The Ministry of Finance proposed to increase the minimum price for vodka to 299 rubles from June
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The Ministry of Finance proposed to increase the minimum prices for vodka, brandy and cognac from June 1, 2024. According to project order published on the portal of draft regulations, the price of vodka should be set at least 299 rubles. for 0.5 l, brandy – 403 rubles, cognac – 556 rubles. Currently, the minimum retail price for vodka is 281 rubles, brandy – 375 rubles, cognac – 517 rubles. for half a liter.
The draft resolution also proposes to include rum in the list of drinks for which a minimum retail price is established. Its minimum price is planned to be set at the same level as that of brandy—403 rubles. for 0.5 l.
The explanatory note to the document states that price indexation is associated with the level of inflation, rising costs for the production of alcoholic beverages and an increase in excise tax rates on alcoholic beverages with a strength above nine degrees. According to amendments to the Tax Code approved by the State Duma, from May 1 to December 31, 2024, for alcohol with a strength of over nine degrees, the excise tax rate will be increased from the current 613 rubles. up to 643 rub. for 1 liter of anhydrous ethyl alcohol.
“According to the forecast of socio-economic development of the Russian Federation for 2024 and for the planning period of 2025 and 2026, developed by the Russian Ministry of Economic Development, at the end of 2023 the inflation rate was 7.5%, while in 2024 inflation will slow down to 4.5%. At the same time, an increase in the cost of alcoholic beverages occurred already in 2023,” the note says.
When developing the draft order, as the Ministry of Finance points out, the impact of the introduced external trade and financial restrictions and the rising cost of imported equipment, components and consumables were also taken into account. In addition, the department draws attention to the growth of the dollar/ruble exchange rate.
To others project order, the Ministry of Finance proposes to increase from 68 rubles. up to 73 rub. the minimum purchase price of ethyl alcohol produced from food raw materials. It is proposed to increase the minimum purchase price of ethyl alcohol from non-food raw materials and denatured ethyl alcohol produced from food and non-food raw materials (except for bioethanol) from 51 rubles. up to 55 rub. It is expected that these changes will also take effect from June 1, 2024.
Read more about the production of Russian alcohol in the Kommersant FM article. “Alcohol is poured in abundance”.
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