Beer prices are bubbling up from more than taxes

Beer prices are bubbling up from more than taxes

The cost of beer has been going up in Canada, and faster than it did in years past, according to the monthly Consumer Price Index data from Statistics Canada.

And while large brewers and restaurant associations criticized a planned tax hike on alcohol that could have increased the prices Canadians pay, that excise tax is just one part of what is frothing up beer prices these days.

“The cans, the bottles, raw materials, such as the malted barley and the hops. Everything has kind of went up in price,” said Neil Reid, beer researcher.

“It’s not just a case of prices going up but it’s also the availability of some of these material inputs,” explained Reid, who pointed out that in some regions there have been shortages of aluminum for canning, or carbon dioxide, which is used to carbonate or make beer fizzy.

A lack of availability can either drive up prices or make the product more scarce — or sometimes both, say brewers.

during parts of 2021, beer served in licensed establishments actually had a negative inflation rate, which means prices may have dropped.

Calgary craft brewery  Company has said they’ve had to adjust pricing upward because of the cost of nearly everything they use.

most breweries held off on large price hikes with the expectation that soaring costs for raw materials like grain would come back down. Since those source materials aren’t going down, the price of liquid bread is going up just like the price of solid bread.

The most surprising price hike for Allard isn’t an ingredient in the beer, but it is a must-have for a brew pub.

“Glassware blows my mind,” he said.

“Even the tables behind me that we had to buy during COVID.

Sarafy Hafez

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