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Beer to become cheaper as CM sets off price war

Posted by on July 25, 2011 0 Comment

Hyderabad: Good news for ‘beer’ consumers.

The prices of beer could fall drastically in the next few days after a state government’s decision can possibly spark of a price-war between beer companies in the state.

A healthy competition has been set up among the companies which pump into the market their brands.

According to very informed and reliable sources, the state government has decided to issue government ‘orders’ to whichever company which tops in sales. This is a bumper offer to propel the companies to effect sales, thereby adding to the excise revenue.

This offer has let loose a buzz of enthusiasm and activity in the companies of popular brands to ensure more sales of their products.

According to information, UB, SCOL, Charminar, Cubas are among 8 companies which supply beer in the state.

Monthly on an average, 1.20 crore cases roll out from the godowns and each case contains 12 bottles.

Former chief minister K Rosaiah, who kept with him the Excise portfolio, was said to have backed the UB company with more orders. This obviously caused much resentment among the other companies.

Chief Minister N Kiran Kumar Reddy was approached recently and justice was sought by the other companies.

Mr Kiran Kumar Reddy, not to antagonize any section, was said to have made this offer, by which the companies would have to sell as many cases as possible within a stipulated period of 45 days.

The Chief Minister’s ‘offer’ has generated much heat among the company bosses and they, in turn, have started to design ‘offers’ to retailers.

The retailers have been told to give discount on sales/orders etc to promote their business.

The whole exercise is expected to leave the Excise Department exceed its target ‘revenue’ fixed by the Kiran Kumar Reddy government, according to the sources. (INN)

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