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. ...
Vietnam Brewery becomes Heineken Vietnam Brewery
There are no changes to the shareholding structure between the two stakeholders in the joint venture. The Saigon Trading Group (Satra) continues to hold 40 per cent while Heineken Asia Pacific partner still holds 60 per cent.
“The new image of Heineken Vietnam Brewery will be introduced in the Asia Pacific region and no changes will be made to management and organizational structure,” said Ms. Le Minh Trang, Chairman of Heineken Vietnam Brewery and General Director of Satra.
The company will preserve its business and production models as well as the property rights on its all brands, which include Heineken, Tiger, Larue, BGI, Bivina, Desperados, Affligem and Strongbow Cider.
According to Mr. Leo Evers, Managing Director of Heineken Vietnam Brewery, products under the old brand name will continue to be distributed and their quality will remain unchanged.
With annual profit averaging around $186 million and State budget contributions $573 million, many have asked whether Heineken has its eyes on Satra’s shareholding in the joint venture, with its first step being to change the brewery’s name.
In 2012 Heineken spent $6.3 billion on purchasing Fraser and Neave’s 40 per cent holding in Asia Pacific Breweries - the maker of Tiger beer and also one of the largest brewers in Southeast Asia. According to Euromonitor figures, more than 80 per cent of Vietnam’s beer market is held by Sabeco, Heineken and Habeco.
The company now ranks second in the domestic market with output of 729 million liters in 2015, following the Saigon Beer Alcohol Beverage Corporation (Sabeco) with 1.38 billion liters, according to figures released by the Vietnam Beer Alcohol Beverage Association (VBA).
Heineken Vietnam Brewery surpassed the Hanoi Beer Alcohol and Beverage Corporation (Habeco) last year to take second spot.
Heineken Vietnam Brewery has four breweries in Vietnam, in Ho Chi Minh City, Da Nang, and Quang Nam and Tien Giang provinces.
Heneiken Asia Pacific also operates in northern Vietnam through the wholly-owned Asia Pacific Brewery Hanoi Limited Company (APB).
Heineken, the world’s third largest brewer, has recently announced Vietnam to be among its three Asian markets with potential for outstanding growth, joining Cambodia and Indonesia.
Vietnam’s beer market saw output of 1,323.7 million liters in the first five months of 2016, a year-on-year increase of 5.7 per cent. Production in May reached nearly 309 million liters, an increase of 1.9 per cent compared to May last year.
Sabeco had achieved its production 505.5 million liters this year by the end of May and Habeco’s had reached 225.7 million liters.
5 Авг. 2016