Record Heat Thrice Increases the Incomes of Slovenian Breweries

Hot summer is the peak season for brewers and breweries. On the International Beer Day, it is interesting to know how the things with this foamy drink are going in Slovenia.

The Beer Festival came to Slovenia from the United States. On this day, it is customary to treat friends with a drink. Even the increased price cannot affect this tradition.

The Statistics Service estimates that over the last 10 years beer has risen in price by almost 50%. If in 2006, 1 litre of light beer in a store cost 1.39 euros, a decade later, its price rose to 1.98 euros. The cost of beer in retail sales increased by 42%, while in the hospitality industry – by 56%.

The largest brewery in Slovenia, Pivovarna Laško Union, which since last year has been owned by the Dutch monopolist Heineken, sells on average half of its annual beer production for 4 months (May–August).

Pivovarna Laško Union mainly sells low-alcohol beer and BeerMix in the summer months. The brewery, adapting to the market requirements, produces new grades of beer with a low level of alcohol content (Laško unpasteurized, Radler 0.0).

According to the retail network Mercator, in the first half of this year, about 5% more beer was sold than in the same period in 2016. The most popular beers among buyers are the classic varieties of Lager beer. The popularity of other beer varieties, such as wheat and Radler beers, is growing. The unfiltered beer has become the real hit of sales this year.

Lidl Slovenija indicates that in the first seven months of 2017, beer sales increased by more than 5% as compared to the same period last year.

The volume of beer sales in the Spar Slovenija supermarket chain has grown as well, which is explained by high temperatures and successful marketing policy. The sales of this chain have increased by 16% this year.

Heineken notes that the excise tax in Slovenia is the fifth largest in the EU. Since it is more than 50% higher than in neighbouring countries, it significantly affects both the selling price of beer and the volume of its sales.