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.
Vietnam. Government to review appointment of Sabeco Deputy CEO
The Deputy PM asked MoIT to inform VAFI of the results of its review and then report to the Office of the Government before July 30.
VAFI Deputy Chairman Nguyen Hoang Hai told VET that the direction from the Deputy PM would accelerate the investigation and its results would come soon.
“We reaffirm that our allegations are correct and convincing,” he added.
He also told VET that on June 21 the association sent documents to MoIT and the State Securities Commission asserting that Mr. Vu Quang Hai, the son of the former Minister of Industry and Trade Vu Huy Hoang, was not eligible to take on the position of Deputy CEO of Sabeco.
The documents also indicated that Mr. Vo Thanh Ha, who is now Chairman and CEO of Sabeco and the representative of State capital in the beverage maker, is also not eligible to be a Board Member.
Chairwoman of the National Assembly’s Judicial Affairs Committee Le Thi Nga said that negative public opinion has increased regarding certain officials in some ministries.
“It is not difficult to determine whether they are eligible to take up positions,” she said on July 11, adding that the government should coordinate with the Central Committee’s Inspection Commission to clarify the matter.
As VET reported on June 14, VAFI called for the dismissal of Mr. Hai as Deputy CEO of Sabeco due to his inexperience and the “illegality” of his appointment.
It said that the appointment was contrary to current State regulations and asked MoIT to look into the issue.
Regarding the equitization of MoIT enterprises, VAFI believes there are problems in the Hanoi Alcohol and Beverage Corporation (Habeco) and Sabeco being equitized nearly eight years ago but not yet moving under the management of the State Capital Investment Corporation (SCIC), as requested several times.
Responding to VAFI, Minister of Industry and Trade Tran Tuan Anh directed relevant agencies in mid-June to review the appointment of Mr. Hai as Deputy CEO of Sabeco.
Sabeco has charter capital of VND6.4 trillion ($288 million), with State capital accounting for 89.59 per cent.
Mr. Ha, who was appointed as the representative of State capital in Sabeco, has been Chairman and CEO since January 1 this year.
According to Sabeco’s business report, in the first four months of this year beer consumption reached 517 million liters, an increase of 17 per cent over the same period of 2015.
Its pre-tax profit was estimated at VND1.25 trillion ($56.2 million), down 27 per cent year-on-year.
12 Jul. 2016