The question of the price of alcoholic beverages is once again on the agenda. At the meeting of the commission on economic policy, industry and entrepreneurship in the Milli Majlis, during the debate on the proposal to amend the law “on the protection of consumer rights”, the chairman of the commission, Azer Amiraslanov, He stated that there are vodkas on the market that cost one manat per liter. But currently the excise tax on a liter of vodka is 4 manats and 18 kopecks. Products below this price are of poor quality. A businessman who produces low-quality products should be removed from the market:
“After the adoption of the law, the procedure for determining the minimum price will be prepared. The Code of Administrative Offenses will provide for very high penalties for those who violate this law. The increase in the minimum price may lead to an increase in the price of alcoholic beverages.”
“Caspian” The newspaper published an article on the subject.
“There are enough low-quality vodkas on the market”
According to Teymur Musayev, associate professor of the Scientific Research Institute of Viticulture and Oenology, doctor of philosophy in technology, there are factors influencing the low price of vodka:
“Cheap vodkas are mainly produced in small shops. There are quite a few low-quality vodkas on the market. The price of a liter of alcohol varies between 3 and 3.50 manats. If you add VAT and excise taxes, it costs between 10 and 12 manats. One liter of alcohol costs 2.4 liters of vodka. If other costs are added, the cost of the product increases. If the product is made for 10 manats, then it is made with low-quality alcohol and does not pass. for cheap filters.”
According to T. Musayev, raw materials also affect the quality of vodka:
“There are alcohols made from wheat and sugar beets. Wheat alcohol is of better quality. When drinking the other one, you feel that it is of poor quality.”
Even if the price rises, it will not affect demand.
The expert also referred to the work to be done in this field:
“Our domestic wheat alcohol is of better quality than Russian and Ukrainian alcohol. If we develop it, we will influence prices on the market. In addition, the income we get will stay in our domestic market. If the product is of poor quality, the citizen will not resort to it a second time. I do not believe that the price increase will affect demand: “I do not believe that if the price of vodka increases, its variety and quality will also increase. There are some. companies that should be certified and controlled by the State so that they do not produce low-quality vodka.
Quality vodka can’t be cheap
Tamella Bakhshaliyeva, an expert in vodka and alcoholic beverages, affirms that there are no illegalities because control in this area is strong:
“The composition of vodka is mainly made up of water and alcohol. 40 percent alcohol and 60 percent water are used. Both must be of good quality. In addition, a lot of equipment is used to make it. You must also pay excise duty officially. In this case, vodka cannot be cheap at the moment. It is not possible to set a minimum price.
According to T.Bakhshaliyeva, every product has a buyer. In such a case, a product cannot be removed from the market by saying that it is “cheap or of poor quality”:
“Quality vodka cannot be cheap. Small, low-quality vodkas also have their own excise tax. Not all of them are low-quality. For example, they consider burning vodka to be low-quality. But there are people who find it low-quality. like the vodka that “Everyone likes, you can get the product cheap or expensive. “If there is demand, it is wrong to remove the product from the market.”
Will low-quality vodkas sell more expensive?
Economist Khalid Karimli said that there are rules on this issue in the world:
“Scotland and Great Britain can be cited as an example. They believe that alcohol is harmful to health. It is planned to reduce the production of even quality alcohol. They do this mainly to protect the interests of vodka producers, so that it can be reduce price competition. carried out.”
According to the economist, although it is not possible to adjust quality with this step, demand can be reduced even a little:
“The main objective of adopting this decision is to prevent low-quality liquor products from entering the market. They want to show the population that if it is lower than the price, it means that it is of poor quality. But a certain part of the price is also excise taxes .Other ways should be found to prevent excise evasion or check the quality. I don’t think it is right to increase the price of vodka every year. It is a mistake to think that increasing the price of vodka will improve its quality, vodkas. low quality will be sold at a higher price. But in any case, the price increase is the right step to reduce the demand for alcoholic beverages.
