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German breweries are facing a severe crisis, with many, especially smaller, family-run businesses, on the brink of closure. The german Brewers Association warns that rising production costs (up to 6% annually since 2020) and a consistent decline in beer consumption (down 35% in 31 years) are creating a important financial gap.
The catering sector has seen a particularly sharp drop in sales. While larger breweries like Veltins are also feeling the price pressure and plan to increase their prices, beer remains relatively inexpensive in Germany compared to other European countries.
The association is calling for government support, suggesting measures like reducing VAT to help stabilize the gastronomy sector and, by extension, the breweries.