Beer is a major part of German culture, and breweries warn of rising beer prices! Assumptions go as high as 7.50 euros for half a liter of beer!

Beer in Germany

The largest beer producer in Europe

Beer is a major part of German culture. Almost one third of the world’s beer varieties are produced in Germany, or in numbers between 5000 and 6000 varieties.

The German brewing industry consists of more than 1,500 breweries, which, including non-alcoholic variants, produced around 85.4 million hectoliters of beer in 2021. As many as 99.9 million hectoliters of beer were produced in 2008, and since then production has been in constant decline. This is the best illustration of how much the actual impact will be on end consumers.

Association of brewers warns of the increase in the price of beer!

As reported by Bild, German brewers with the vice president of the Berlin-Brandenburg Breweries Association, Stefan Fritsch, sent a warning. By the end of this year, the price of beer could reach 7.50 euros for half a liter. If breweries and caterers transfer their costs entirely to consumers.

There is a justified fear of the collapse of breweries, especially smaller ones. The entire beer industry is facing one of the biggest challenges in German brewing history.

Until recently, the prices of half a liter of beer ranged from EUR 3.5 to EUR 3.8. Today, it is impossible to find half a liter of beer under 4.20 or 4.80 euros. In some restaurants and pubs, the price exceeded 5 euros.

OGLAS

What are the main reasons?

The corona virus pandemic with frequent lock downs, the energy crisis, and material shortages due to disrupted supply chains.

Huge cost increases

It is stated that it has been working in a crisis regime for almost three years, since the beginning of the pandemic. How much did the prices go up then? Brauerbund boss talks about big cost increases from:

  • electricity and gas (750% increase)
  • bottle caps (120% increase)
  • brewer’s malt (90% increase)
  • carbon dioxide (90% increase)
  • new glass (70% increase)
  • beer kegs (60% increase)
  • crates of beer (40% increase)
  • hops (35% increase)
  • labels (30% increase)

Decline in beer consumption since 2008

Currently, beer consumption in Germany is stagnant. Compared to the crisis year 2021, the German brewing industry recorded a sales growth of 3.2 percent for the period from January to November 2022.

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