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. ...
US. Ale Asylum plans new $6.75 million brewery near airport
The company, currently located in a 10,000-square-foot building at 3698 Kinsman Blvd., is working with a developer to construct a $6.75 million, 46,000-square-foot brewery, tap room and restaurant at 2102 Pankratz St. on the North Side.
"This new location is just ideal," said Otto Dilba, one of the founders of the brewery, which primarily distributes in the Madison and Milwaukee areas. "With this move, we'll be able to make the jump and go statewide."
The building is planned for the corner of International Lane and Packers Avenue, one of the primary gateways to the nearby Dane County Regional Airport. The new location would provide the space typically found in an industrial park.
"This site has both of those. It's zoned for manufacturing, and it's a highly visible, highly exposed site," said John Schaefer, a DeForest developer and owner of CSI Construction Services, who is building the facility and leasing it to the brewery. "They've come a long ways in five years."
The brewery is owned by 23 investors with Dilba and brewmaster Dean Coffey serving as operating partners. The brewery has a 15-year lease with Schaefer and is financing $1.75 million in equipment through First Business Bank in Madison.
Ale Asylum opened in 2006 and began brewing 2,500 barrels a year. In 2010, the brewery made 7,200 barrels of beer compared to 5,500 in 2009 and is on track to reach 10,500 this year.
The new facility would allow for the production of 46,000 barrels a year and increase the number of employees from 22 to between 40 and 50 within the first two years. After establishing a statewide presence, the brewery plans for distribution in Chicago and Minneapolis.
"Obviously, we're really excited about the move," Dilba said.
The project is scheduled to go before the city's Urban Design Commission on Wednesday. If it is approved by the commission and ultimately the City Council, Schaefer said he would like to begin construction in November, which would allow brewing to begin by mid-summer.
The project has the support from more than a dozen business leaders, including Scott Heinig, chairman of the Northside Economic Development Coalition and executive director of the Northside Planning Council.
"The proposed facility presents an opportunity for incredible economic investment in north Madison and has the potential to serve as an economic catalyst for further investment in the future," Heinig wrote in a letter of support.
Eye to future expansions
The key in selecting a new location for Ale Asylum was the ability to grow, according to those working on the project.
The brewing company had seriously considered a 45,000-square-foot facility on the former Mautz Paint site on East Washington Avenue, but the location did not provide room for expansion.
That's why the brewery is teaming with Schaefer, who is leasing a 4.5-acre site from Dane County for the next 99 years for the construction of a 46,000-square-foot brewery.
The property is adjacent to a 4-acre site that eventually could increase the size of the brewery to 130,000 square-feet and allow production to surpass well beyond 100,000 barrels a year. That's more than 10 times the 10,500 barrels the brewery is scheduled to make this year.
"That was the key component," Dilba said of the extra land.
Matt Apter of Cresa Partners, a real estate company that helped Ale Asylum find a new location, said finding the right spot that allowed for exposure and growth was challenging.
"It was very difficult" Apter said. "They have some pretty great plans, so they needed that ability."
Many of the brewers in the area are brew pubs, but Ale Asylum — like New Glarus Brewing Co., Capital Brewery in Middleton and Lake Louie Brewing in Arena — is a production brewery focused on distribution.
Read more: http://host.madison.com/wsj/business/article_9fc127b0-eeb9-11e0-b8b7-001cc4c002e0.html#ixzz1ZtaLJRbV
5 Окт. 2011