Glass bottle prices continue to rise, some wine companies have been affected

Since the beginning of this year, the price of glass has been “higher all the way”, and many industries with high demand for glass have called “unbearable”. Not long ago, some real estate companies said that due to the excessive increase in glass prices, they had to readjust the speed of the project. The project that should have been completed this year may not be delivered until next year.

So, for the wine industry, which also has a great demand for glass, does the “all the way” price increase operating costs, or even have a real impact on market transactions?

According to industry sources, the price increase of glass bottles did not start this year. As early as 2017 and 2018, the wine industry was forced to face price increases for glass bottles.

In particular, as the “sauce and wine fever” craze across the country, a large amount of capital has entered the sauce and wine track, which greatly increased the demand for glass bottles in a short period of time. In the first half of this year, the price increase caused by the increase in demand was quite obvious. Since the second half of this year, the situation has eased with the “shots” of the State Administration of Market Supervision and the rational return of the sauce and wine market.

However, some of the pressure brought by the price increase of glass bottles is still transmitted to wine companies and wine merchants.

The person in charge of a liquor company in Shandong said that he mainly deals in low-end liquor, mainly in volume, and has a small profit margin. Therefore, the increase in the price of packaging materials has a great impact on him. “If there is no increase in prices, there will be no profits, and if the prices increase, there will be fewer orders, so now it is still in a dilemma.” The person in charge said.

In addition, some boutique wineries have relatively little impact due to higher unit prices. The owner of a winery in Hebei said that since the beginning of this year, the prices of packaging materials such as wine bottles and wooden packaging gift boxes have risen, among which wine bottles have increased significantly. Although profits have declined, the impact is not significant, and price increases are not considered.

Another winery owner said in an interview that although packaging materials have increased, they are within acceptable limits. Therefore, price increases will not be considered. In his view, wineries need to consider these factors in advance when setting prices, and a stable price policy is also very important for brands.

It can be seen that the current situation is that for manufacturers, distributors and end users selling “mid-to-high-end” wine brands, the increase in the price of glass bottles will not lead to a significant increase in costs.

It is worth noting that the price increase of glass bottles may exist for a long time. How to solve the contradiction between “cost and selling price” has become a problem that low-end wine brand manufacturers must pay attention to.