13.12.2004 The Russian Federation Council forbad to drink beer outdoors

The Russian Federation Council approved by a majority the bill "About restrictions of retail and use beer and drinks made on its basis in public places" which actually forbids use beer outdoors.

To compensate losses on sales (30% of sold beer are used in the street), now brewers have to develop sales of own brands in public catering enterprises more actively. Truth to tell only the largest companies can presume such expenses.

The bill of the federal law "About restrictions of retail and use (drink) beer and drinks made on its basis in public places" implies interdiction of beer retail and its derivatives in preschool, educational, medical institutions and on adjacent territories, and also by minority. Besides this law forbids drinking beer (including nonalcoholic beer) outdoors, at stadiums, in squares, parks, transport and other public places, except for public catering places in which beer sale is allowed, and also places of retail of beer on draught. The law will be put in force in 30 days after the president signs it.

Under the law the president has two weeks on consideration of the law. In other words militiamen already can fine for the beer use outdoors at the end of January. By this time deputies have promised to propose an amendment to the Code about administrative transgressions, providing fines of 100 roubles for beer and low alcohol use outdoors, and also fines for retail trade breaking the law (from 4000 up to 20000 roubles). Brewers consider that they can cope with sales falling after attachment of the law.

The most obvious way of the market preservation is development of sales of beer on draught through restaurants, bars and kiosks for which the true war between brewers can start. The largest companies will be winners in it.



13.12.2004 Russia. "Baltika" increases growth rates

In November, 2004 sales growth of the company "Baltika" came to 55%. In total for 11 months of 2004 sales of the company amounted to 181,5 million decalitres of beer.

On the eve of the summer beer season of 2004 "Baltika" which were one among the Russian brewing companies declared market participants and all business community about its marketing plans of development.

Dynamical growth of sales of the company's basic brands in the second half of 2004 confirms efficiency of the chosen strategy. Despite of state restrictions in the advertising field continuation of growth of the company are evidence of a force and a stability of brands of the company.

Beer of Ukraine


13.12.2004 Volume of the Ukraine beer foreign trade

According to State Statistics Committee in January - October, 2004 volume of the Ukrainian beer foreign trade amounted to:

Export - 18814.941 thousand decalitres to the sum of $52,82 million (it is 29,6% more than in January - October, 2003). The main buyers are Russia, Moldova, Byelorussia, Latvia and the USA.

Import - 3,523 million decalitres to the sum of $10,93 million (it is 19% less). The main exporters are Russia, Belgium, Czechia, Netherlands.

In January - October, 2004 43,32 thousand tons of malt to the sum of $7,36 million were imported (it is 9,3% less than in January - October, 2003). The main exporters are Slovakia, Byelorussia, Russia, Finland.

Beer of Ukraine


13.12.2004 Russia. Efes Breweries' profit reduction

Net profit of the brewing company Efes Breweries International NV (EBI) in January - September, 2004 reduced by 45%. However in the Russian beer market sales volume of the company grew considerably.

Net profit of EBI, the leading turkish beer producer Anadulo Efes owns 70% of shares of EBI, decreased to $28,8 million for nine months, 2004 from $52,2 million in the previous period when the company bought the Russian brewery Amstar in August, 2003. EBI represents interests of the group Efes outside Turkey.

In Russia the company owns three plants (in Moscow, Rostov-on-Don and Ufa) which produce beer under marks Efes, Warsteiner, "Staruy Melnik", "Sokol" and "Beluy medved".

Beer of Ukraine

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