Dmitry Nekrasov’s Philosophy — on the Past, Present and Future of Ukrainian Brewing IndustryA meeting with Dmitry Nekrasov always turns into a training course: “Introduction to brewing business“. We are talking to a clever “playing trainer“ a person that can be called a godfather of the Ukrainian craft. He has a dozen of successful projects to his name. Dmitry told us about craft beer in Ukraine, on market cycles, on specifity of operating in retail and HoReCa, on union of Ukrainian brewers and certainly, how a brewery of his own, First Dnipro Brewery is doing.
The market of import beer in Russia: review and databasesThe market of import beer is rapidly growing and changing. But while in the past years it was growing due to brands variety, in 2019 major and affordable brands from TOP-10 were developing actively. It seems that the fact of a brand origin from far abroad counties, even if it is not well known but has moderate price and good distribution provides for million liters of sales in the territory of Russia. Among distributors AB InBev Efes was far behind, yet the role of Baltika and suppliers of the second row got more important. The boom of German brands was followed by stagnation of import from other traditional regions (and Belarus) instead the supplies from Mexico, Lithuania and Asian countries grew considerably.
Russia: Positions of Brewing CompaniesThe review contains an analysis of interim performance of brewers in the first half of 2019. There are rather dynamic changes behind a modest industry growth. Baltika is again experiencing a stage of volumes and market share slid due to competition with AB InBev Efes. Because of the price competition and presence expansion in the modern trade company #2. has come close to the leading position. At the same time sales of Heineken Russia have continued growing which makes the premium part of the portfolio heavier. The market premiumization trend had been also confirmed by import brands. MBC and Zavod Trekhsosenskiy have been the most successful among federal market players. The market share of independent regional brewers and Ochakovo have continued falling as they are being squeezed out by the market leaders at their competitive fields.
Ukrainian beer market 2019: companies and brandsIn 2019 beer production and market have been still fluctuating about zero point. However, the past season was successful for brewers judging by the sales profitability. The price mix has improved due to rapid general market premiumization, as well as its particular aspect, the growth of import beer sales. By the season end AB InBev Efes improved its positions considerably. It turned out that consumers had not forgot Efes brands that had to leave the market, but started to recover rapidly. Against the stagnating market that meant sales decline of other companies, in the first place Carlsberg Group that most of all beneficiated from Efes exiting the market. PPB turned out to be stable to branding activity of its competitor and Obolon kept the same volumes and at the moment it is the absolute leader of the economy segment. The share growth of independent producers took place thanks to leading craft breweries, that so far do not have a big market weight, but they are rapidly gaining it.
Brewing industry in Kazakhstan 2019During the first half of 2019, the majority of Kazakh brewers made their contribution into positive dynamics. Yet it was companies of the lower division, not the two transnational leaders that raised their production and sales. The shares of draft beer and aluminum can which is rapidly squeezing glass bottle out of the market, have been growing. The price segmentation has remained stable despite the substantial rise of retail prices and fluctuations of brand market shares, while the borders between segments have become blurred. The main events in the industry have been: the announced revision of the beer excise policy, launch of BeerKhan brand in the strong beer segment, and most important – purchasing assets of Shymkentbeer by Arasan.
The trend of complication of Russian beer market is going on and in several directions at the same time. The range has got wider, the import and small segments are growing, namely craft beer, alcohol-free beer and special flavor beer. At the same time, all ex-mega brands and light lagers by Russian brewers are experiencing a decline of their shares. AB InBev Efes, Heineken, MBC and Pivzavod Trekhsosenskiy have exceeded the market, Carlsberg was developing slower than the market and Ochakovo as well as some other mid-sized breweries have been cutting down their volumes. To a big extent brewers’ performance was connected to their ability to reach agreement with networks, sacrifice their margin and enter new markets. Craft brewers are facing a serious danger of producers’ registration introduction – de facto licensing. ...
Lawmakers seek veto of provision affecting craft brewers
“Wisconsin is known for its breweries and allowing small craft brewers to own their own taverns will highlight their product,” said state Sen. Glenn Grothman (R-West Bend). “This is the type of provision that should have been dealt with in a separate bill. It was complicated and the thriving craft brew industry did not participate in drafting this provision.”
Supporters of the provision, which include MillerCoors MillerCoors
Follow this company LLC, claim the legislation is needed to stop St. Louis-based Budweiser and Bud Light brewer Anheuser-Busch Cos. Anheuser-Busch Cos.
Follow this company from buying wholesale distributors in Wisconsin. The vote sends a strong message to the nation’s dominant brewer, which has been pursuing a national agenda to develop so-called brewery branches throughout the country, backers of the provision said.
Chicago-based MillerCoors operates a major brewery and administrative offices on Milwaukee’s west side and is Anheuser-Busch’s main rival in the U.S. market.
However, many of the state’s craft brewers have voiced opposition to the measure, claiming that the current system has helped foster their growth.
The provision “sends the wrong message to nascent businesses” and restricts possible avenues of growth, said state Sen. Pam Galloway (R-Wausau).
“It was particularly disturbing in that it came out of the blue with no time for craft brewers to respond,” Galloway said.
The Wisconsin Brewers Guild, which represents craft brewers, is against the legislation. The guild opposes a long line of supporters that include the Wisconsin Beer Distributors Association Wisconsin Beer Distributors Association
Follow this company , the Tavern League of Wisconsin Tavern League of Wisconsin
Follow this company , the Wisconsin Grocers Association Wisconsin Grocers Association
Follow this company , the Wisconsin Petroleum Marketers & Convenience Stores Association, the Wisconsin Wine & Spirits Institute and MillerCoors.
The provision combines the brewer’s permit and wholesale and retail licenses into a single permit under state — not municipal — control that effectively bans brewers from having ownership stakes in wholesale distributors. Under the current law, brewers must obtain three separate licenses — a brewer’s permit, a wholesaler’s license and retail license.
The legislation prohibits wholesale distributors from investing in a brewery, but grandfathers in any existing deals. Breweries that produce fewer than 300,000 barrels of beer each year could sell their own product without a distributor.
Elected officials “were not given adequate information before we were forced to vote on this provision,” said state Sen. Robert Jauch (D-Poplar), a member of the Legislature’s Joint Finance Committee.
Small businesses, including craft brewers, are leading Wisconsin’s economic recovery, said state Rep. Evan Wynn (R-Whitewater).
“Wisconsin should be moving in a business-friendly direction and not legislating more needless government regulation,” Wynn said.
The state has “no business punishing these small entrepreneurs,” the group of seven legislators stated in a letter to Walker.
The budget provision will force brewers to change their business models and “hurt their chances of survival,” they said.
Walker's office said the governor will consider the veto request, but did not take an immediate stance.
“We’ll evaluate that provision and make any veto-related announcements once the decisions have been finalized,” Walker spokesman Cullen Werwie said.
23 Июн. 2011