Sales were not any better during the summer, either, so brewers saw volumes shrink by 7% to 5.7 million hectoliters in June-August, the lowest level in nine years. Summer usually generates 30% to 40% of the full-year sales volumes in the beer sector.
This year looks set to end in decline since it is highly unlikely that the remaining months will be able to offset the trend.
Out of the companies that have announced results so far, Ursus posted 6% decline in April-September, compared with the year-earlier period. The half-year report of SABMiller, Ursus’ owner, shows that the results of the company are better than the overall market’s.
Heineken, too, posted decline, with the performance in Romania, Poland and Russia dragging down the Central and Eastern European figures.
Ursus and Heineken are the largest brewers in the industry, with sales of almost EUR600 million together. Their rivals include Bergenbier and United Romanian Breweries Bereprod (URBB). Romaqua, the owner of the mineral water brand Borsec, has three beer brands.
A recent report by the competition watchdog shows the beer market is dominated by four major producers (Ursus, Heineken, Bergenbier and URBB), which have applied a strategy of consolidating portfolios on different segments, therefore reducing competitive pressure. On the other hand, small brewers focused on producing private label beer for modern retailers.
(English version by Loredana Fratila-Cristescu)