- Published on Friday, 01 August 2008 14:31
- Written by Jamie Coggans
Rises in energy, packaging and transport costs has forced InBev UK to implement a hike in its wholesale prices.
The world's leading brewer, which has brands the Stella Artois, Becks, Leffe and Hoegaarden brands in the UK said that it could longer absorb rising costs and that it would be introducing a new wholesale price list effective with deliveries from September 15, 2008.
Prices of draught and packaged brands will increase by an average of 3.3% in the on and off trade.
The hike is the second one this year. In March prices went up 4.1%.
Stuart MacFarlane, InBev UK and Ireland president, said the brewing process is a very heavy user of energy so rises have an immediate impact on the price of producing a pint.
He said: "We have made every effort to absorb rising costs but the sheer size of increases we have faced in recent months and the fact that we are seeing further rises across virtually every element of our business, means that we now reluctantly have to pass on some of these increases to customers.
"We are committed to being as efficient a producer as possible in terms of our operating overheads and will continue to focus on cutting costs across the business."
The company said it would conitue to "heavily invest" in its brands and the cost-cutting measures would not involve redundancies.
MacFarlane added: "I cannot remember a time when so many major cost increases have come through so consistently across virtually every aspect of our business."