Photo of the week : bars pay the high price

The ministry of commerce has announced a new categorization and a significant increase in operating license fees for “Model C” bars. These new measures are causing serious concern among bar and bistro owners.

In an official press release published on July 14, the Minister of Commerce, Marie Chantal Nijimbere, detailed the changes introduced by the budgetary provisions for the 2025-2026 fiscal year. Until now, bars classified under Model C had to pay a flat fee of 10 million BIF (Burundi francs) to obtain authorization to add a markup to the official prices of beverages produced by Brarudi (Burundi Brewery Company). From now on, fees will vary depending on the applied margin, ranging from 10 to 50 million BIF.

A new categorization of licenses

Model C has been subdivided into four categories, based on the markup applied to the official price of drinks :

From 1,001 to 2,000 BIF markup: license fee of 10 million BIF

From 2,001 to 3,000 BIF: 20 million BIF

From 3,001 to 5,000 BIF: 30 million BIF

Over 5,001 BIF: 50 million BIF

Owners of these bars are required to comply with this new regulation and pay the corresponding fees before August 15, 2025, or face sanctions.

Strong reactions from the sector

For retailers, the pill is hard to swallow. Many denounce a decision that could further weaken a sector already affected by supply difficulties and a decline in consumer purchasing power.

“Let’s imagine someone has already paid 10 million BIF, and now they’re asked to pay an additional amount. Where are we going to find this money?” wonders the manager of a VIP bar in the Bujumbura municipality, the commercial capital of Burundi. Others point to the frequent disruptions in the distribution of Brarudi drinks, making the situation even more untenable for operators.

The civil society speaks out

Faced with these new measures, the civil society has not remained silent. During a press briefing on Friday, the director of PARCEM (Words and actions for the awakening of consciences and mentality change), Faustin Ndikumana, expressed his concerns.

According to him, instead of constantly increasing licensing fees, the government should instead focus on solving the structural problems of Brarudi, the main beverage supplier. “Across the world, a state must support strategic businesses to ensure their proper functioning,” he declared.

He denounces “fiscal insecurity” due to the instability of licensing costs, believing that these additional charges risk discouraging investors in the sector or even leading to mass closures. “The government risks not collecting the expected revenue, which could further worsen the country’s economic situation,” warned Faustin Ndikumana.

Is the sector headed for a crisis?

Some operators are already considering abandoning their businesses. “At this rate, we have no choice but to change our business,” confided a bistro owner in downtown Bujumbura, where United Nations agencies and the central government are concentrated. Tax uncertainty, combined with the scarcity of products, seriously threatens the economic stability of the beverage sector.

As the August 15 deadline approaches, industry professionals still hope for a relaxation of measures or, at the very least, a dialogue with the authorities to find a viable compromise.

Our photo : A woman serving one of the most representative and consumed beers, Brarudi, in Burundi. The Burundian authorities have taken measures deemed unfair by bar owners (SOS Médias Burundi)