Beer Prices

[Chang_paarp]

Why is it always so damned difficult to get any facts?

What is the excise tax here based on? alcohol content? volume? per bottle?

Without this info, it is impossible tell what is a rip off and what is not.

Someone suggested (I suspect incorrectly) that VAT is increased on beer from 7% to 9%. That would be an increase in price of about 1%.

Has any body got any facts at all?

If you venture into the news section you may find some information.

Tax on beer was about 5%, it has nothing to do with the alcohol content, the tax on wine is about 200%, and whiskey (spirits) is about 5%. Looking at those numbers guess who has the most political sway. Try to get it through your head Thailand does not use a logical decision making system. You are not int the west.

[theoldgit]

So that means that a can of Chang will have a the excise element raised by 1.65 Baht, assuming the excise element is then subject to VAT, I'm not sure, the increase will 1.76 Baht, so to allow an extra bit of profit for the shopkeepers trouble the price increase should be 2 Baht on a small can, anything more is an attempt at blatant profiteering - which will be forgotten in a week or so.

I see from the above post, and confirmed in today's Bangkok Post, that the government are looking at increasing the duty on cigarettes, but wait a minute some shopkeepers have raised their prices already, what's that all about?

[dhrobertson]

Why is it always so damned difficult to get any facts?

What is the excise tax here based on? alcohol content? volume? per bottle?

Without this info, it is impossible tell what is a rip off and what is not.

Someone suggested (I suspect incorrectly) that VAT is increased on beer from 7% to 9%. That would be an increase in price of about 1%.

Has any body got any facts at all?

If you venture into the news section you may find some information.

Tax on beer was about 5%, it has nothing to do with the alcohol content, the tax on wine is about 200%, and whiskey (spirits) is about 5%. Looking at those numbers guess who has the most political sway. Try to get it through your head Thailand does not use a logical decision making system. You are not int the west.

I have lived here for ten years and I am well aware of the illogical and ill thought-out decision making. I was merely requesting the facts. You say 5%. Of what? Where is the tax applied? What has it increased to?

I actually believe that increased excise duty is a perfectly good way to raise money to pay for improved education and the like.

I also think it is fair for retailers and bar owners to maintain their margins.

However, the facts would enable one to see just who is ripping off whom and act accordingly.

[phutoie2]

-- Bangkok Post 8 May 2009

This factual enough?

Consumers face higher drink prices

By: PITSINEE JITPLEECHEEP and PHUSADEE ARUNMAS

Published: 8/05/2009 at 12:00 AM

Newspaper section: News

Breweries and distilleries are expected to pass on the excise tax hike on beer, spirits and brandy introduced by the cabinet on Wednesday to consumers.

Phattaraporn Phenpraphat, vice-president for marketing and public relations at Central Food Retail Co, the operator of Tops supermarkets, said it was in talks with four beer and liquor makers about their new retail prices.

"We got invoices from them saying the new prices would be quoted on Monday," she said.

Since the cabinet approved excise tax increases of 7% to 9% on alcoholic beverages on Wednesday, beer sales at Tops have surged two to three times the normal level as people rush to buy before prices go up.

Darmp Sukontasap, senior vice-president at Tesco Lotus, said consumers and small business operators had flocked to stock up on drinks since the tax rise was announced. Sales on Wednesday were double the normal level.

"We are still selling the stock we have at the old prices," Mr Darmp said. "We are in discussions with our suppliers and will only adjust our prices when new stock comes in at higher prices."

Anuchit Jureegasa, assistant vice-president for corporate communications at Thai Beverage, the producer of Chang Beer and white spirits, said the company had not yet raised its prices.

"We are collecting information to be used in the consideration of any price adjustment," he said.

Mr Anuchit said the tax hike would be a burden for consumers over the long term. It would also affect ThaiBev's sales in the near term.

"Theoretically, a price hike for any product at a time when consumers have reduced purchasing power will definitely impact their consumption," he said.

The Internal Trade Department is confident the higher excise tax on beer, spirits and brandy will not spur inflation.

[Lancelot]

The price of beer and, ahem, gentlemen's entertainment in Thailand has almost reached western levels now.

I really don't see the point in going to a SE Asian country, putting up with crap service and paying what I do back home. One of the reasons I put up with the incompetence is because it's cheap, and that was a reason to justify it. But if they want to charge big bucks and offer inept service, as they do, what's the point.

I think tax collections have fallen off to the point where the government is scrambling to raise revenue and "Sin" taxes are always a sure thing.

On a different note, I have often wondered what the price level would be before expats started leaving Thailand. If Thailand were 50% more expensive than your home country, would you remain here? Or is it impossible to put a price tag on paradise?

[loong]

Has any body got any facts at all?

