In 2023, alcoholic drinks in Tanzania has been facing significant shifts due to the steep rise in the cost of living. Many consumers have down-traded from premium to lower-priced brands to manage their budgets, while mid to higher-income individuals have continued to afford their preferred beers, maintaining stability in that category.
In 2023, alcoholic drinks in Tanzania have seen significant changes driven by economic pressures and new government policies. An excise duty of 20% on beers led to price increases, affecting all levels of the supply chain.
Generally, alcoholic drinks consumption is high in Tanzania, encompassing beers, spirits, whiskies, and brandies. Daily drinking is common, from Monday to Monday, resulting in numerous outlets selling alcoholic drinks, particularly in residential areas.
The minimum wage of government workers increased by 23% during the review period; the first increase since 2016. The government has also ordered increases in the minimum wage in the private sector.
The most popular on-trade channels were bars/pubs and restaurants. Urbanisation and a growing middle-income group boosted demand in such venues, whilst benefiting from growth in tourist numbers.
In 2023, the legal drinking age and legal purchasing age remained 18-years-old. Producers also feature the following warning on packaging: “Not for sale to persons under the age of 18”.
In 2023, the Tanzanian government imposed an excise duty of 20% on beers, leading to significant price increases. This move is part of a longstanding trend where taxes on alcoholic drinks and cigarettes are increased annually to boost government revenue.
Over the forecast period, volume growth for alcoholic drinks in Tanzania is expected to continue increasing. This growth is driven by the proliferation of outlets selling alcoholic beverages, including wholesalers, retailers, and on-trade sellers such as bars in residential areas.
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Alcoholic Drinks
Alcoholic drinks is the aggregation of beer, wine, spirits, cider/perry and RTDs.
See All of Our DefinitionsThis report originates from Passport, our Alcoholic Drinks research and analysis database.
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