these increases on to our prices.’
Gigantic turnover
It is unknown if and by how much Heineken will raise the prices of its beer in supermarkets and other stores. The company has managed to create tremendous revenue growth this year. In the middle of the year, turnover was already 16.4 billion euros, a third more than last year. The remaining net profit was €1.3 billion, an increase of 22%.
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