Actual facts are very hard to come by.

http://www.pattayadailynews.com/shownews.p...NEWS=0000009160

"excise taxes for beer will rise to Bt60 per litre from Bt55, white liquor to Bt120 per litre from Bt110 and blended liquor to Bt300 a litre from Bt280."

Report as detailed above - How can excise duty on beer rise from 55 to 60 Baht per litre? The full retail price of Chang was less than 55 Bt/litre.

The government doesn't seem to like to keep their websites up to date.......

http://www.excise.go.th/tax/eng-totaltax1.html

......Confusing as well

[dhrobertson]

Has any body got any facts at all?

Actual facts are very hard to come by.

http://www.pattayadailynews.com/shownews.p...NEWS=0000009160

"excise taxes for beer will rise to Bt60 per litre from Bt55, white liquor to Bt120 per litre from Bt110 and blended liquor to Bt300 a litre from Bt280."

Report as detailed above - How can excise duty on beer rise from 55 to 60 Baht per litre? The full retail price of Chang was less than 55 Bt/litre.

The government doesn't seem to like to keep their websites up to date.......

http://www.excise.go.th/tax/eng-totaltax1.html

......Confusing as well

Thanks for this very useful link.

So now we know that excise tax on beer was 55% ad valorem. So 55% of the price paid by wholesaler is excise duty. If this has now risen to 60% (a 9% rise in excise tax), total price to wholesaler has risen about 3.2% (allowing for VAT).

If 24 small bottles of Singha cost 600TBT, and assuming 20% margin, new price will be about 620 TBT per case an increase of about 1 TBT per bottle about 3.3% up.

Please correct my arithmetic if I have made an error here!

Bar price should therefore be about 3 TBT higher if they are to maintain margin.

I for one will boycott any bar with a rise of more than 5 TBT.

[monty]

The problem is that the wholesalers supplying the bars have brought up prices much higher as per your calculation!

Singha beer went up 80 Baht/box, or 3.333 Baht/bottle.

For which IMO a 5 Baht raise in price in a bar is acceptable...

[dhrobertson]

The problem is that the wholesalers supplying the bars have brought up prices much higher as per your calculation!

Singha beer went up 80 Baht/box, or 3.333 Baht/bottle.

For which IMO a 5 Baht raise in price in a bar is acceptable...

So clearly it is the middleman who is screwing us!

If price to the bar owner is up 13% then bar price will be up by 10 TBT.

I hope bar owners get real and source their beer elsewhere.

1.60 pounds for a 330ml bottle is ridiculous!

[loong]

Places like Tesco Lotus and Big C will increase their prices more in line with the actual tax rise.

Businesses will start to buy their supplies cheaper at the supermarkets, then the wholesalers will have to bring their prices down in line with them.

Problem is, if the bars and retailers have increased their prices to reflect the profiteering by the wholesalers, they themselves will probably be reluctant to lower the price for their customers.

Edited May 12, 2009 by loong

[loong]

I haven't had a beer for quite some time now so I haven't really been paying attention to the prices. I was shopping in Tesco Lotus today and was quite surprised when I passed the beer stand and noticed that a large Beer Chang is still 33 Baht, same as before the tax rise. No mention of a special offer or anything.

I know that they shouldn't increase the price on old stock, but this must be new stock by now.

[bkkjames]

The problem is that the wholesalers supplying the bars have brought up prices much higher as per your calculation!

Singha beer went up 80 Baht/box, or 3.333 Baht/bottle.

For which IMO a 5 Baht raise in price in a bar is acceptable...

So clearly it is the middleman who is screwing us!

If price to the bar owner is up 13% then bar price will be up by 10 TBT.

I hope bar owners get real and source their beer elsewhere.

1.60 pounds for a 330ml bottle is ridiculous!

At a few watering holes I have been known to frequent, the prices are still holding steady. However, what get's me is the Lazydrink prices - 150 Baht now in some places!

[Lancelot]

At a few watering holes I have been known to frequent, the prices are still holding steady. However, what get's me is the Lazydrink prices - 150 Baht now in some places!

Yes, I think maybe some of the bar owners are realizing that drink prices are maxed out. Not a bad strategy to absorb the tax increase on alchol and make it up on overpriced lady drinks. Maybe two bahts worth of cola retailing for ~B120 and up. Not a bad profit margin there

[Lancelot]

Aussie beer what you drink over there gives me the trotts, Fosters i can drink but Castlemaine tastes the same in both countries kind of like beery tasting carbonated water.

I must try a San Miguel one day.

But what's that lime they squeeze into the top for? Isn't that just changing it into a beer shandy?

Yeah the lime thing is weird. Maybe its a way to copy the lime thing with Corona beer.

Speaking of San Miguel, I'm not complaining but 7-11 is still charging B60 for a large SM Light, same price as before the general increase. Whats up with that?

