Trade Minister warns beer producers against price increase

The Minister of Trade, Luc Magloire Mbarga Atangana, has issued a warning to alcoholic beverage producers in the country, urging them not to increase their prices without proper approval, citing potential violations of existing regulations.

Despite no official announcement from alcohol producers regarding a price hike, Minister Mbarga Atangana acknowledged swirling rumors hinting at an imminent increase starting January 1, 2024.

Emphasising the need for adherence to regulations, he stated that any price adjustment for beer or other alcoholic beverages must receive approval through a Ministerial decision.

The looming prospect of a beer price surge in the coming year is attributed to an uptick in taxes on alcoholic drinks and other products, as outlined in the 2024 finance law.

However, as the law awaits official publication and implementation, the Trade Minister deems any premature price hike as “hasty.”

He emphasised that “the price of beer and other drinks remains unchanged” until further notice.

In a separate directive, the Minister instructed Governors, Senior Divisional Officers, and Divisional Officers to ensure that beer prices remain stable during the festive period.

Currently ranging from FCFA 500 to FCFA 825 per bottle, beer prices in Cameroon last saw an adjustment in December 2022.

The country’s largest brewery company, Les Brasseries du Cameroun, now Biossons du Cameroun, had then announced a FCFA 100 increase on regular beers, citing inflation-induced rises in raw material costs and transportation expenses.

As the specter of inflation persists into the new year, the likelihood of another increase in beer prices looms.

Any marginal hike could exacerbate the already challenging cost of living situation in Cameroon.

According to Faostat, beer consumption in Cameroon has exhibited a consistent upward trend.

The per capita beer consumption reached an all-time high of 33.2 liters in 2016, with Cameroon currently ranked 155th among 161 countries in terms of beer consumption per capita.

Mimi Mefo Info