Russia: Russian government plans to increase by 135% the tax on beer. That would cause a rise of 50% of the price, and a fall of 25-30% of the request, considers the trade association of the brewers.

Earlier RBC announced that the increase in the excise rate on beer by 135 % in Russia suggested by the State Duma will lead to a 40 % increase, or RUR5 on average ($0.17) in retail prices for beer in 2005, RBC announced on June 23. As a result, 0.5 liters of beer that costs RUR15 (about $0.51) now will cost RUR20 (about $0.69), a representative of the Union of Russian Brewers told RBC. According to him, the share of the excise in retail prices for beer will reach 41 % if this indexation is adopted.

04 August, 2004