The beer market will exceed 4 billion lei in 2018 The Romanians’ appetite for beer is growing year on year, amid rising living standards, supply growth and massive investment in advertising. The beer market has grown over the last five years by almost 20%, and this year could exceed the 4 billion lei threshold, shows KeysFin’s analysis. At the end of last year, 47 beer producers were active on the Romanian market, double the number five years ago. During this period, the sector sales revenues increased by 624.2 million lei , reaching in value of 3.97 billion lei in 2017. According to KeysFin analysts, the significant evolution of the market is explained primarily by the development of a varied offer . “The last years have brought about changes in the consumption behavior of Romanians, which are increasingly looking for quality beer, variety, are interested in alternatives. To meet these requirements, there have been a growing number of start-ups on the market, which target niche segments, especially in the premium area, “ they said. Companies have significantly optimized their operations, showing that the net result has increased 7.5 times in 2017 compared to 2013, net loss has decreased by 83% and employee productivity has increased by 17%. Interestingly, the average payout period (DPO) decreased by 32.3% (from 169 days to 114 days), which means that companies pay their suppliers significantly faster than 6 years ago. Although at first sight there are hundreds of producers in Romania, reality shows that 87% of the market is concentrated in the hands of only 3 companies , all with foreign ownership. The leader in this sector , according to the Ministry of Finance, is Ursus Breweries, which owns among others the brands Timişoreana, Ursus, Grolsch, Peroni Nastro Azzurro, Pilsner Urquell, Ciucas, Stejar and Azuga. The company, part of the Japanese group ASAHI BREWERIES, achieved a turnover of 1.7 billion lei in 2017, reaching a market share of 43%. Second place is HEINEKEN ROMANIA SA, a Dutch company that sells Heineken, Desperados, Ciuc, Golden Brau, Bucegi, Neumarkt, Harghita, Haţegana, Silva, Gambrinus, Affligem, Edelweiss, Birra Moretti, Amstel last year’s business of ROL 1.16 billion, with a market share of 29%. The top 3 is completed by BERGENBIER SA, with a turnover of 599.2 million lei in 2017 and a market share of 15%. The Dutch-controlled company at MOLSON COORS NETHERLANDS BV sells the Bergenbier, Staropramen, Stella Artois, Beck’s, Noroc, Corona, Lowenbrau brands in Romania. In the following places, UNITED ROMANIAN BREWERIES BEREPROD SRL (Tuborg, Carlsberg, Skol, Holsten, Guiness) – 392.4 million lei, ALBRAU PROD SA (30.8 million lei) BERMAS SA (27.9 million lei), LIXID PROJECT SRL (27.6 million lei), MARTENS SA (18.1 million lei), GOOD BEER FACTORY SRL (4.1 million lei) and HB TRADITIONAL BREWERY SRL (£ 1.61 million). Overall, the top 10 players in the market last year made 3.9 billion lei, accounting for 99.87% of the total. Even though the beer market has grown strongly in these years, it has not yet reached its full potential. There is still room for growth if it is only to judge from the point of view of per capita consumption. In international statistics, Romania is ranked 10th with a beer consumption of 75.6 liters per capita in 2017, while in Poland it is 98 liters and in the Czech Republic 137 liters. Slovenia, Latvia, Croatia, Austria and other countries are in front of us in this ranking. Leave a Reply Cancel Reply Your email address will not be published.CommentName* Email* Website Save my name, email, and website in this browser for the next time I comment.