Beer Prices In Telangana Go Up By 15% Effective Today, February 11 Here's Why

2025-02-11 06:29:38

(MENAFN- Live Mint) The Telangana state has increased the beer prices in the state to 15 percent effective from today i.e. February 11, report by Telangana Today stated. Citing a governement order, Reuters reported all existing stock has been directed to be sold at the revised rates.

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This order came after last month, Heineken's Indian unit United Breweries halted supply briefly over pricing and non-payment of dues by the state government .

United Breweries, which brews the popular Kingfisher brand, last week cited delayed payments and a lack of government approval for higher prices since 2019/20, which had damaged its finances , for halting sales to Telangana.

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Notably, United Breweries, the country's biggest beer company, dominate 70 percent of the state's beer market, where 60 million 12-bottle cases are sold each year. Alcohol is bought by the state government and then supplied to stores in Telangana, where officials had rationed supplies to deter hoarding and tackle shortages.

Last month, it was also reported that not just United Breweries , but there has been increasing pressure in India's $45 billion alcohol sector, as companies like Diageo, Pernod Ricard, AB InBev, and Carlsberg collectively seek $466 million in outstanding payments.

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The Brewers Association of India had stated that beer prices in Telangana are approximately 300 rupees per case, while in Maharashtra, they are around 500 rupees per case. It said that states taxes and retailer margins on top of these lead to a consumer price which is five to six times higher in most Indian states.

Beer prices rise in Karnataka

Beer prices in Karnataka were also raised last month, starting from January 20. According to Times of India report, the price of a 650ml beer bottle in the state increased by ₹10-45, depending on the brand. This had come after the state government issued a final notification regarding the price hike of beer earlier last month.

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