Beer market of Russia 2016: PET goes to draftThe beer market of Russia was warmed up by the hot summer, but the preparation for large volume PET prohibition has already impacted it negatively. The year was successful for Efes, MBC and regional producers; Carlsberg’s positions were virtually stable but AB InBev and Heineken lost a part of market share having focused on the sales profitability. The dynamics of big brands was determined by how much the companies were willing to keep the prices down or by their promotional activity. In this context the economy segment of the beer market and sales of inexpensive draft beer were increasing. The premium segment started shrinking due to license brands migrating to the mainstream segment.
Beer market of Vietnam: “Young tiger”Vietnam is one of the few big beer markets that continue to grow steadily. The beer popularity results from its low price, street consumption culture, and social motives. The outlooks of beer market as well as the Vietnamese economy inspire optimism, though the country is heavily dependent on export of goods. The state regulation can be called liberal, but the key risk for brewers is harbored in intensive rising of excise. Within TOP-4 there are two leaders, Sabeco and Heineken that grow at the fastest rates. The first company effectively employs its capacities, the second one focuses on marketing technologies. Almost 80% of the market belongs to century-old brands, yet the middle class and the youth are shifting their interest toward international premium that is growing taking share from the mainstream.
Analysis of beer market in China (on Russian)
Beer market of Ukraine: big three losing weightIn 2016, fast increase of excises and resulting price spike stood in the way of the beer market stabilization. Most of competition (as well as mass sorts) moved to the economy segment of the market. The biggest losses were incurred by the leading three, especially Obolon, which again experienced pressure after reallocation of Efes market share. However, one should already speak of TOP-4. Group Oasis CIS (PPB) became a strong player and competitor to transnational companies. Besides the net sales of many regional medium breweries look rather good and 16-fold cost reduction wholesale trade license for craft brewers opens up a possibility of rapid growth in 2017.
One extra beer for Chinese requires a fifth of UK barley production, IGD
The food industry information provider made the calculations to demonstrate what impact small changes can have on global food production, when applied collectively in a largely populated country like China.
IGD’s estimate follows the recent publication of ‘Global Food and Farming Futures’, a government-commissioned report by the Government Office for Science, which explores the increasing pressures on the global food system between now and 2050.
The report highlights the decisions it thinks that policy makers need to take today, and in the future, to ensure that a global population rising to nine billion or more can be fed sufficiently and sustainably.
The IGD arrived at its estimate by working out the average figures, such as the amount of barley malt required for a typical Chinese beer, which is 3.75kg and running a series of calculations.
The Institute used 2008 data from the National Bureau of Statistics of China, to calculate the number of adult males in China and used this number to find out the amount that would be drunk annually if each man consumed one extra beer per week.
The total volume was then worked out: 7.5bn litres of extra beer, which the IGD estimated would need about 1,341,161 tonnes of barley.
“So, growing that amount of barley at UK standards of output would require 231,235 hectares,” the IGD calculated after dividing the tonnes of barley by the amount produced per hectare in the UK by farmers in 2009, which is 5.8 tonnes, (according to figures from the Food and Agricultural Organisation).
The Institute pointed out that another factor to take into account would be the energy required to make the packaging (glass, bottle caps, labels, etc), boiling the water, refrigerating the beer, distributing it, dealing with the extra waste, “and everything else around producing and selling a product,” said the IGD.
Yields could double
In many places, under the right conditions, yields could double, the ‘Global Food and Farming Futures’ report said in terms of wheat production.
Major investment in infrastructure, market development, and technology would be required over the long term in many of these countries to generate higher returns and push actual yields closer to the attainable level, said the report.
This is without counting the potential yield gains that could come from further improvement in varieties it said.
According to the Government Office for Science, among the major wheat producers, only the EU countries (the UK, Denmark, France, Germany) have actual yields close to, or even higher than those potentially attainable.
In all other major producers with predominantly rain-fed wheat production, the gaps between actual and attainable yields are significant.
“This illustrates the large room for growth in productivity that might be achieved if socio-economic, institutional and political conditions were more favourable to the uptake of new technologies and practices,” the report said.
25 Jan. 2011