(Yicai Global) Jan. 5 -- Several Chinese breweries raised their prices at the start of this year by as much as 20 percent, marking the first collective industry hike in 10 years.

China Resources Snow Breweries Ltd., which produces the world's best-selling beer by volume, Snow, and the country's second-largest brewer Tsingtao Brewery Co., will both increase prices to counter environmental taxes and the increasing costs of raw materials, labor and transport, Beijing News reported yesterday.

China's beer market has long been dominated by price, with boozers opting for the cheapest ale available. But the country's rise in consumer spending over the past few years has seen local drinkers develop a taste for more expensive products, paving the way for foreign brands which had previously struggled to find their footing. Before the hike, consumers could purchase an individual can of Snow beer for as little as CNY3 (USD0.46).

There have been no major changes in competition among domestic players, an analyst at Soochow Securities said. If buyers accept the new price of Chinese beer, and sales in key regions remain high in peak season, the whole industry can end its price war and boost profits, he added.