Beer lovers in NYC brace for a 13% price hike as congestion pricing impacts costs
New York City: That’s a buzz kill!
Beer lovers in the Big Apple might have to shell out 13% more for their favorite brews. Congestion pricing is making deliveries pricier, and that’s hitting customers and businesses hard, especially in busy Manhattan areas.
Anheuser-Busch, the company behind popular beers like Budweiser and Stella Artois, is raising keg prices by $5. This news came straight from a company rep to The Post.
With congestion pricing making deliveries more expensive, beer prices are expected to rise. Distributors are likely to follow Anheuser-Busch’s lead, adding those costs to delivery fees.
Bars will probably have to charge an extra dollar per pint to keep up with these price hikes. The industry giant is already notifying customers about these changes.
One frustrated beer drinker in Midtown called it “death by 1,000 cuts,” expressing anger over what he sees as another cash grab from Albany.
Some fans of the frothy stuff are even considering giving up drinking altogether. At Tile Bar in the East Village, a regular said he only drinks Bud because it’s cheap, but he won’t if prices go up too much.
Lee Seinfeld, who owns Dive Bar and other spots on the Upper West Side, said this is another “nail in the New York coffin” for the beer industry. He’s worried about how hard this will hit bars, especially since his food prices have already jumped 45% since the pandemic.
Some vendors are even asking if he’d take deliveries after hours to save on costs, since tolls drop during off-peak times.
Eugene Wilson, who runs Pig N’ Whistle on West 48th Street, said $5 is too steep. He hasn’t heard about price hikes yet, but he knows they’re coming and is hesitant to raise prices since they’re already high.
His bar charges $8 for a Bud Light and $10 for a Stella. A rep from a big distributor mentioned that others will likely follow Anheuser-Busch’s pricing strategy.
Congestion pricing is already raising costs for food and supplies in bars and restaurants, and beer prices are next in line. Andrew Rigie from the New York City Hospitality Alliance said this is exactly what small businesses feared.
Anheuser-Busch is notifying customers about the $5 increase in keg prices. Cintas, which supplies uniforms and cleaning products, is also raising prices due to congestion pricing starting January 5.
They sent a letter explaining that costs in NYC keep rising, and they need to adjust service charges to keep up.
During peak hours, large trucks will pay $21.60, while small trucks will be charged $14.40. Sysco, a food distributor, is adding a $1 “congestion charge” to deliveries in affected areas.
As of January 5, drivers will need to pay $9 to travel below 60th Street during peak hours. Governor Kathy Hochul revived the congestion pricing plan in November, claiming it will help fund MTA upgrades and reduce crowding and pollution.
