Alcohol excise taxation increases rise legitimate concerns

Zdjęcie: Foto: shutterstock.


Planned increases in alcohol excise taxes are raising increasing concerns among experts and consumers. Although the government justifies them on the grounds of concern for wellness and the request to reduce alcohol consumption, in reality it seeks to increase budget revenues. The increase in the prices of legal beverages leads, on the 1 hand, to the flourishing of the shadow alcohol market, and on the another hand, disturbs the competitiveness of the home marketplace vis-à-vis Poland's neighboring EU countries, where already, thanks to lower taxes, the prices of beer and another alcoholic beverages are lower than in Poland. Contrary to widespread opinions, alcohol consumption in Poland is falling, reaching its lowest level in 17 years in 2023. This is happening, primarily, as a consequence of the shrinking beer market, whose per capita consumption has fallen by more than 13% since 2018. Looking at long-term consumption trends - a declining beer marketplace and a strengthening spirits marketplace - raises questions about the wisdom of the measures taken.