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. ...
What, exactly, is a standard drink? Researchers highlight variations in alcohol consumption guidelines
The World Health Organization defines a standard drink as 10g of pure ethanol, and both men and women are advised not to exceed two drinks a day.
Yet the definition of a ‘standard’ drink differs substantially between nations – ranging from 8g to 20g, according to a study published in the journal Addiction.
Those working with drinking guidelines across national boundaries should be sensitive to substantial variations in ‘standard’ drink definitions and low-risk drinking guidelines, advise researchers.
A not-so-standard drink
The study looked at a pool of 75 countries that could be expected to have a definition of a ‘standard’ drink and low-risk drinking guidelines. Only 37 countries (less than 50%) provided a definition that was either publicly available or communicated to the researchers.
The size of a ‘standard’ drink varies by 250%, from 8g pure ethanol in Iceland and the UK, to 20g for a drink in Austria.
An 8g drink is equivalent to 250 ml / 8.45 US fluid ounces of 4% beer, 76 ml / 2.57 oz of 13% wine, or 25 ml / 0.85 oz of 40% spirits.
“Although the WHO suggested that a standard drink size of 10g of pure ethanol is clearly the modal definition in use around the world, only half of countries use it specifically or present a ranged definition that includes it,” wrote the researchers in the study.
Those countries that do use a 10g pure ethanol definition include Australia, New Zealand, China, France, Germany, India, and Singapore.
Government standard drink definitions, in grams of pure ethanol
Meanwhile, some countries define a drink more precisely than others: in Luxembourg a standard drink is 12.8g, whereas in Switzerland the standard is more loosely defined as 10-12g.
There are other variations in national guidelines.
“Almost all countries with standard drink definitions (and, indeed, some without any, such as Belize, Trinidad and Tobago) recommend abstinence from alcohol during pregnancy and/or during breastfeeding,” the researchers explain.
“Some countries specify a higher drink limit for ‘special occasions’ (e.g. Australia, Canada, Denmark, Fiji, France, Mexico, New Zealand, Poland and the UK) and many guidelines recommend abstinence from alcohol for 1–3 days per week; examples include Canada, Chile, Estonia, Germany and New Zealand”.
And even set guidelines for a standard drink need to be considered in context, say the researchers.
“The data from several countries merit elaboration. Austria has a domestic standard drink size of 20g, but the health ministry's educational materials also present parallel low-risk drinking guidelines assuming a smaller drink definition that is more similar to that in other countries (8g),” continues the study.
“South Africa's government disseminates recommendations on the number of glasses of beer and wine per day, but does not provide standard measures of these drinks.
“Malta and Malaysia define a standard drink but do not have specific low-risk consumption guidelines, whereas Japan has low-risk consumption guidelines in grams of pure ethanol but does not define a standard drink.
“The US government, rather confusingly, has guidelines for low-risk drinking, yet also has a separate, lower guideline for ‘moderate drinking’ (up to 14 g a day for women and 28 g a day for men).”
In Australia, Grenada, Portugal and South Africa, low-risk drinking guidelines are the same for men and women.
So why is the differentiation between standard drink sizes significant?
To start with, public health researchers and anyone working with drinking guidelines across country borders need to appreciate they may not be comparing like with like.
“Caution should be exercised when attempting to translate alcohol findings across national borders – for example, when reading a study of ‘low-risk drinking’ published in a country other than one's own,” advise the researchers.
“Although the 10g of pure ethanol per standard drink definition is prevalent, assuming its universality would be an error as often as it would be correct.”
The researchers also hope that, by compiling the definitions across the world, they can inspire more evaluation into whether such guidelines benefit public health and, if so, what strategies would increase the number of nations that develop and disseminate them.
“Drinking guidelines are not set in stone, and what is summarized in our study should be considered within the context of the data collection period, the summer of 2015.
“In January 2016, the UK Department of Health proposed new drinking guidelines that replace a daily consumption guideline with a weekly recommended limit of 112 g of ethanol for both males and females.
“The newly proposed guidelines, upon which the government is now taking consultation, represents a significant change and other nations, of course, may also alter their guidelines some day in response to different scientific and policy forces.
“We therefore intend to update this report in the future and would be grateful to international colleagues who inform us of developments in their countries regarding standard drink definitions and drinking guidelines.”
15 Апр. 2016