More expensive beer – level 3
The Danish brewer Carlsberg said it would raise beer prices this year to offset the rising costs of ingredients and transportation.
Prices of raw materials have risen across the world for many industries. Supply struggled to keep up with demand as countries recovered from the pandemic last year. Overall costs per liter of beer increased as much as 12%, and Carlsberg acknowledged higher prices could negatively impact customers.
In 2021, Carlsberg’s net profit increased by 13% despite bars and restaurants closing some of its markets. This year, the company expects the net profit to increase again. Carlsberg is now looking at more markets to focus on ciders, seltzers, alcohol-free beverages, and premium brands.
Difficult words: offset (to reduce the effect of something), net profit (the profit after subtracting all costs, taxes, and interests), seltzer (mineral water with bubbles).
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