[eyebee]

At a few watering holes I have been known to frequent, the prices are still holding steady. However, what get's me is the Lazydrink prices - 150 Baht now in some places!

I love that, "Lazydrink"!

[bkkjames]

At a few watering holes I have been known to frequent, the prices are still holding steady. However, what get's me is the Lazydrink prices - 150 Baht now in some places!

I love that, "Lazydrink"!

And to think I just made that up. Felt appropriate at the time - and still does now.

[bravingbangkok]

Has anyone ever tried Cheers ? I remember they had a good marketing campaign going at one stage and almost persuaded me to buy one....in the end LEO is the beer for me. Gone up to 30baht a can now in 7/11.

Castlemaine is not so bad, my favourite beers would have to be Rolling Rock, Grolsch and Budvar.

[bkkjames]

Has anyone ever tried Cheers ? I remember they had a good marketing campaign going at one stage and almost persuaded me to buy one....in the end LEO is the beer for me. Gone up to 30baht a can now in 7/11.

Castlemaine is not so bad, my favourite beers would have to be Rolling Rock, Grolsch and Budvar.

Tasted it once but don't remember. On that note, the San Mig girls were out and about last Friday flogging San Mig Crystal Light.

IMO, it tasted like a piss poor version of a watered down shandy.

[bravingbangkok]

Has anyone ever tried Cheers ? I remember they had a good marketing campaign going at one stage and almost persuaded me to buy one....in the end LEO is the beer for me. Gone up to 30baht a can now in 7/11.

Castlemaine is not so bad, my favourite beers would have to be Rolling Rock, Grolsch and Budvar.

Tasted it once but don't remember. On that note, the San Mig girls were out and about last Friday flogging San Mig Crystal Light.

IMO, it tasted like a piss poor version of a watered down shandy.

Arhhh now San Miguel in Spain is top notch beer, the Philippines one is as you said sh-ite

[Lancelot]

Has anyone ever tried Cheers ? I remember they had a good marketing campaign going at one stage and almost persuaded me to buy one....in the end LEO is the beer for me. Gone up to 30baht a can now in 7/11.

Castlemaine is not so bad, my favourite beers would have to be Rolling Rock, Grolsch and Budvar.

I've drunk Cheers; you didn't miss anything IMHO

[Crossy]

Arhhh now San Miguel in Spain is top notch beer, the Philippines one is as you said sh-ite

Hong Kong San-Mig is even worse, at least the flipper version is drinkable, HK is gnats P

[bravingbangkok]

I will try it next time I am there to confirm lol, I usually drink Tsingtao when I am in HK...another quality beer.

[JetsetBkk]

OK, so a box of 24 small bottles (330ml) of Singha Beer at Makro has gone up from 598 baht to 695 baht.

How does that add up?

[hansnl]

The price of beer and, ahem, gentlemen's entertainment in Thailand has almost reached western levels now.

I really don't see the point in going to a SE Asian country, putting up with crap service and paying what I do back home. One of the reasons I put up with the incompetence is because it's cheap, and that was a reason to justify it. But if they want to charge big bucks and offer inept service, as they do, what's the point.

But typical Thai thinking. "because of our stupity, there aren't as many tourists coming now and we're not making any money. So let's increase taxes and put prices up, that'll bring them back".

Mind boggling.

But very logical

I think the neighboring countries will continue to benefit from Thailands greed and stupidity over the coming years.

[robblok]

The price of beer and, ahem, gentlemen's entertainment in Thailand has almost reached western levels now.

I really don't see the point in going to a SE Asian country, putting up with crap service and paying what I do back home. One of the reasons I put up with the incompetence is because it's cheap, and that was a reason to justify it. But if they want to charge big bucks and offer inept service, as they do, what's the point.

But typical Thai thinking. "because of our stupity, there aren't as many tourists coming now and we're not making any money. So let's increase taxes and put prices up, that'll bring them back".

Mind boggling.

But very logical

I think the neighboring countries will continue to benefit from Thailands greed and stupidity over the coming years.

For those who think this is done to affect tourists .. just have to laugh real hard. I am pretty sure the Thais consume far more alcohol.

Sure its not nice that the price of beer goes up, but to link it to ripping of tourists is a bit crazy.

[mahtin]

Thank Buddha for that oasis known as 7-11.

[basjke]

Wait till the taxes in the western world will rise.Or where do you think your government will get the trillions they spent to keep the banks alive.

[mahtin]

Slight discrepancy here?

Or did I drink too much beer?

[basjke]

Slight discrepancy here?

Or did I drink too much beer?

Not really.Beer prices might be higher in LOS now then in the western world,but wait untill the western governments rise the taxes on alcohol and cigarettes.If you take a look at the current taxes you know they are quite good at that.

[G54]

I find it strange that my bottle of spirits has not increased this time around.