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.
China. Barley cost crimps Tsingtao Brewery profit growth
* Price of barley has risen more than a third this year
Tsingtao Brewery , China's second-largest brewer by volume, posted slower profit growth in the first half of 2011 as soaring barley prices hit margins.
Tsingtao, of which Japan's Asahi Breweries Ltd holds some 19 percent, said net profit rose 22 percent to 989.9 million yuan ($155 million) in the six months ended June, from 813 million a year ago. Net profit rose 30 percent in the first half of 2010.
The market had expected Tsingtao to post net profit of 994.2 million yuan for the first half, according to an average forecast of six analysts.
The price of barley, a basic ingredient for brewing beer, has risen by more than a third this year.
In the first quarter, Tsingtao raised the price of some products by about 5 percent, driving up sales and earnings as distributors stocked up ahead of the increase.
Rising per-capita income has driven up beer consumption in the world's most populous country.
Tsingtao Brewery's Hong Kong-listed shares have gained 20 percent this year, against a 15 percent drop in the Hang Seng Index .
Tsingtao competes in China with CR Snow, a joint venture between China Resources Enterprise Ltd and SAB Miller Plc . China Resources Enterprises' shares have gained 2 percent this year.
It also competes with Heineken NV , Carlsberg AS (CARLb.CO) and Kingway Brewery Holdings Ltd in the world's biggest beer market.
Prior to the first-half earnings, of 22 analysts tracked by Thomson Reuters, eight rated Tsingtao as a "buy" or "strong buy", seven had a "hold" recommendation, four rated it as an "underperform" and three called the company a "sell".
One of China's oldest beer makers, Tsingtao was founded in 1903 by German and British merchants under the name Nordic Brewery Co Ltd Tsingtao Branch.
($1 = 6.389 Chinese Yuan)
13 Aug. 2011