Beer prices reduced

HARARE - The retail price of beer has marginally gone down from between 5 cents and 20 cents across the whole portfolio since Monday, Delta Corporation (Delta) has said.

According to the latest statement from the listed beer manufacturer, a 375ml pint of lager is now sold at a recommended retail price of $0,95 although most retail outlets are likely inclined to price it at a dollar.

The price of a 750 ml quart has been reduced from $1,75  to $1,60 while the Eagle Lager quart which was retailing at $1,20 has been reduced to $1.

The magnum 660ml returnable bottle for Golden Pilsener, Zambezi Lager and Bohlingers has also been reduced from $1,80 to $1,75.

Also reduced is Castle Lite non-returnable bottle which was previously retailing at $1,20 has now gone down to $1,15 including its popular 440ml can which is now $1, 25 from $1,30.

Delta’s general manager lager beers business unit

Munya Nyandoroh explained that affordability had become a big issue for the Zimbabwean consumers and therefore was urging traders’ usual support in complying with the new recommended retail prices.

“In this review, we at Delta believe that we have come up with a menu that benefits our valued consumers significantly whilst at the same time creating more value for our customers and partners,” he said. He added that their sales teams will continue supporting retail outlets with the requisite point of sale materials to communicate this development.

Market watchers say the marginal reduction in beer prices is a welcome development meant to cushion hard-pressed imbibers, but because of change issues, the reduction might not be felt particularly in public bars. Government is introducing special coins soon, according to the central bank.

In the first quarter to June 2014, Delta said lager volumes fell 21 percent year-on-year due to continued depressed consumer demand, while revenue for the quarter dropped by three percent.

This comes as Delta has been negotiating with government over a possible reduction of excise duty which had taken a toll on the group’s lager beer volumes. Zimbabwe increased excise duty on lager beer from 40 percent to 45 percent of manufacturer’s price with effect from December 2012.

However, the move impacted negatively on both volumes and retail pricing.

“As you know excise (duty) is a fundamental piece in our business.

“If we don’t get it right it affects what we do going into the future,” Delta’s chief executive Pearson Gowero recently said.

 

Comments (5)

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GALLERYCARTRIDGES - 18 September 2014

18 September, Delta slashes beer prices. 18 September, Tayana Sports club raises beer prices. Come to think of it i wonder if some businessmen in our midst went thru the doors of even kindergarten zvayo. Mupfana Shingi up your game. Tonight the whole area will be teeming with cars but lo and behold ,wopinda muTayana unowona vanhu 5 apa Hollick bottle store rinenge richitora dhora. Some people never learn.

ndozvo - 19 September 2014

one sentence should read Tayana sports Bar raises beer prices.

ndozvo - 19 September 2014

DELTA'S HYPOCRISY (SP) Delta actually increased their prices but then announced that they are reducing in outlets they do not own or assist with anything. A crate which was going for 1730 is now at 1830 but they go on and announce a beer reduction - MADNESS AT ITS BEST.

Noah Jacobs - 19 September 2014

When did the price come down ? As far as I know more that two weeks ago some outlets were selling at these reduced prices already. This makes me agree with the above, that there are some outlets that get Delta support and others that do not get it.

paradzai zhuang - 19 September 2014

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