Managing Director of Red Stripe, Ricardo Nuncio, says a decision will be taken today whether the company can absorb the full effect of the increase in the tax on pure alcohol or be forced to pass it on to consumers.
Finance Minister Audley Shaw announced yesterday that come Monday the excise on pure
alcohol will be increased from $1,120 per litre to $1,230 per litre.
Mr. Nuncio says Red Stripe will today be discussing a strategy to respond to the increase.
Mr. Nuncio expressed surprise at the move by the government especially after advising them of plans by the company to boost revenue.
And, Mr. Nuncio says Jamaicans are the second lowest consumers of alcohol and beer in the region.
He says this is directly linked to the high cost of alcohol in the country.