Wine prices set to rise by a ‘tempting’ amount next year, supplier warns

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Wine drinkers have been warned they can expect the price of a bottle to rise next year in the latest blow to shoppers amid the cost of living crisis.

Wine would be the latest product to change its prices at the supermarket in the coming months. According to The Grocer, a source at a major supplier suggested buyers would face “sharp increases” in the cost of wine, adding that the prices could prove “absolutely mind-blowing”.

This is mainly due to the rising cost of energy driving up the price of glass. Major wine suppliers expect to pay between 45% and 70% extra for bottles from next spring, having already seen prices soar this year.

READ MORE: Cooperative stores are turning off store lights in a bid to cut energy bills

Kingsland Drinks MD Ed Baker explained: “Glass makers are extremely energy intensive and even glass components are inherently high in energy to drift. We have already worked on projects like weight in glass as much as possible.

“We already have 320g bottles and more and more customers are switching to these – you can’t go much lighter without having appearance or breakage issues,” he added. Another element of the price increase comes from the cost of Packaging Recovery Notes (PRN).

Suppliers are required to purchase these documents, which provide proof that packaging waste has been recycled into a new product, by law from companies or recycling programs. But these have risen from around £45 to £200 per PRN, according to Baker.

The Wine and Spirit Trade Association has written to the government asking it to “take immediate action” on what it calls the “PRN crisis”. In a letter to the Department for Environment, Food and Rural Affairs (Defra), CEO Miles Beale warned that the “tsunami of rising costs” could cause some small businesses to collapse.

Beale added: “In the UK we have seen glass prices soar, exacerbated by increased demand following the Covid lockdowns. Add to that ongoing supply chain issues, rising production costs due to energy prices and other inflationary pressures, and the clear conclusion is that there are few signs of a downturn. prices soon.

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