Admitting that taxes on beer and cigarettes may be too high, the Government is considering a reduction in the near future. The reason behind their change of heart is the realization that the stiffer levies are not sustainable and that while they produced an initial windfall by increasing government revenues by RD$3 billion in the first quarter that continuing drops in sales of both items will soon cause them to lose from two to three hundred million pesos in revenues this year.

The considered tax reduction also comes on the heels of the cancellation of the popular Presidente Beer Music Festival which the company claimed was due to declining sales. After discussions between the Ministry of Economy and the National Brewery there is a chance the event could be re-scheduled.

Economy Minister Temistocles Montas stated that he hoped the music festival would take place and that the after a meeting with the International Monetary Fund he believes that the government will proceed so that the beer industry will benefit.