Czech Republic: Budějovický Budvar joins other brewers in price hikes

Energy prices have increased almost fourfold for the České Budějovice brewery. That is why it has increased beer prices by about ten percent since November.

“The main reason for this is energy prices and prices of packaging material, prices of hops and prices of malt in particular, we expect them to go up again by tens of percent,” described the director of Budějovický Budvar Petr Dvořák.

The price of a pint has risen by about two crowns, but in some pubs the increase may be even higher. They also plan to increase the price by other costs.

“It is electricity, gas and other things that cannot be reflected in the two crowns. Pubs have to charge more. If they can go up at all, because the loss of guests is already rapid,” said Jan Dobiáš, owner of the Zlatá Hvězda restaurant.

Even establishments that pour other beer brands into pints have had to increase their prices.

The largest Czech brewery Plzeňský Prazdroj has also raised prices, by an average of CZK 1.7 per pint. In a restaurant near Prague, it currently costs CZK 61.

“We have transferred to our menus what the price was increased by, no extra margin. As we bought, so we sell,” said Marin Šos, co-owner of La Pastorella restaurant.

Most pubs are now buying at a higher price. In fact, all the big breweries have increased their prices in recent months, averaging CZK 1.50-2 per pint of beer. Twelve packs on tap in big cities often cost over CZK 60.

“It’s unfortunate to say, but beer will be more expensive. The level in the center of Prague will exceed 70 crowns this autumn. Pub owners really have nowhere to take it anymore. Beer will no longer be cheap,” said Luboš Kastner, a board member of the Association of Small and Medium-Sized Enterprises and Tradesmen.

According to pub owners, the higher price may be accompanied by lower beer consumption.

The Czechs have been in first place in this respect for a long time compared to the rest of the world.