The beer market dynamics in Russia is approaching zero, yet major brewers are divided into those who developed considerably in 2017 and those who considerably reduced their volumes. For instance, company Efes has managed to substantially extend their sales due to restrained pricing policy and activity in the modern trade. Heineken has also demonstrated an excellent performance promoted by significant increase of advertisement budgets launching a non-alcohol sort of the title brand and unusual activity in the economy market segment. Carlsberg and AB InBev have been focusing on margins and lost a market share of their inexpensive brands. Serious dependence on PET package and mass enthusiasm about Zhigulevskoe have negatively impacted the most of big regional brewers, that have been for the first time pressed by the leaders in the key sales channels, especially in Volga and Central regions. In the small business there has been a noticeable slowdown in appearing of new restaurant breweries, yet the number of craft breweries has been growing rapidly. In 2018, the beer market is likely to grow a little, while the share of AB InBev Efes may decrease due to the integration. ...
“Catalogue of Russian Beer Producers 2018” includes 1070 businesses ranging from large subsidiaries of international companies to rather small restaurant and craft microbreweries.The catalogue includes 32 large breweries, 75 regional breweries, 693 industrial mini- and microbreweries as well as 270 restaurant breweries. ...
Global hop marketA local alternative to mass beer suggested by independent brewers has been successful and is now altering the global market. Beer is becoming more diversified, so transnational companies have to accept the new game rules and to switch focus to young and fast growing markets. All these processes increased the demand for aroma and bitter hop as well as their acreage expansion on two continents. However now there appeared a downward trend of alcohol consumption in the world, so even special sorts can soon turn to be sufficient. In this connection the dynamic American hop market is already facing some problems. EU hop producers have become more cautious, they are not racing to exceed the demand and look forward with more confidence, judging by the contract terms.
Hop Market in RussiaGermany still dominates the Russian market, yet over the recent two years one has been able observe a continuous success of Czech hop suppliers. Their expansion and growing popularity of hops from the United States became the drivers of supplies growth in 2016 despite the preceding modest harvest crop in the EU, as well as the factor of relative stability in 2017. In this connection, in 2017, the ratio of the varieties continued to shift towards the aroma ones, and the supplies of Magnum hop and other alpha varieties were reduced. However, the import of bitter hop pellets is partially replaced by extracts, especially from the major beer manufacturers. Total volumes of alpha acid supplies, according to our estimation, decreased by approximately 5% and returned to the level of 2015. Barth Haas Group continues dominating the hop products market; HVG also increased its weight. At the same time, Morris Hanbury significantly reduced the supplies in 2017.
Anheuser-Busch InBev NV Announces Corporate Bond Market Prices $9.25 Billion
The beer maker sold $4 billion worth of bonds in a four-pack featuring three-, five-, 10-, and 30-year maturities. The deal formed the bulk of a $9.25 billion session for high-grade debt sales Monday, indicating broad support for new deals even after $42 billion worth was priced last week in the second-busiest week on record, per Dealogic.
Syndicate desks arranging new deals are expecting more than $20 billion to price this week.
The Inbev bonds ranged in yield from 0.802% to 4.028%, reflecting narrow risk premiums to Treasurys of between 0.43 percentage point and 1.0 percentage points.
The single-A-range-rated jumbo deal is one of the largest this month, and InBev is no stranger to big offerings. It sold $7.5 billion in July to finance its acquisition of Mexican brewer Grupo Modelo.
Investors have been eager to purchase high-grade bonds this month to capture higher yields than Treasurys but maintain a high degree of safety. Higher rates provide better protection against the threat of rising interest rates.
USAA Investments says it has cut back on equities and bulked up on high-grade bonds in anticipation of market turbulence as politicians fight over U.S. borrowing limits.
"We hold a higher-than-normal allocation in fixed-income securities-primarily in corporate bonds-as a defensive position as we move through the debates in Washington," the firm said in a note Monday.
Monday's bonds were placed despite an index of bond-buyer confidence waning 2.6%, according to Markit.
National Australia Bank Limited (NAB.AU) saw so much demand for its two-part offering of double-A rated bonds that it added a third tranche of two-year floating-rate notes. The three-part deal totaled $2.5 billion, with three- and 10-year notes yielding 0.97% and 3.022%.
Among other deals, Penske Truck Leasing Co. borrowed $1 billion in five- and 10-year bonds, yielding 2.918% and 4.357%, respectively.
15 Jan. 2013