CIDER: Pear necessities
1st April, 2008 by db_staff - This article is over multiple pages: 1 2 3 4 5 6 7 8 9 10 11 12 13 A statement from the National Association of Cider Makers (NACM) issued a statement after the announcement of a 3p per litre increase on duty for cider, saying: “Our industry, as with the other drinks trade industries, is extremely disappointed in the duty increase as it might undo the good work done by cider makers to invest into the rural economy and to innovate in new products. It has been, in part, this investment and innovation in the cider category that has stimulated a return to growth after a decade of flat and declining sales, and the government has benefited with increasing revenues to the Exchequer as a consequence of what cider makers have achieved.”
Spokesperson for the industry, Simon Russell, commented: “In the past few years people have suggested that we’ve been lucky, but the cost of production is significantly higher. The category doesn’t have the same economies of scale.”
The NACM’s statement addressed the issue of taxation as a means of promoting responsible drinking. “As with all other drinks trade bodies, we are determined to address the serious issue of alcohol misuse. We are, however, convinced that increasing taxation is a very blunt instrument destined to miss the intended target.”
For Magners’ Scott Fairbairn, responsible drinking “at the end of the day, is a social issue, not a tax issue. Magners is far from that binge-drinking category as possible. We’re 4.5% ABV, don’t do deep discounting, and are careful with our sponsorships.”
© db April 2008