Germany: Krombacher reverses decision from July

Beer prices in Germany are on the rise. Krombacher confirmed reports in inside-getraenke about a price increase as of March 1, 2018.

Krombacher said at the end of May, the leading German beer brand would raise the price of its bottled beer by €6.60 per hectoliter by October 1, 2017. Many other German breweries were expected to follow but were reluctant with announcements. In the end, Krombacher feared to be alone in the market and withdrew the decision in July ."We have weighed risks and opportunities and decided to postpone the price increase," said a spokesman of Krombacher at that time (inside.beer, 20.07.2017).

It seems that the time has come now. The company confirmed to raise beer prices as of March 1, 2018. Details of the price hike are not yet known. The company currently prepares an official announcement for its customers.

Apparently similar earlier announcements of other leading German breweries have helped the brewery to follow suit.

In August, Radeberger Gruppe, German beer market leader by volume with brands like Radeberger, Jever, Berliner Pilsener and Schöfferhofer announced to increase the price for its bottled beer by about €3.20 per hectoliter by February 1, 2018. One month later, Bitburger Gruppe, No.2 in branded beer in Germany with brands like Bitburger, König Pilsener, Köstritzer and Wernesgrüner, followed with an announcement for a price increase as of January 15, 2018.

It is now expected that the majority of German breweries will follow with similar announcements, which will lead to a general beer price hike in Germany.

 

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