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3-2019

Russia: Positions of Brewing Companies

The 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 brands

In 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 2019

During 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.

India. ED seeks to recall exemption from personal appearance granted to Vijay Mallya

The Enforcement Directorate (ED) on Wednesday urged a Delhi court to recall its earlier order granting permanent exemption from personal appearance to United Breweries Group chairman Vijay Mallya in a case for allegedly evading summons issued by the ED in connection with purported violation of foreign exchange rules.

Chief metropolitan magistrate Sumit Dass, who was hearing final arguments in the case, was told by the ED’s prosecutor N.K. Matta that he would file an appropriate application in this regard within a week.

The court posted the matter for further hearing on 20 May.

During the hearing, Matta argued that the court should recall its December 2000 order by which Mallya was granted permanent exemption from personal appearance as a Prevention of Money Laundering Act court in Mumbai recently issued an open-ended warrant against Mallya, in connection with an alleged money laundering case.

He said the exemption order was passed by the court and the present status is that Mallya has gone abroad and in such situation, he will file an application seeking cancellation of exemption granted to Mallya.

Senior advocate Ramesh Gupta, who appeared for Mallya, said his client was earlier granted exemption from personal appearance on 20 December 2000 and he be exempted for Wednesday.

In the present case, the ED alleged that Mallya violated the provisions of the Foreign Exchange Regulation Act (FERA) in arranging funds to advertise his company’s liquor products abroad.

The ED claimed that Mallya was summoned on four occasions for questioning in connection with a contract signed in December 1995 with London-based firm Benetton Formula Ltd for promotion of the Kingfisher brand abroad.

When Mallya failed to appear before the ED in response to the summons, a complaint was filed on 8 March 2000 before a court and later on, a charge was framed against him under section 56 of FERA.

According to the ED, Mallya allegedly paid $200,000 to the British firm for displaying the Kingfisher logo in Formula One World Championships in London and some European countries in 1996, 1997 and 1998.

The agency claimed that the money was allegedly paid without prior approval from the Reserve Bank of India in violation of FERA norms.

28 Апр. 2016

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