Brazil: The Brazilian Government is pressed to change the country’s tax code on beer. The pressure is from the National Federation of Beverage Distributors (Fenadibe), which represents around 1,500 beverage distributors in Brazil. According to Fenadibe “changing the flat tax on beer is a matter of life and death to distributors”. Fenadibe said the tax should be changed in order to guarantee a justified price competition in the local market. Currently every beer sold in Brazil is taxed at the same flat rate, Fenadibe mentioned after a study. In such a way more expensive brands pay a lower percentage of their final price in taxes. If a new tax code is accepted, large breweries like AmBev and Molson could have their beer pricing strategies affected.
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