Estonia: AS A. Le Coq Tartu and Saku Õlletehase AS to increase prices of their production by 0.5-12%
AS A. Le Coq Tartu and Saku Õlletehase AS have raised prices for their production as a result of increasing production costs. Prices are expected to increase between 0.5 and 12%. According to Saku city brewery sales director, Vladimir Sapojnin, the brewery will heighten prices starting from the second half of July. The ascension of row material procurement costs as well as workforce and transport costs triggered production costs to hike.
As for AS A. Le Coq Tartu, President Tarmo Noop indicated that prices will increase on average by 5%. Beer prices will be most affected. “I believe things don’t chance too much if 1 liter of beer will cost one Kroon (EEK) more. It is useless to talk about a bigger price increase.”
A.Le Coq Tartu Õlletehas is Estonian biggest beverage producer, with an annual production of 1 million hl of beverages. It produces and sells beer, cider, long drinks, soft drinks, sport drinks, mineral water, juices and juice drinks. It is currently exporting to UK, Germany, Russia, Denmark, Finland, Israel, Latvia, Lithuania.
Saku Õlletehase AS’ beverage sales for the first quarter of 2006 totalled 154,800 hl, 6,560 litres or 4.4% up on the corresponding period in 2005. Revenue amounted to EEK 125.1 million (€E7.9 million), an EEK 15.6 million (€997,000) or 14.2% improvement compared to a year ago. The growth resulted, above all, from larger beer sales and a rise in profitability.
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