KUALA LUMPUR: Carlsberg Brewery Malaysia Bhd
expects a challenging 2014 due to rising raw materials, operating costs and inflation, managing director Henrik Juel Andersen said on Thursday.
Speaking to reporters after the group's annual general meeting, he said the group will focus on materialising its costs in 2014 and roll out its efficiency programmes to cushion the impact.
Due to the escalating raw material prices in Malaysia, he said the group had increased some of its product prices in Malaysia.
"We have increased the prices of some of our brands by 3%, but we strive very hard not to impose so much in Malaysia as it already has one of the highest beer prices in the world.
"We increased the prices in March 22 but not on all brands across the board. We increased prices of some brands, and reduced some as well," he noted.
Commenting on its operations in Singapore that was hit by stock rationalisation and the 25% hike on liquor excise duties recently, Andersen said the group has also increased its product prices to make up to the additional tax.
"That came as a surprise so we had to adjust accordingly. It has impacted consumption but we expect it to slowly come back soon, " he said.
Its Singapore operations contribute 20% to the Carlsberg Malaysia's group business in terms of revenue.
To amp up its beverage sales, the group is looking forward to three main events this year which are the Chinese New Year, Barclays Premier League and the 2014 World Cup.
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