SABMiller eyes Kenya’s premium beer segment with Miller Genuine Draft

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SABMiller will introduce its third beer, Miller Genuine Draft, in Kenya on 8 December, aiming at the premium segment of the local beer market which is currently catered to by rival beer brands Heineken and Tusker Malt.

By making this move, the British brewing giant SABMiller is kicking off a new beer war with its competitors, Diageo’s East Africa Breweries Limited (EABL) and Dutch brewer Heineken.

Brewed by Tanzania Breweries, Miller Genuine Draft is owned by US-based MillerCoors, in which SABMiller owns 58% stake.

The British brewer has been distributing two brands, Redds and Castle Lager, which are sourced from Tanzania through its subsidiary Crown Beverages, Business Daily Africa reported.

EABL recently launched new brands such as Tusker Lite and Pilsner Ice in Kenya. Furthermore. Heineken has opened its regional headquarters in Nairobi to drive growth of its brands.

Diageo’s subsidiary EABL has terminated its partnership with SABMiller in regard to Tanzania Breweries and purchased a majority stake in rival Serengeti Breweries last year.

The global brewing giants are looking for a stronger base in emerging markets where beers sales are still are on rise.