Hyderabad: With a 15% increase in local beer prices effective Tuesday, the lowest price for a beer bottle will now be 120, while the highest will be 370, depending on the brand, size, and type (lager or strong).
According to reliable sources, the excise department opted for this 15% hike after the Price Fixation Committee recommended a price increase between 15% and 19%. This adjustment has affected the prices of 48 different types of beer.
Meanwhile, there is no hike for beers sold in single bottles, unlike those in cases containing 12 to 24 bottles. Such single beer cases generally cost between 1,200 and 1,800.
On Tuesday, various price lists circulated, causing confusion among companies, but excise officials provided a definitive list of increased prices by the evening. The Telangana govt also stands to benefit from this price increase.
For this financial year, the govt expects to earn 36,000 crore from liquor sales. In the first half of financial year 2024-25, 18,000 crore had already been generated. “Monthly income ranges from 1,700 to 2,100 crore, depending on the season, and on average, daily revenue is around 90 crore. With the price increase, we expect the monthly income to increase by an additional 300 crore,” sources said.
Officials have also instructed that old stock in depots be sold at the new prices by updating the labels.
Sources indicate that the companies were not satisfied with the increase, as they had requested a minimum hike of 20%, with the United Beverages Company even seeking a 33% increase and temporarily halting supply in protest.
“We have been waiting for a price hike for a long time, so we welcome the govt’s decision to increase prices, especially as production costs have been rising over the past few years. However, a slightly larger increase would have helped us better manage our losses,” a company representative stated.