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.
India. Inflow of cheap liquor from Goa, Andhra dispirits Karnataka
This reverse trend, coupled with the continued inflow of the low cost liquor from Goa, has dented the State Excise department’s revenue mobilisation to quite an extent.
Over the years, the department had gained a monopoly over sales of liquor in the districts bordering Andhra Pradesh, Tamil Nadu and Kerala. Karnataka’s sales boomed especially after Kerala started to implement prohibition of liquor sales in a phased manner.
However, not wanting to be left behind, Andhra Pradesh by introducing its new liquor policy, has heavily slashed taxes on Indian Made Liquor (IML) to boost its sales and revenue.
According to officials, it launched a cheap liquor brand ‘999 Powerstar Fine Whisky’, which is priced between Rs 42 and Rs 45 per 180 ml bottle. This is considerably cheaper than the brands like Raja Whisky and Haywards, which are sold at Rs 50, by Karnataka. As a result, the sales, which had peaked over the last few years in the bordering districts of Raichur, Ballari, Chitradurga, Tumakuru, Chikkaballapur and Kolar, have come down drastically.
Excise Commissioner S R Umashankar said that the department is also watchful of the Andhra Pradesh brand making its way into Karnataka.
“Until now, our liquor was the cheaper and we registered good sales in the bordering districts, which included consumers from the neighbouring State, as well. With the introduction of the 999 whisky brand, our revenue mobilisation has been dented marginally. Like the Goa and Maharashtra borders, which are porous, the same problem persists on the Andhra and Telangana borders, as well. In Dakshina Kannada we have increased vigilance to check the inflow of Goan liquor, and now we are doing the same on the Andhra-Karnataka border as well.” Between April and December 2015 alone, the department has seized close to 7,500 litres of liquor entering into the State from Goa.
“Goa border (Anmod and Majali) is our main problem. Owing to the low level of taxation, Goa liquor is available at much cheaper rates. Though we have set up two checkposts, liquor is illegally transported not only by boats and trains, but also through forests,” the commissioner said.
Popular Goan brands
Some of the popular brands that are illegally transported into the State are Honey Guide Brandy - Rs 21.60 (180 ml); Honey Grade Brandy - Rs 18; Reals Whisky (750 ml) - Rs 86; Life House Premium Blended Malt Whisky (750 ml) - Rs 90; Light Horse Premium Blended Malt Whisky (750 ml) - Rs 79; Goa Palm Fenny (750 ml) - Rs 90; Goa 77 Deluxe Cashew Fenny (750 ml) - Rs 100.
2 Feb. 2016