Alcohol levels could potentially escalate between 3-7 percent in Omsk
Russia is set to witness a rise in alcohol prices from September 2025, according to Stanislav Bogdanov, the chairman of the presidium of the Association of Retail Companies (AKOR) in Russia. The changes are a result of amendments to the law "On State Regulation of the Production and Turnover of Ethanol, Alcoholic and Alcohols".
The amendments introduce stricter licensing requirements for retail and catering facilities selling alcohol, as well as a moratorium on new production, storage, and supply licenses for ethyl alcohol until April 1, 2027. This could potentially limit supply, driving prices up.
Moreover, Russia has imposed steep increases in excise taxes on alcohol as a public health measure. These taxes have reduced legal alcohol production and pushed consumers towards illicit alcohol. The higher excise taxes generally translate into higher retail prices for legal alcohol.
The transition to mandatory electronic documentation of alcohol circulation has been postponed from September 1, 2025, to March 1, 2026. While this may ease operational costs temporarily, the tighter overall regulation suggests that cost burdens remain and are likely to pass to consumers.
Some regions, like Vologda, have imposed tight restrictions on sales times, which can limit availability and indirectly lift prices due to scarcity or reduced competition.
The Association of Retail Companies (AKOR) in Russia has announced these expected price increases, with estimates suggesting a potential rise of 3-7%. The changes are expected to affect the final price for consumers.
Meanwhile, the Ministry of Health in Russia has proposed new smoking restrictions in Omsk, which could significantly limit the places where smoking is allowed. However, these restrictions are not directly linked to the changes in the law regarding the production and turnover of ethanol, alcoholic, and alcohols. The new smoking restrictions in Omsk are not yet implemented and are specific to that city, not a nationwide policy.
The announcement was reported by "Sibdepo". The proposed smoking restrictions aim to ban smoking in several places, reducing the number of smoking-allowed locations. However, it's important to note that these restrictions are not related to the increase in alcohol prices in Russia.
In conclusion, the legislative amendments combined with fiscal measures such as high excise taxes and restricted licensing are expected to contribute to higher alcohol prices in Russia from late 2025 onwards. The effect on curbing illegal alcohol is uncertain, as many consumers may turn to the black market due to rising prices and reduced legal access. No direct price figures or official government projections for alcohol pricing post-2025 are available, but the combination of licensing restrictions and excise tax increases strongly indicate an upward price pressure trend.
What will the impact be on science, health-and-wellness, and the industry of finance, given the expected rise in alcohol prices in Russia? With stricter regulations and higher excise taxes leading to increased prices, consumers might turn to illegal alcohol options, potentially affecting the overall health and wellness of individuals, as well as impacting the legal alcohol industry's financial performance.
