Producers claim that the increase in excise duty has increase costs for local beer

Beer Industry in Difficulty, Imports Up

Imported beers continue to expand in the Albanian market, while the demand for local beer remains limited also in the summer months.

For the 7-month 2024, the weight of imported beer in the Albanian market has reached 60%, from 42% that was in 2016, according to Customs data.

About 40% of the demand for beer is covered by Albanian production. The situation was similar a year ago.

In January 2023, imported beers occupied 59% of the market and 41% of products came from imports. The increase in the share of imported beer has been influenced by the loss of competitiveness of domestic beer, according to domestic producers. Adrian Kostaqi, the administrator of the "Korça" and "Tirana" breweries, told "Monitor" that with the increase in excise duty, the sales prices are almost the same as the prices of imported beers.

According to him, with these sales prices, the producers cannot cover the costs, as the increase in prices would automatically reduce consumption. He claims that this is leading domestic production to complete collapse.

The new law was appealed to the Constitutional Court by the Association of Producers and Traders of Alcoholic Beverages requesting the partial repeal of the law. However, the Court took no action to suspend the law.