On the background of the fight against the pandemic coronavirus alcohol producers are asking the government to freeze the rate of excise duty on their products until the end of 2022. Otherwise, market participants threaten to increase in the share of illegal products, which already accounted for 30%.The Russian Union of Industrialists and entrepreneurs (RSPP) asked the Prime Minister Mikhail Mishustin with a request to freeze the rate of excise duty on all categories of alcoholic beverages in the period from 2021 to 2022. According to the letter (a copy is in “Kommersant”), this measure should contribute to the recovery of the economy from the negative impact of measures to combat coronavirus infection.The decline in the purchasing power of the population and demand leads to a decrease in excise revenue due to the reduction in the number of legitimate market participants, the authors of the letter.According to the President of the Union of manufacturers of alcoholic production of Igor Kosarev, the increase of the excise rate leads to increase the final cost of alcoholic beverages. In the conditions of falling of incomes of the population it motivates consumers to switch to illegal alcohol, the share of which already reached 30% of the market, he said. In addition, if we take the ratio of excise duty and the average wage in Russia now and one of the world’s highest levels of excise on alcohol.Director of legal and corporate Affairs of AB InBev Efes the oraz Durdyev adds that the brewing industry has not received government support during a pandemic, and freeze in excise duties will have a positive impact on production volumes. The letter notes that in 2017 the excise duty rate has already been committed for three years. This has led, in particular, to the fact that the segment of the brewing industry for the first time in ten years saw an increase in the production. From 2020, the rate of excise duty on alcoholic products with a share of ethyl alcohol up to 9% inclusive have increased 4.1 percent, to 435 rubles per liter of absolute alcohol contained in the drink, with a share of ethyl alcohol over 9% — 4%, to 544 rubles. per liter. For cider, Mead and Poiret rate as a result increased by 4.8% to 22 rubles. per liter of the beverage, on beer and beer drinks with a share of ethyl alcohol up to 8.6% — 4.8% to RUB 22 Manufacturers of beer with more than 8.6% have to pay 41 rubles per liter, which is 5.1% more than the year before.The authors of the letter also asked to postpone the entry into force of the law on viticulture and winemaking, which was adopted at the end of last year.The document prohibits the use of imported raw wine, otherwise such products can not be called wine, and drink wine. While currently the production of own wine materials in Russia allows to provide only 30% of the market. As noted in the letter of the Union, the law now creates “more insoluble difficulties” for the wine industry.Maria Kotova
