where's the beer?

[tyznd]

Checked both Tesco and Makro and can't find any local beer. I know there was a tax increase but why the hell have they stopped shipping and when will supplies be back in stock?

[elektrified]

Can't answer your question about local beer but was in Makro last night and picked up a case of Beer Lao (far superior to Thai beer) for only about 790 Baht as I recall. Has 08/2014 expiration date so a fresh lot. Highly recommended if you have not had Beer Lao.

[cooked]

Beer is being hoarded in order to be able to profit from the price rise due at the end of September. We go to local Chinese stores at the moment for our fix.

[MESmith]

Picked up a case of Federbrau at Tesco Superhighway today & 12 large cans of Chang Export at Big C Extra. That was all they had. Plenty of large Hoegaarden @ 259 baht per large bottle.

The tax increase was over 2 weeks ago, hence everything was probably bought up to sell at the new price. That doesn't explain why the big shops haven't restocked.

[bluweyze]

Makro Maerim have just restocked having been nearly out of beer during the week. The new stock is at new prices. Some beers like Asahi are still out of stock and will be for a month because the bulk purchases have wrecked any normal supply calculations for anything with a longer lead time. There was an obvious supply shortage because the manufacturers were also taken by surprise. What will happen during the next 2 months is a lack of sales to those organisations such as bars and hotels that have stocked up at the old prices.

[AngelsLariat]

Makro Maerim have just restocked having been nearly out of beer during the week. The new stock is at new prices. Some beers like Asahi are still out of stock and will be for a month because the bulk purchases have wrecked any normal supply calculations for anything with a longer lead time. There was an obvious supply shortage because the manufacturers were also taken by surprise. What will happen during the next 2 months is a lack of sales to those organisations such as bars and hotels that have stocked up at the old prices.

Re: "There was an obvious supply shortage because the manufacturers were also taken by surprise", can you elaborate on that? Why would a change in taxation disrupt the supply chain?

[bluweyze]

Makro Maerim have just restocked having been nearly out of beer during the week. The new stock is at new prices. Some beers like Asahi are still out of stock and will be for a month because the bulk purchases have wrecked any normal supply calculations for anything with a longer lead time. There was an obvious supply shortage because the manufacturers were also taken by surprise. What will happen during the next 2 months is a lack of sales to those organisations such as bars and hotels that have stocked up at the old prices.

Re: "There was an obvious supply shortage because the manufacturers were also taken by surprise", can you elaborate on that? Why would a change in taxation disrupt the supply chain?

Every manufacturer and retailer forecasts sales and tries to match supply to forecasted sales, albeit with a small buffer.If they don't they use up 'sell by dates, increase storage requirements and tie up cash.. It is the same throughout the world. An unexpected increase in taxation has the immediate effect of encouraging both big and small buyers to 'stock up'. This produces an unexpected and un-forcastable surge in sales and consequently a stock shortage until the supply chain ( i.e the process from manufacturer until final retail store) is able to catch up.In local terms this tends to be a manufactured shortage, on imported goods it is simply the time taken to re-order and ship.Having spent 33 years in the European supply chain I have seen similar events cause similar problems. I hope this helps your understanding.

[AngelsLariat]

Makro Maerim have just restocked having been nearly out of beer during the week. The new stock is at new prices. Some beers like Asahi are still out of stock and will be for a month because the bulk purchases have wrecked any normal supply calculations for anything with a longer lead time. There was an obvious supply shortage because the manufacturers were also taken by surprise. What will happen during the next 2 months is a lack of sales to those organisations such as bars and hotels that have stocked up at the old prices.

Re: "There was an obvious supply shortage because the manufacturers were also taken by surprise", can you elaborate on that? Why would a change in taxation disrupt the supply chain?

Every manufacturer and retailer forecasts sales and tries to match supply to forecasted sales, albeit with a small buffer.If they don't they use up 'sell by dates, increase storage requirements and tie up cash.. It is the same throughout the world. An unexpected increase in taxation has the immediate effect of encouraging both big and small buyers to 'stock up'. This produces an unexpected and un-forcastable surge in sales and consequently a stock shortage until the supply chain ( i.e the process from manufacturer until final retail store) is able to catch up.In local terms this tends to be a manufactured shortage, on imported goods it is simply the time taken to re-order and ship.Having spent 33 years in the European supply chain I have seen similar events cause similar problems. I hope this helps your understanding.

Thanks for the explanation. It might sound like a stupid question to someone who has worked int he business but to the layman I think that it's not obvious.

But on top of all that, do you have any idea why the big stores near us like Macro and Tesco lotus and the major minimart chains like 711 would be out of stock while out local Mom & Pop Quickie Marts have had continuous supply of the major brands? Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

[MESmith]

Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

The local shops are probably selling old stock at the "new tax rate", making a nice profit in the process. What is left in 7-11, tesco, makro et al is at the old price.

[AngelsLariat]

Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

The local shops are probably selling old stock at the "new tax rate", making a nice profit in the process. What is left in 7-11, tesco, makro et al is at the old price.

Not so sure about that. The one mom & shop closest to us just started selling Heineken in cans today. Before they never stocked it (only had Leo, Singha & Chiang) so I'm guessing that they must have gotten in a new shipment.

But let's assume that it;s true that the small shops are selling old stock at the new prices. Why would only they and not 711, Tesco Lotus & Makro be doing that?

[MESmith]

Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

The local shops are probably selling old stock at the "new tax rate", making a nice profit in the process. What is left in 7-11, tesco, makro et al is at the old price.

Not so sure about that. The one mom & shop closest to us just started selling Heineken in cans today. Before they never stocked it (only had Leo, Singha & Chiang) so I'm guessing that they must have gotten in a new shipment.

