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.
SABMiller announces further investment in its Southern Sudan operations
SSBL's state of the art brewery in Juba is currently at full capacity. By November 2011, today's investment will have increased brewing capacity to a total of 500,000 hectolitres.
The investment comes in response to very positive consumer acceptance of SSBL's brands in its first two years of operation and will enable the company to service the entire South Sudanese market with a balanced and affordable portfolio of brands. The popularity of the newly-launched White Bull brand and the locally brewed and bottled Nile Special brand has driven the increase in production capability. However, improved capacity will also give the company the flexibility to introduce new brands to the market.
Ian Alsworth-Elvey, Managing Director of SSBL, said "Our investment in Southern Sudan continues to bear fruit due to the country's improving economic outlook and a continued positive consumer response to our brand portfolio. Increasing our brewing capacity takes the business to the next level, supporting growth in our key mainstream segments and helping us to build market share.
"In line with our global priorities, we are continuing to build the business through the value chain, working with local farmers to improve techniques and increase yield and supporting employment in the local community. Today's announcement reinforces our commitment to this exciting and growing market."
SSBL commissioned its brewery in South Sudan in 2009 and invested US$37m to build the facility in Juba. To date, its operations in the region have created employment for 200 Sudanese. Its pioneering land lease agreement ensures that the local community receives royalties from the development and benefits from the business' continued success. SSBL, through SABMiller, is one of the largest private sector contributors to the South Sudanese economy, paying excise tax at both national and state level.
In 2010 SABMiller won nearly US$1 million funding from the Africa Enterprise Challenge Fund (AECF) to introduce an innovative local sourcing model for cassava, which will provide the ingredients from which beer will be brewed. SABMiller is partnering with leading NGO, FARM-Africa, to implement the initiative, which will bring direct and significant long-term market opportunities for around 2,000 smallholder farmers with dependants and other employment effects ensuring approximately 15,600 people could benefit in three years.
The Juba brewery will continue to provide increased carbonated soft drink (CSD) capacity of 320,000 hectolitres (from initial capacity of 60,000hl), in response to the initial popularity of SSBL's Club Minerals Sparkling Soft Drinks range and Source Pure Drinking Water.
Notes to editors
SABMiller plc is one of the world's largest brewers with brewing interests and distribution agreements across six continents. The group's wide portfolio of brands includes premium international beers such as Pilsner Urquell, Peroni Nastro Azzurro, Miller Genuine Draft and Grolsch, as well as leading local brands such as Aguila, Castle, Miller Lite, Snow and Tyskie. SABMiller is also one of the world's largest bottlers of Coca-Cola products.
In the year ended 31 March 2010, the group reported US$3,803 million adjusted pre-tax profit and group revenue of US$26,350 million. SABMiller plc is listed on the London and Johannesburg stock exchanges.
High resolution images and broadcast footage are available for the media to view and download free of charge from the News and media centre on www.sabmiller.com
12 Apr. 2011