Friday, 23 October 2015

Minimum pricing in Russia

We don't hear much about minimum pricing of vodka in Russia despite it being the only nationwide minimum pricing system in the world. You'd think that 'public health' types would keen to talk about what a success it's been.

Or perhaps not...
Alcohol producer Status Group has taken pole position in the Russian vodka market, as its lower prices lure buyers amid an economic slump, the RBC news agency reported Monday, citing market research.

... The company was boosted by a decision by Russia's alcohol market regulator to slash the minimum price for vodka from 220 to 185 rubles ($3.50 to $2.90) per half-liter bottle on Feb. 1 to fight increasing consumption of surrogate alcohol.

Production and distribution of illegal liquor has boomed in recent years as the government pushed up alcohol prices through taxes and minimum pricing.

It's no wonder they prefer computer models to real world evidence.

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