When are Booze prices going to come down?

[bob smith]

3 minutes ago, Korat Kiwi said:

You two boys still at it! 

 

What is this?  Who can have the last word or something? 

 

Move on fellahs.... PLEASE! 

it's the yellow snail, he just doesn't know when to quit!

 

bob.

[KannikaP]

58 minutes ago, Yellowtail said:

And you're (your?) and English teacher, yes? 

....AND instead of AN. Oh dear!

[Yellowtail]

5 minutes ago, bob smith said:

it's the yellow snail, he just doesn't know when to quit!

 

bob.

Yes I do bob sniffer!

[bob smith]

Just now, Yellowtail said:

Yes I do bob sniffer!

clearly you don't! you are still replying!!

 

 

bob.

[Yellowtail]

1 minute ago, bob smith said:

clearly you don't! you are still replying!!

 

 

bob.

NO!!! it is you (ewe?) that keeps replying, not me! 

[AndreasHG]

Below is the link to an interesting article, with the detailed description of the Thai tax schemes for alcoholic beverages, both the current ("new") and the superseded one ("previous").
The reasons which cause a bottle of wine sold for 10.00 euro in a European supermarket, to cost almost three times more to consumers in Thailand, are multiple.
Assuring proper freight and storage conditions for wines is costly.
Local supermarkets purchase imported goods from middlemen (the importers) and not directly from producers (as customary in many European countries).
Retailers target margins on imported goods are higher than those applied to local staples (30-35% is the norm for "farang" goods).

Taxes however are the single most impactful driver.

My estimate is that the "new" tax scheme would allow for a price reduction of approximately 33% for a bottle now priced at around 1,200 THB.

But let's try to answer your question: why have prices of wine not been reduced yet?

The reasons are, in my opinion, two:

1. depreciating the current inventory by 33% is very costly. Supermarkets would immediately reflect the suppliers' reduced prices in their selling prices. But then they would revert back to the suppliers, demanding compensation. 

2. And, as customary in Thailand, grand reform projects are often and purposedly executed poorly. This law is a textbook example of this malpractice.
The devil is in the details: what the Thai government approved is a "temporary suspension of high import tariffs on wines, currently set at 54% and 60% of the declared value, for a duration of one year".

No wonder market players are keeping their prices steady. Who in his/her right mind would depreciate by 33% the inventory in customers hands with the prospect of increasing the prices again after only few months? 

What has been presented to the Thai public as a grand move to support tourism and related small businesses, is actually a gift the government graciously granted to some well-connected, large, alcoholic beverages importer.

 

https://mahanakornpartners.com/thailand-cuts-alcohol-taxes-to-spur-tourism-recovery/

[Yellowtail]

6 hours ago, AndreasHG said:

Below is the link to an interesting article, with the detailed description of the Thai tax schemes for alcoholic beverages, both the current ("new") and the superseded one ("previous").
The reasons which cause a bottle of wine sold for 10.00 euro in a European supermarket, to cost almost three times more to consumers in Thailand, are multiple.
Assuring proper freight and storage conditions for wines is costly.
Local supermarkets purchase imported goods from middlemen (the importers) and not directly from producers (as customary in many European countries).
Retailers target margins on imported goods are higher than those applied to local staples (30-35% is the norm for "farang" goods).

Taxes however are the single most impactful driver.

My estimate is that the "new" tax scheme would allow for a price reduction of approximately 33% for a bottle now priced at around 1,200 THB.

But let's try to answer your question: why have prices of wine not been reduced yet?

The reasons are, in my opinion, two:

1. depreciating the current inventory by 33% is very costly. Supermarkets would immediately reflect the suppliers' reduced prices in their selling prices. But then they would revert back to the suppliers, demanding compensation. 

2. And, as customary in Thailand, grand reform projects are often and purposedly executed poorly. This law is a textbook example of this malpractice.
The devil is in the details: what the Thai government approved is a "temporary suspension of high import tariffs on wines, currently set at 54% and 60% of the declared value, for a duration of one year".

No wonder market players are keeping their prices steady. Who in his/her right mind would depreciate by 33% the inventory in customers hands with the prospect of increasing the prices again after only few months? 

What has been presented to the Thai public as a grand move to support tourism and related small businesses, is actually a gift the government graciously granted to some well-connected, large, alcoholic beverages importer.

 

https://mahanakornpartners.com/thailand-cuts-alcohol-taxes-to-spur-tourism-recovery/

What does a kilogram of Rambutan cost in Europe? 

[still kicking]

8 minutes ago, Yellowtail said:

What does a kilogram of Rambutan cost in Europe? 

Don't know about Europe but they are grown in Australia as well

In 2024, the approximate wholesale price range for Australia rambutan is between US$ 3.35 and US$ 5.35 per kilogram or between US$ 1.52 and US$ 2.43 per pound(lb).

[keysersoze276]

Now we can assume Bob gave up tea and coffee for good.