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. ...
Japan. Kirin Holdings to Take 20% Stake in Brooklyn Brewery
The investment will give Kirin a roughly 20% interest in Brooklyn Brewery, the U.S.’s 12th-largest craft brewer by volume, the people said.
With the investment, Kirin joins a host of Japanese companies that are using acquisitions to expand beyond traditional markets. Rival Asahi Group Holdings Ltd., on Tuesday closed a $3.5 billion acquisition of several former SABMiller brands, including Peroni and Grolsch.
Brooklyn Brewery, based in the borough’s neighborhood of Williamsburg, is one of the most established independent brewers in the U.S. It dates its history to the late 1980s, and growth has accelerated in recent years as the borough where it was born has gained prominence and cultural influence world-wide.
The brewery produced 277,000 barrels of beer last year, up from 169,000 barrels produced in 2010, according to industry tracker Beer Marketer’s Insights.
Financial terms of the Kirin investment weren’t immediately available.
Brooklyn Brewery is one of the few American craft brewers that has worked to build an international business. It has been shipping its beer to Japan since 2003 and has a sizable business in Scandinavia. In 2014, the brewery and Carlsberg A/S opened a joint venture brewery in Stockholm. It struck an agreement earlier this year for a similar partnership in Japan with Kirin.
Kirin’s investment in the growing U.S. craft beer market comes amid a prolonged downturn in Japanese beer sales. Shipments of beer and related brews fell to about 425 million cases in 2015, compared with a peak of 573 million cases in 1994, according to the Brewers Association of Japan.
The investment will help Brooklyn Brewery as it gears up for a major expansion. The company this year signed a 40-year lease for 75,000 square feet at Brooklyn’s Navy Yard where it plans to have offices, a beer garden and brewery operations. It also is planning an expansion site in Staten Island to increase beer production.
The U.S. craft beer market has slowed lately, decreasing to 8% growth in the first half of 2016 after six years of double-digit growth. Large craft brewers like Sierra Nevada and Boston Beer Co., which makes Samuel Adams Boston Lager, have seen volumes decline as more small breweries open across the country.
12 Окт. 2016