German brewers have been forced to dump unsold beer and have asked the government for financial help while quarantine in the wake of the coronavirus pandemic has reduced demand, they said Monday.
German pubs, hotels and restaurants have been closed since November in the country’s second lockdown, after the first at the beginning of last year.
Producers have called on the German government to help breweries in the country’s programs to help the industry recover from the impact of the coronavirus crisis. The German government provided financial assistance to pubs and bars, but not to breweries.
“From one week to the next, more and more breweries, pubs and wholesalers face a threat to their existence even though it is not their fault and they are threatened with insolvency,” reads an open letter from approx. 300 breweries published by DBB and VPBD brewers’ associations.
The letter was signed by breweries such as Carlsberg Deutschland, a unit of Danish brewer Carlsberg, Bitburger Braugruppe, Krombacher and Paulaner Brauerei.
“Quarantine and the collapse of the pint beer market have meant that breweries have lost much of their economic foundations overnight,” the letter said.
“The multi-million euro stock that exceeded its trading date had to be discarded.”
Bottled beer sales in stores were “far from sufficient” to offset losses in sales to the hotel sector and weak exports, the breweries said.
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