Since April 1993, the Carlsberg Brewery in Bang Ban, Thailand, has extended now to a capacity of 5 million hl/year of beer and 2 million hl/year of water (soda water and table water).
Beer consumption is growing strongly in India with real growth in volume estimated at 20% per annum and some forecasts expecting it to increase faster - at up to 30%. Yet consumption is still relatively low by international standards (at only 0.6 l per head per annum) - seemingly still offering huge potential. The rapid growth of the market is driven by a rising population - of whom around 50% are below the age of 35 - increasing affluence and developing aspirations amongst a burgeoning middle class. This contrasts with images of India as a poor country, which can be highly misleading. Whilst there is undoubtedly terrible poverty, India is also the World’s fifth largest economy (in terms of purchasing power parity) and GDP is growing by over 5% per annum in real terms. There is a highly educated population with a long tradition of entrepreneurial flair and a sophisticated manufacturing sector of the economy. Despite a colourful and disputatious political life, the country is, nonetheless, a stable democracy where the rule of law is upheld. The result of these factors is an exciting business environment offering enormous opportunity.
It all began with a loud "Atishoo". On 2 July, two years ago, the Thai currency suddenly sneezed and before anybody knew what was happening, many Asian economies came down with the flu. Nothing could be done.
Sapporo is probably the brewer with the longest tradition in the Land of the Rising Sun. The company’s origins lie in the 19th Century. The brewery in Sendai was built in 1971. In the new brewing room of the plant, 100,000 liters per brew are produced, and this translates to an annual output of 2,40 million hectoliters.
The lauter tun with a diameter of 12 meters is one of the largest ever built in Japan.
Know-how from Germany
Automation of the new brewing room was handled by Miyake Industries from Tokyo, one of the most important machine builders and brewery fitters in Japan. For a project of this size, Miyake sought out a partner with the necessary experience and found this partner in Ludwigsburg, Germany. The Ludwigsburg machine builder A.
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When it comes to sales volume, Japan’s brewers top the league of the country’s food and beverage industry. According to Japanscan, the top ten companies ranked by total sales in 1998 (financial year ended March 1999 or December 1998) were: table
Shaw Wallace plans to launch two beer brands in India: a mild beer called Hi-Five (not Hi Fi although the homophone is probably intended) and a strong beer called Lal Toofan. Hi-Five is to compete with UB’s Kingfisher brand in the mild beer segment, popular with fun-loving youths aged between 18 and 25. Lal Toofan is to help consolidate Shaw Wallace’s presence in the strong beer segment where it claims to control a 32 % market share.
Alan Bond, the entrepreneur who ran down an Australian brewing empire and was convicted of corporate fraud, is back in business. Having been released from prison, he is now working for Money Centre, a London high-street money-lender.
In 2001, a microbrewery is to open in the Northern Thai resort city of Chiang Mai. The local investor and chain res-taurant operator Chiang Mai Brew House has obtained US$ 500,000 in soft loans from the Small Industry Financial Corporation and an additional US$1.0 million for the project. Chiang Mai Brew House intends to set up a 600 to 800 seat outlet, selling 5,000 hl of draught beer annually to domestic and international tourists. Apart from draught beer, the brewery will also produce a "soft beer" for female patrons.
In a move to boost sales, the Carlsberg brand in Thailand has undergone a serious make-over. What once was a standard brand, packaged in a brown bottle, presents itself now as a premium brand in a green bottle. In line with the external make-up change, the taste of the product has become smoother, less bitter. More importantly, the retail price has gone up to premium heights from US$ 1.19 to now US$ 1.34 per 625 ml bottle.
Carlsberg lays claim to a 35 % to 40 % market share of the premium beer sector, which itself accounts for 6 % of the total beer market. The Tiger brand by Thai Asia Pacific Breweries is the current market leader in the premium segment. The Sura Maharas Group, Carlsberg’s Thai partner, operates two breweries: one in Ayutthaya with a annual capacity of 1..
Who else but the usual suspects would be interested in acquiring Switzerland’s brewer and soft drinks bottler Feldschlösschen Getränke Holding AG from Feldschlösschen-Hürlimann Holding AG? Ultimately, Carlsberg Breweries clinched the deal, thus taking over with effect from 1 July 2000 the beverage business for CHF 870 million including external debt. As Norwegian Orkla and Danish Carlsberg AS announced in November (their joint company Carlsberg Breweries is still subject to approval by relevant authorities), Feldschlösschen is the largest brewer in Switzerland with 2,600 employees, 2.4 million hl of beer output in 1999 and a market share of 45 %. It owns four breweries and four bottling plants, where it packages 3. In 1998/99 its 12-month turnover was CHF 1. Per capita consumption was 58..