Beer price increase will be sought

Press, Volume CXI, Issue 32715, 18 September 1971, Page 18

Beer price increase will be sought

(New Zealand Press Association) AUCKLAND, September 17. The 11 per cent wage increase granted to brewery workers might result in beer drinkers paying up to 2c more for an Boz glass; the first step towards a possible increase in public-bar beer prices was taken by the New Zealand Breweries today.

It approached the Department of Industries and Commerce to establish how to present a case for an increase in the price of bulk beer.

Dominion Breweries also is considering making an application for cost adjustment to allow for the 11 per cent pay increase approved this week by the Wages and Remuneration Authority. New Zealand Breweries will lodge its application with the Price Tribunal as soon as cost figures are gathered and a case prepared. The general manager of the firm (Mr G. C. Reid) said last night that this might take “some weeks.” No figures had yet been decided. It is believed the increase ultimately sought will be similar to that granted in December, 1969—8 c a gallon.

If the brewery companies are successful in their applications, hotels are expected to waste little time in applying for increases as well. “NO ALTERNATIVE” “We will have no alternative at all,” said the chief executive officer of the Hotel Association of New Zealand (Mr J. J. Williams) tonight. “If the breweries increase their prices, we must ask permission to increase ours.” Mr Williams said that the association had been considering seeking an increase even before the brewery workers were granted their 11 per cent. “Since our last increase we have had to absorb the 3 per cent general wage order, the 4.8 per cent cost-of-living order and a 7 per cent increase in the cost cf glassware. In addition, improvements and repair work car-

ried out on premises now cost more than before,” he said. Mr Williams said that if the breweries were granted an increase similar to that of December, 1969, the association would attempt to gain at least the same increases it was granted in that month and possibly more. In December, 1969, the price of beer in public bars rose between 1c for a soz glass and 4c for a jug.