China's Beer Industry Brews US$29 Billion Revenue
Marcel Woo | | Apr 24, 2014 06:31 AM EDT |
Despite the austerity drive of the Chinese government that hits sales of luxury drinks, China's beer industry managed to stay afloat and even registered a 9.3-percent revenue in 2013, from a year earlier, to US$29 billion.
The China Alcoholic Drinks Association (CADA) further revealed that profit of beer products in the country soared 21.5 percent last year as total beer output hit 50.62 kiloliters, or 4.6 percent more from 2012.
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During the China Beer Industry Annual Summit in the capital Beijing, CADA Secretary-General He Yong said the austerity measure launched by the government has taken a toll on the country's beverage industry. He said beer is the only unit of the alcoholic industry that saw profit rise in 2013.
Based on the data released by the association, last year's significant beer consumption growth was seen in the western regions of China, although people living in the southern and eastern parts of the country continue to be the major beer consumers.
Based on the data released by the association, last year's significant beer consumption growth was seen in the western regions of China, although people living in the southern and eastern parts of the country continue to be the major beer consumers.
Five major beer groups continue to dominate China's beer market, taking a combined 80 percent of the market. These beer groups are Carlsberg China, China Resources Snow Breweries, Anheuser-Bush InBev, Tsingtao Brewery, and Beijing Yangjin Beer.
Carlsberg China CEO Stephen Maher, however, admitted that the beer industry's annual growth has been trimmed to about 5 percent, from the previous 10 percent, due to excess production, stiff competition that has confused drinkers, and lower per capita consumption.
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