The
price increases were announced two weeks ago, with the price of stout expected
to increase by as much as 25 cents.
The
price hikes come after Heineken, one of Diageo’s competitors, also announced
price increases back in December, citing rising costs.
Paul
Moynihan, president of the Vintners Federation of Ireland, told the Irish
Mirror: “Diageo’s increase of 12c, plus VAT, is probably double the normal
increases that we are used to absorbing.
“There’s
no way publicans will not be able to pass on this price increase. There might
be the odd one, but it’s so difficult now that I think all publicans will have
to [pass it on].
“Costs
are going through the roof. The public is aware of that, but we are still doing
our best to offer value to our customers. They are having a tough time, too.”
With
the new increases, the price of a pint of Guinness in Dublin City Centre is
expected to rise to over €8 in some pubs.
