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. ...
The global outlooks of the legal market of cannabis are excellent. It is possible to simultaneously imagine dry law repeal and craft brewing boom but not in one but in several consumer categories. For alcohol is contained in liquids and cannabis derivatives can be in three physical forms.The value of legal market of cannabis and its products can reach 10% of the world beer market in five years, and in 2030-2040 even reach the same scope provided the current rates of legalization and development of market infrastructure remain at the same level. Cannabinoids are actively integrating into the food industry from chewing gum to beverages deforming the pharmaceutical and alcohol markets, they influence the trends of healthy lifestyle and beauty. ...
AB-InBev on Shortlist for China Brewery Deal
The deal value could be as high as $700 million and the short-listed bidders are expected to conduct due-diligence over the next two months, one of the sources said.
China Resources Enterprise Ltd, which owns Snow beer brand, and Beijing Yanjing Brewery Co Ltd are among the other companies that have advanced to the next round, the sources said.
Foreign and Chinese brewers are jostling to grow their market share in China, the world's biggest beer market, and Kingway's planned sale is one of the few sizeable brewery assets that has come up for sale in recent times.
The eventual winner can benefit from strong growth in China's beer consumption. China's beer demand hit 450 million hectoliters in 2010, nearly twice that of the United States, and is expected to grow 5% per year in coming years, double the 2.5% growth forecast for the global market for 2011.
Kingway, with a market value of about $655 million, has said it does not plan to sell an equity stake in the company. The stock was trading up 2.0% on Friday afternoon, outperforming the 1% gain of the broader market .HSI.
The stock is up about 38% so far this year on expectations of strong bidding.
Kingway Brewery has invited bids for equity stakes in six breweries, all beer and beer-related trade marks, domestic and overseas distribution networks, the sources said. The company plans to retain two of its production facilities, one of the sources said.
Anheuser-Busch and China Resources declined comment, while Kingway and Yanjing officials were not immediately available for comment. The sources declined to be identified as the discussions were private.
AB-InBev was the third-biggest brewer in China with a market share of 11.4% in volume terms as of 2010, according to data compiler Euromonitor. Its main breweries are in Fujian Sedrin in southeast China, and Harbin in the northeast.
China's largest brewer China Resources Snow is a joint venture between China Resources and SABMiller Plc.
SABMiller has said that any deal in China would be through its CR Snow joint venture, in which it own 49 pct with the rest owned by China Resources Enterprise.
AB-Inbev has always stressed it looks to control its own operations in China and analysts say a deal with Kingway would complement its footprint in China.
In April last year, GDH Ltd, a unit of state-backed Guangdong Holdings Ltd, had exercised the right to buy the 21.37% stake in Kingway held by a Heineken NV joint venture in China, blocking a bid from China Resources.
GDH paid 1.08 billion yuan ($164.94 million) for the stake, increasing its holding to 73.82%.
Kingway was previously jointly controlled by Asia Pacific Breweries Ltd, a unit of Singapore food and property conglomerate Fraser and Neave Ltd, and the world's third-largest brewer Heineken.
Read more: http://www.foxbusiness.com/industries/2012/03/02/ab-inbev-on-shortlist-for-china-brewery-deal/?#ixzz1oSMMxSHz
7 Мар. 2012