In Ukraine soon 10-15% rise in price of all alcoholic beverages. The Cabinet of Ministers adopted regulation, which provides for the increase in excise duties on alcoholic beverages and raising the minimum prices for spirits. Some experts believe that higher taxes are, the faster will grow the informal sector. The website “Today” figured out how to change the price of alcoholic beverages and how not to buy illegal product.
As prices rise
The last time the minimum alcohol prices were revised in November 2016. The Ministry of economic development and trade assured from the moment the market situation has changed dramatically and there is a need to raise prices. If minimum prices will rise, sellers will be able to revise the price tags on alcohol upwards, and the Ukrainians will have to pay more.
“It is proposed to adjust the size of the minimum wholesale release and retail prices on separate types of alcoholic. On vodka and LIKERO-vodka products prices will increase by 7.64 – 11,3%; whiskey, rum and gin – 3,5 – 4,6%; cognac (brandy) – 3,4 – 6,1%; wines with added alcohol, sparkling and vermouth – on 1,7 – 1,8%,” reads the draft resolution of the Cabinet of the price increase.
“On vodka and LIKERO-vodka products prices will increase by 7.64 – 11,3%; whiskey, rum and gin – 3,5 – 4,6%; cognac (brandy) – 3,4 – 6,1%; wines with added alcohol, sparkling and vermouth – on 1,7 – 1,8%,” – said in the draft resolution.
For example, if the bottle of vodka (0.75 liters) had to cost no less than 69 hryvnia, after the revision of the minimum prices of the drink will rise in price almost ten hryvnia. Vermouth and wine go up by about three-four hryvnia
How can raise prices:
- 0.7 liters of vodka – 79,55 hryvnia
- Three-star cognac – 119,46 hryvnia
Photo: archive
In parallel, the Cabinet of Ministers registered a bill to raise excise taxes on alcohol. Thus, producers of alcohol have to pay in the budget from 8 to 11% more. Such a decision, said Director of the Association of suppliers to retailers the Alexey Doroshenko, will lead to increase in alcohol 15%. In this view, that illegal products can be several times cheaper, the decision, the expert believes, can play into the hands of “shady producers”.
As noted in the Ministry of Finance, the rise in price of alcohol to overall inflation in Ukraine will not affect. The average family spends on alcoholic beverages 2.4% of its budget. “This increase will not have a significant impact on the level of consumer inflation in Ukraine, as the costs for the purchase of alcoholic beverages, according to the State statistics Committee, amount to about 2.4%,” – said the Agency.
How not to buy illegal alcohol
In Ukraine the most part of strong alcohol illegal products, experts believe. With such drinks do not need to pay taxes, excise taxes, and therefore the cost can be several times smaller. For example, now the minimum price of vodka, which established the Cabinet – 70 UAH per 0.75 litres. If alcohol is cheaper, most likely illegal products.
“We now have a black market flooded with legal. If we speak in strong alcohol, the figures fabulous. We have two drinks of highest demand is beer and vodka. Wine account for only 5-7% of our consumption. Low-alcohol products, too little, strong drinks such as whiskey, gin, is share by a few percent. The increase in excise duties exhausts the spirits market in the shadow”, – says Alexey Doroshenko.
“We now have a black market flooded with legal. If we speak in strong alcohol, the figures fabulous. We have two drinks of highest demand is beer and vodka. Wine account for only 5-7% of our consumption. Low-alcohol products, too little, strong drinks such as whiskey, gin, is share by a few percent. The increase in excise duties exhausts the spirits market in the shadow”, – says Alexey Doroshenko.
A few years ago according to estimates of producers in the segment of strong alcohol level of shade was 50%. Now manufacturers estimate the proportion of the shade in 80%. “Legal alcohol you can buy in large stores, and illegal alcohol clogged the rest of the country. Legal vodka will cost about 78 USD, and illegal – 30-35 UAH. Increase in the excise tax of 11% will lead to the fact that the price will grow by 15%. Vodka is expected to grow in price at 9-10 hryvnia,” – says the expert.
Photo: archive
How to buy legal alcohol, expert advice:
- To buy alcohol is better in large specialized stores
- Excise stamp must be complete, if you wish, you can request the certificate on alcohol
- The cost of alcohol should not be less than the minimum prices established by the Cabinet of Ministers
“I think that anyone who wants to buy legal alcohol, know where to buy it. The basic rule is to buy in a large store. But this is not a panacea. Counterfeit alcohol is more difficult to buy,” says Doroshenko.
Note that alcohol poisoning is one of the most common causes of premature death among Ukrainians. According to statistics, the Ukrainians are more likely to die from alcohol poisoning caused by alcoholism a disease, than die in an accident. As has informed earlier “Today”, the expected long life of the Ukrainian – 66,3, and Ukrainian women – 76,1 years.
The risk for men of dying before the age of 60 years – 40%, while in Switzerland not live to 60 years, only 8% of men. This means that out of 100 boys in Ukraine, the pension will survive only 60, and in Switzerland – 92. For example, consider the fate of 100,000 newborns of the Ukrainians. According to statistics, 790 people will die before the age of one year. 10,000 Ukrainians did not live to 35 years and 25 000 – to 60 years. 100 000 of these eight people will kill tuberculosis, two will die from the effects of HIV 184 – from cancer, 16 man will destroy alcohol, 12 broken in the accident, five people drowned. In addition, 12 people will commit suicide.
.
