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.
Philippines. Court of Tax Appeals decides to return erroneously collected excise tax to San Miguel Brewery
In an 18-page order, the tax court en banc upheld the previous decision of the Third Division that San Miguel Light should not be subject to higher excise tax rate because it was a new product.
Contrary to BIR’s revised classification, the court said SML was not a variant of the old San Miguel Pale Pilsen that would subject it to a higher tax bracket.
San Miguel Brewery paid the tax in protest in 2010 to be able to withdraw from warehouses and distribute the product.
The tax court said San Miguel Light was different from San Miguel Pale Pilsen since it was labeled by the manufacturer as a new fermented liquor.
According to the CTA, the size, shape, and color of the two products were different.
It said San Miguel Light was introduced in the market between January 1997 to December 2003, the BIR classified it then as a new brand.
Pursuant to Section 143 of the Tax Code, the court said the classification by the BIR could not be revised except by legislation, hence its lower tax schedule cannot be unilaterally prescribed by the BIR.
23 Dec. 2015