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.
India. Tamil Nadu bars in all Tasmac outlets closed
When the validity of the existing licence was about to expire, the Tasmac floated tenders to enable the bar licensees to bid for the same for getting it renewed for the second time. Tenders floated in November and December 2015 and January 2016 had no takers. Bar owners abstained for even picking up the application for getting the licence renewed.
Bar owners pay a licence fee ranging from Rs 1.5 lakh to Rs. 4 lakh per month depending on the area and the projected sale volume. In addition, licence fee for two months is paid as deposit. According to Mr. Azhagu, president of Coimbatore District Bar Owners Association, this time they wanted a fresh tender to be floated and were ready to bid for it afresh. Meanwhile, they wanted the authorities to deduct the deposit amount for two months i.e., the intervening period between the expiry of licence and renewal of licence including the time taken for bidding for tenders and finalisation of the same and issue of fresh licences. They alleged that whenever licence changes hands, getting back the deposits took anywhere between two to four years.
Tasmac officials say that the deposit amount rests with the State Government and is never at the dispensation of authorities at the local level. Bar owners should have made a representation to the Tasmac higher officials in Chennai and only on orders from them, deduction could be done. However, the bar owners never made any concrete move for the same, but kept pressing for it orally and that too with the officials at the district and zonal level. This particular demand and deadlock over renewal of licence is unique to Coimbatore and no other district had witnessed the same.
However, with the deadlock having remained unresolved, officials commenced a drive to lock and seal all the bars as the validity of the existing licence had expired and continuance of bars beyond the date would amount to violation of licensing conditions. The district has 126 Tasmac outlets in Coimbatore North and 104 in South. Of the 230, closer to 196 had bars. Now, almost all the 196 bars had been locked and sealed.
While closure of outlets resulted in tipplers starting to consume liquor in public places creating nuisance, which in itself is an offence under Tamil Nadu Prohibition Act, bar owners said that they had paid rent for the premises and bar attendants (servers) had to be paid salaries without any work. Mr. Azhagu said that with outlets not having a bar, the Tasmac sale was dipping every day causing a loss to the State exchequer.
Countering this argument, officials say that elite Tasmac outlets in high-end areas and malls (without bars) have a very good patronage which is consistently on the rise. In the last-days after the closure of bars, there has not been any significant dip in sale volumes.
When contacted, District Collector Archana Patnaik said that officials were in talks with the bar owners and a fresh date had been fixed for floating of tenders again for the fourth time on February 25. Ms. Patnaik said that by then the issue would be resolved.
8 Feb. 2016