Zim’s Delta Corporation hikes beer prices by 25% to curb increased costs

ZIMBABWE – Delta Corporation has announced a new recommended wholesale and retail prices for its clear beer products sold across the country resulting to an increase in a 25 % increase of the firm’s lager beer prices, reports the Herald.

Patricia Murambinda, Delta corporate affairs executive, while announcing the new prices said that the latest increase is meant to cushion the beverages giant in the face of increasing local costs.

“Delta Beverages has increased the wholesale prices of clear beer by an average of 25 percent.

The recommended retail prices have been adjusted accordingly.

“The adjustment of the wholesale price is meant to cushion the company against the significant increases in local costs, as confirmed by the official inflation statistics,” he said.

Delta said that the adjustment also addresses the value share with the retail partners and the company is still assessing the cost impact on its other products.

“The company notes the reports about hikes in the retail prices of its products. These prices do not reflect the cost of acquiring the beverages from Delta.”

This comes after the company withdrew its decision of selling its products in foreign currency after revealing that shortages in foreign currency have adversely affected its business.

The government has since appealed to private firms to be patient while Government worked on fiscal consolidation.

“We are saying the private sector should wait for us to give a policy. We are making good progress in fiscal consolidation and once we are ready, we will institute the requisite monetary reforms,” said Minister Ncube.

Some bottle stores have been selling 375ml of castle lager beer upwards of $2 and upwards of $4 for green bottle lagers such as Golden Pilsener.

“We commend the modern trade channel that continues to charge recommended prices. We urge our retail partners to be considerate in dealing with the consumer,” said Ms Murambinda.

Delta said that prices would be implemented with effect from January 7, 2019.

As such, the recommended retail price inclusive of Value Added Tax (VAT) for lagers particularly Castle Lager, Lion, Carling Black Label (375ml and 750ml) are $1 and $2 respectively, while Bohlingers, Golden Pilsener and Zambezi (340ml and 660ml) are $1,25 and $2,50