PETALING JAYA: Drinkers will likely continue to enjoy their daily pint without having to dig too deep into their pocket.
The Malaysian Food and Beverage Executives Association said club and bar owners have no choice but to absorb all or a part of the price increase to keep the drinkers happy.
Its vice-president William Quah Lee Poh said there was little that these business owners could do.
“If we raise prices too high our business will be affected,“ he added.
Carlsberg Brewery Malaysia Bhd and Heneiken Malaysia Bhd recently confirmed that beer would cost more from April 1.
Carlsberg managing director Lars Lehmann announced last week that distributors and retailers would have to pay 3% to 6% more.
“We want to keep any price increase to a minimum to ensure our product remains affordable and competitive,“ he said.
The price of bottled beer will also rise by 4%.
The brewery attributed the need to raise prices by 15% to 20% of malt due to a bad harvest of barley in Europe and Australia.
Barley is the main ingredient for making beer.
Other factors are the 6.6% rise in electricity costs and higher minimum wages.
Heneiken said prices would rise by a maximum of 5% across its entire range of products.
Its managing director Roland Bala blamed the significant increases in costs on raw materials and packaging materials.
Quah advised club and bar owners to have more value-added propositions and promotional efforts to boost sales.
Breweries could also collaborate with bar and club operators in advertising and promotional efforts.
He said the price increase was not unexpected.
Nonetheless, pub owners and operators could fall back on a wide variety of alcoholic beverages to keep customers patronising their outlets.
“There are people who drink only wine or whisky, so we’re okay,“ he added.
