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. ...
“Filling matters” at BrauBeviale: GEA VIPOLL filling expertise makes GEA a full-range supplier of brewing technology
With the motto ‘Filling matters’ GEA will demonstrate at BrauBeviale 2018 that filling is a key pillar of the beverage industry (Hall 7, Booth 602, November 13–15, 2018, Nuremberg, Germany). The focus of this year’s trade fair presence is the newly acquired subsidiary, GEA VIPOLL from Slovenia, which develops and produces filling technologies for hot and cold fill drinks. Together, GEA and GEA VIPOLL will present their highly flexible, multifunctional beverage lines which provide added value to their 360° approach for the brewing industry.
ALL IN ONE: Flexible rinsing, filling, seaming and capping with one filler
Filling experts will be onsite to demonstrate the ALL IN ONE monoblock filler, which can switch between bottle, cans and PET filling. After the trade fair, the exhibit will be sent to Norway: The client is the traditional brewery Mack, which will be filling their products such as beer, cider, carbonated soft drinks on the 8,000 bph line.
“The ALL IN ONE multifunction system is one of a kind because it offers unprecedented degrees of freedom: It fills glass, PET and cans. It can handle a wide variety of forms and can accommodate various lid shapes for non-carbonated and carbonated beverages with hot and cold filling techniques, says Stanko Zver, co-founder and one of the managing directors of GEA VIPOLL. “Clients (e.g. from the craft beer sector) are looking for space-saving, flexible and sustainable solutions that pay off for medium speeds and capacities.”
Joint sales network: ALL IN ONE travels around the world
Since the acquisition, GEA VIPOLL has recorded numerous project successes: During 2018, it supplied customers in Croatia and Sweden with its ALL IN ONE rinser/filler/capper block. GEA VIPOLL is currently building an ALL IN ONE filler for beer, soft drinks and water for craft brewer East Coast Brewing from South Africa, which placed a follow-up order after the installation of a GEA CRAFTSTAR™ brew house. In October 2018, GEA VIPOLL will also deliver the first multifunctional filler to partner Foodmach in Australia. In the coming months, the plant will be commissioned at the site of Lion, one of the largest food and beverage producers on the Australian continent.
We are delighted with the productive cooperation between the project engineers and sales staff of GEA and VIPOLL.
"With the first orders for the ALL IN ONE in South Africa and Australia, we have achieved exactly the effect we wanted for the beverage – and in particular, the brewery – business. We can now successfully enter new market segments,” said Paddy Kenna, Head of Application Centre Beverage at GEA, upon signing the contracts.
Bottling expertise complements brewery business
Via the acquisition of the Slovenian mechanical engineering company VIPOLL d.o.o. in January 2018, GEA has strengthened its market position as a full-range supplier to the beverage industry. GEA can now also fill beverages in glass and PET bottles as well as cans that do not require sterile processing. This segment now complements aseptic filling, in which GEA is already the innovation leader for blow molding and filling processes, especially for PET and HDPE bottles.
“Last year at drinktec, we presented the ‘Brewery 4.0’ concept. This includes continuous production and the late-differentiation approach. Our technologies are now being enhanced by highly flexible, multifunctional filling lines from GEA VIPOLL, which meet the demand for complete solutions,” adds Kenna.
“Flexibility is our strength”
GEA VIPOLL strives to be a machine and process integrator for its customers. Managing Director Gunnar Hepp, who joined GEA VIPOLL from GEA’s brewing division at the beginning of the year, emphasizes: “Our focus is on continuity. Flexibility and client proximity are our strengths. We will continue to cultivate this so that we can help shape the innovative dynamics of the market. We are one of the agile, spearheads of GEA, at the leading technology company, whose sales network and expertise in the food and beverage industry provides our business with additional impetus.”
Find out more at our BrauBeviale press event on Wednesday, November 14, 2018, at 10:30 am on our booth 602 in hall 7.
24 Сен. 2018