The ongoing floatation of the kwacha will see consumers digging deeper in their pockets to buy some of the commodities every time and again or be forced to forgo the commodities.

Carlsberg Malawi Limited, producers of alcoholic and non-alcoholic beverages, has said prices of its beverages will always be adjusted in accordance with the exchange rate.

The company’s Chief Executive Abel Chanje last week said as long as the kwacha is floated Carlsberg will continue adjusting prices of its drinks.

“We will have to do price adjustments as long as the kwacha is being floated. We will have to be protecting our margins because we buy the dollars with kwacha and if we do not recover what we are paying for, then we are not in business.

“Therefore as long as floatation will continue we will be forced to adjust our prices so that we protect our margins, otherwise there will be no money to buy raw materials,” said Chanje.

He said the adjustments will be varying depending on the percentage of the floatation.

Recently, Carlsberg adjusted the prices of its beverages on the market which has pushed the price of non-alcoholic beverages to K150 per bottle in some retail shops.

Meanwhile, Carlsberg has said it will continue to invest in the country and being innovative by introducing new products.

Chanje said the company already set up a new beer plant in Lilongwe which will see increased productivity. The plant will be commissioned in July this year.

In the year 2012 alone, Carlsberg spent over K6 billion in an expansion drive.

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  1. Carlsberg MW Brewery Ltd is a contradition to the Malawi economy. Just think of it; it was established to create emplyment but not boost the economy. Until today Carlsberg uses ove 85% imported raw material after excluding the cost of electricity, water and labour. The rest is imported and not a single bottle has found an export market within the SADC market. This is where the contradition is. No wonder the Chief Executive is talking about floatation. Instead of floating the consumer prices, please conduct a value analysis of your product value chain to identify where your forex is going. In fact you should thank tobacco, tea and groundnut farmers for creating forex otherwise you should have already closed your stupid company. Now you can float your prices but know that Castle is also selling in Malawi.


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