Energy crisis spreads Beer bottle, label paper and other prices rise, German beer industry is under pressure

The impact of the energy crisis has spread to the German beer industry. The soaring energy price has led to a sharp increase in the cost of multiple links in the supply chain of the German beer brewing industry, a sharp decline in the profits of manufacturers, and a worrying business prospect.

Ulrich Binet is the public relations director of an old German beer brewing enterprise. At present, the return of the Oktoberfest in Munich is imminent, but Ulrich, who should have hoped for a great rise in performance, is worried. He frankly said that the superficial liveliness cannot cover up the deep crisis.

Ulrich Biner, PR director of German beer enterprises: The sky is clear, but the beer brewing industry is overcast. We are facing an imminent energy crisis and need to be prepared to deal with possible natural gas supply shortages.

Ulrich Binet introduced that a large amount of gas is needed in beer brewing, but as the European Union is eager to get rid of its energy dependence on Russia and continuously reduces its natural gas imports from Russia, they, as end users, can only choose to use other energy sources to maintain the normal operation of the enterprise.

However, what is more worrying than the search for alternative energy sources is the soaring energy prices and the rising costs of various raw materials.

Ulrich Binet, the public relations director of German beer enterprises: Our costs began to increase last year. After the outbreak of the Russian Ukrainian conflict, our costs further rose, and the costs of natural gas and electricity increased by two to three times.

Ulrich Binet revealed that in addition to the rise in energy prices, beer bottles, malt, wooden stoppers, label paper used for outer packaging, glue, etc. have also experienced price increases to varying degrees.

However, most German brewers still hope to make profits during the Munich Beer Festival, which starts on September 17. According to the statistics of Munich, as the largest folk festival in Germany, the Beer Festival has attracted about 6 million tourists from all over the world every year in recent years, consuming about 7 million liters of beer.

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Post time: Sep-16-2022