Mount Gay prices to increase in 2023 | Loop Barbados – Loop News Barbados
From next year it could cost consumers of Mount Gay rum more to indulge in their products.
While unable to say just how much of a hike rum lovers can expect, Managing Director of Mount Gay Distilleries Ltd Raphaël Grisoni explained that with the rising costs of inputs, price increases could be anticipated on local, regional and international rum products sometime in 2023.
“Mount Gay is not acting in isolation, we are just part of a trend. So, other brands of all kinds of products will also increase,” Grisoni said to local media after a tour of the distillery’s new sugar mill in St Lucy on Wednesday, August 31.
He went on to explain that a number of logistical challenges impacted the distillery, especially considering that a vast number of inputs for production had to be imported. However, Grisoni did state that the company would try to absorb “the maximum” but some increases would have to be passed onto consumers.
At the time of the press interview, the Mount Gay head could not provide specifics regarding the price hike consumers can expect but confirmed that it will eventually take effect.
“I don’t have any figures right now, but what we do is try to absorb the maximum, but you can be sure that with the trend we are observing right now that next year we will have to increase our prices for sure. There is no doubt about that,” he stated.
Addressing a question posed about how the distillery was combatting the many challenges against the backdrop of rising oil prices and global supply-chain disruptions, Grisoni hailed the company for its adaptability and excellence in forecasting.
“Our secret thus far has been the agility of our staff and our forecasting but unfortunately, consumers are going to be impacted at the end of the day [because of] inflation of all raw materials [and] inflation on the logistics cost which is tremendous. We are supporting it and we are trying as much as we can when we are exporting to our key markets [not] to pass on this price increase,” he stated.
However, should there be a dip in local consumption, the rum manufacturer stood poised to fall back on its exports as it was “diversifying” its risk by attempting to export to many countries so the “risk is diluted in that way”.
“You need to buy your necessary goods like food, effectively [affecting] the share allocated to what is not necessary, and if rum is not necessary in your life, probably it will have an impact in terms of consumption. It is why export is so important and diversification of the countries to where we are exporting,” Grisoni stated.
The managing director fielded questions following a tour of a new sugar mill and rum aging bond which were being constructed at the St Lucy distillery. The tour was attended by Minister of Industry, Innovation, Science and Technology Davidson Ishmael, Minister of Tourism Senator Lisa Cummins and Parliamentary Representative for St Lucy Peter Philips.