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.
US. Wisconsin Gov. Walker doesn’t veto beer provision
The budget signed June 26 by Walker contains a proposal that combines the brewer’s permit and wholesale and retail licenses into a single permit under state — not municipal — control that effectively bans brewers from having ownership stakes in wholesale distributors. Under the current law, brewers must obtain three separate licenses — a brewer’s permit, a wholesaler’s license and retail license.
The legislation prohibits wholesale distributors from investing in a brewery, but grandfathers in any existing deals. Breweries that produce fewer than 300,000 barrels of beer each year can sell their own product without a distributor.
Follow this company from buying wholesale distributors in Wisconsin. The vote sends a strong message to the nation’s dominant brewer, which has been pursuing a national agenda to develop so-called brewery branches throughout the country, backers of the provision said.
Chicago-based MillerCoors operates a major brewery and administrative offices on Milwaukee’s west side and is Anheuser-Busch’s main rival in the U.S. market.
However, many of the state’s craft brewers have voiced opposition to the measure, claiming that the current system has helped foster their growth.
In a letter to Walker, the president of the Wisconsin Brewer’s Guild, Jeff Hamilton, said that policy changes inserted into the state budget “seriously impair our existing and future small breweries from meeting our goals, and will likely cause the loss of jobs here in Wisconsin.”
Legislators were misled by proponents of theses changes who assured them that small brewers would be unaffected by or exempt from these changes and that such legislation is needed to ward off a threat from Anheuser-Busch, he said.
“These are simply not true. In fact, small brewers were the only segment of the industry that were harmed by this policy change and are subject to radical changes in the way we do business,” wrote Hamilton, who is president of Sprecher Brewing Co. Sprecher Brewing Co.
“Several business models that have been available to us since we started our businesses, since the end of Prohibition for that matter, have been swiftly removed as options for business growth. All of these options are being used successfully in various parts of the nation, adding to the explosive craft brewing growth.”
A bipartisan group of more than 20 lawmakers urged Walker to veto the proposal over concerns about the impact on the state’s more than 60 craft brewers.
MillerCoors didn’t return a call seeking comment.
28 Jun. 2011