But let's assume that it;s true that the small shops are selling old stock at the new prices. Why would only they and not 711, Tesco Lotus & Makro be doing that?

Because it's dishonest & cheating their beloved customers. The new tax applies to new supplies from brewery or wholesaler. Makro, Tesco etc are being honest. The small Heineken cans were probably all that was left at Makro for them to buy at the old price. I've seen well out of date beer at local shops at new tax rate before. Their turnover of Heineken is probably very low, but if it's all that's left at the old price, they'll buy it & sell it on at the new tax rate. But the govt wont get any more.

Edited September 20, 2013 by MESmith

[AngelsLariat]

Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

The local shops are probably selling old stock at the "new tax rate", making a nice profit in the process. What is left in 7-11, tesco, makro et al is at the old price.

Not so sure about that. The one mom & shop closest to us just started selling Heineken in cans today. Before they never stocked it (only had Leo, Singha & Chiang) so I'm guessing that they must have gotten in a new shipment.

But let's assume that it;s true that the small shops are selling old stock at the new prices. Why would only they and not 711, Tesco Lotus & Makro be doing that?

Because it's dishonest & cheating their beloved customers. The new tax applies to new supplies from brewery or wholesaler. Makro, Tesco etc are being honest. The small Heineken cans were probably all that was left at Makro for them to buy at the old price. I've seen well out of date beer at local shops at new tax rate before. Their turnover of Heineken is probably very low, but if it's all that's left at the old price, they'll buy it & sell it on at the new tax rate. But the govt wont get any more.

Boy, that's a switch - giant corporations being the ethical ones and the little guys being cheating bastards?

[MadMac]

Story is there is a government order, that all shops have to sell their storage empty before taking in higher priced goods. Makes somewhat sense, to prevent old alc to be sold for higher price without the tax. That's the story...

[Hugh Jarse]

Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

The local shops are probably selling old stock at the "new tax rate", making a nice profit in the process. What is left in 7-11, tesco, makro et al is at the old price.

Not so sure about that. The one mom & shop closest to us just started selling Heineken in cans today. Before they never stocked it (only had Leo, Singha & Chiang) so I'm guessing that they must have gotten in a new shipment.

But let's assume that it;s true that the small shops are selling old stock at the new prices. Why would only they and not 711, Tesco Lotus & Makro be doing that?

Because it's dishonest & cheating their beloved customers. The new tax applies to new supplies from brewery or wholesaler. Makro, Tesco etc are being honest. The small Heineken cans were probably all that was left at Makro for them to buy at the old price. I've seen well out of date beer at local shops at new tax rate before. Their turnover of Heineken is probably very low, but if it's all that's left at the old price, they'll buy it & sell it on at the new tax rate. But the govt wont get any more.

At The Big C(rap) store at Hang Dong today there was no beer at all not even in the coolers. Why,? "tax go up" I was informed. What a lark!!

[MB1]

Story is there is a government order, that all shops have to sell their storage empty before taking in higher priced goods. Makes somewhat sense, to prevent old alc to be sold for higher price without the tax. That's the story...

And that IMO is what it is, a "STORY"....Jackanory....

[SantiSuk]

Our local M&P quickie mart raised their prices by about 4 or 5 baht per 330ml can last Tuesday or Wednesday but they never had a shortage of stock. But on the other hand, out nearest 711 is out of stock except for the ethanol-benzene blends such as Cheers.

The local shops are probably selling old stock at the "new tax rate", making a nice profit in the process. What is left in 7-11, tesco, makro et al is at the old price.

In inflationary times it's esential that any business that wants to survive calculates its retail prices on a replacement cost basis, not a purchase cost basis. The implication "making a nice profit" that they are gouging customers or hoarding is misplaced. Even if they were, is it any different from you or me, hearing that the price is going up, going out and buying more than we need for current consumption?

Normal economic behaviour all round I would say. As usual it's the bluddy politicians that <removed> up the market by implementing decisions on a shotgun basis with no thought for market disturbance. Well-flagged taxation policies would enable manufacturers to manage demand.

[Morden]

I heard an explanation different from the 'hoarding' theory. I have no idea whether or not it's correct but I'll mention it in case it has some credence.

The story is that some brewers have ceased production and asked for meetings with government to discuss the tax increase. That would explain the shortage in retail and wholesale outlets. However, it doesn't explain the several price increases that followed the tax increase price rise.

[MadMac]

And that IMO is what it is, a "STORY"....Jackanory....

The other story is that it's all planted by a guy in Dubai who want to make a landrush win next time by eliminating unpopular policies and taxes, even though he promised not to enter politics again . Who doesn't like conspiracy theories?

And no, I did not make these up, that stuff is circulating in Facebook...

[habfan]

I'm starting to get nervous now. I'm coming in to Chiang mai on Monday to do my 90 day report and usually stay the night and visit with old mates and hoist a few at the pubs in the Moon Muang soi 1 and 2 area. Any one know if the pubs in this area will still have my beloved Chang( I know most people think it's rot gut but I like it!) in stock?

I live in a small village in Lampang Province and have not had a taste of the golden nectar since my last report ( my choice) and am starting to dream about that first beer on Monday.

[eyecatcher]

You may have to wait...

"a beer please and one for the road"

Just dodged a traffic jam near the Windmill restaurant. The cause....wagon full of chang beer,just shed its load.

Beer and broken glass everywhere. About 100 boxes survived and stacked on the footway.

Amazing how many people getting in on the mopping up act.

Get along there for the party.

Sent via tin can and string after pigeon shot

[MadMac]

7/11 has restocked some. Bought all 11 Leos they had in Hang Dong. New price 55B, so 7B or 15% up.