The Dominican Republic: Beer output falls 20.5% in H1

Production of beer in the Dominican Republic fell 20.5% in the first half of this year, the Central Bank reported on August 19.

Other products such as soft drinks posted a of 26.9% growth, the report says, but doesn’t specify what spurred the decline in beer production.

The decline was forecast by Dominican National Brewery CEO Franklin Leon in April, he when warned that once enacted, the tax reform would lead to a plunge in beer sales of more than 20%, compared with the same period last year.

Speaking at the National Palace after a meeting with president Danilo Medina, Leon said due to the economic situation, beer sales "aren’t as we’d like" but noted that “things are going well in the Brewery."

Dominican breweries contribute 1.7% of GDP and account for 6.5% of tax revenue, despite the 1.1% decline in rum production, according to Central Bank figures.

21 August, 2013