Buy beer drinkers in a bar in Yangon road huts used to deal with limited options: it is more likely than not, order the tankard of Myanmar, and sometimes a shot of whiskey to illuminate large local beer extra boost.
These days there is more diversity, thanks to the arrival of Denmark Carlsberg and Dutch rival Heineken, which began to take shape in Myanmar this year, where economic reforms unleashed market protected under the military regime.
Now, Myanmar Brewery Limited (MBL), the military is linked to old favorites Myanmar beer and four other brands of products, which faces stiff competition from global giants of the consumer market growing quickly set to increase beer consumption among the lowest in Asia.
Said Lester Tan, managing director of the company Heineken APB Alliance, which produces few months after opening, Heineken done so well that plans to double its capacity in Yangon facilities to 50 million liters to 25 million liters.
He said the company’s rapid expansion was expected that after the implementation of the plan of three or four years.
“I was just Heineken amounts through the roof, which has taken us all by surprise,” said Tan.
The Heineken brand in the real economy seven is “slowly undermining” competitive advantage in Myanmar beer.
However, about two thirds of Myanmar beer market beer in the country in terms of order volume. The company has not sat satisfaction to its market dominance – like other state-backed companies, MBL has moved quickly to repair all of its image and products to attract new consumers in Myanmar.
“There are a lot of challenges in the market,” said Hiroshi Fujikawa, who became CEO of MBL this year after it was bought Kirin Japanese share of 55 percent from $ 560 million a Singapore company Fraser odd ( F & N).
“One is that Heineken and Carlsberg occurred in this market this year, and launched a local beer products and clear. Therefore, the state of competition in the market can certainly change and become increasingly fierce.”
While Heineken and Carlsberg beer have built their own factories, rolling MBL of the most elegant bottle, accelerating their efforts in promoting and began targeting the younger generation through the auspices of hip-hop, dance halls and music electronics, work in all parts of the strict prohibition in the country in alcohol ads.
It has helped keep the dispute – the investment of foreign beer makers in the history of the MBL – even during the sanctions. Kirin buying following a dispute between F & N and Myanmar Economic Holdings Ltd. (MEHL), which is backed by the army, which holds 45 percent in the whole factory. F & N has been involved in the company since the mid-90s.
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As is the case in other sectors of the emerging economy of Myanmar, one of the biggest challenges facing the growth of beer companies find qualified workers.
“If you take a look at individuals and workers here, there are plenty of possibilities for improvement,” Fujikawa MBL and MEHL. He added that Kirin began taking employees to Japan for training.
MEHL is one of the groups Saad and Al-Gosaibi backed by the main army in the vast country with interests in industries ranging from jewelry to the production of supermarkets. Pension benefit relief funds and welfare of members of the armed forces and their families.
MEHL run due to US sanctions that prohibit American companies to work with the group.
Japanese companies were not subject to similar restrictions, but Fujikawa said he knew that there is a reputational risk for Kirin to work with the group.
A new generation of drinkers
MBL reported net income of US $ 51 million on sales of US $ 201 million in 2014.
Euromonitor International research firm estimated US $ 375 million market will grow rapidly to be useful to the US $ 675 million in 2.01851 billion population consumes an average of 3.2 liters per person in 2013, a tenth of the wash volume in neighboring Thailand.
Said Fujiwaka capture the loyalty of a growing number of young people drink is important, as maintaining the existing customer base.
“We have to be creative,” he told Reuters. “They do not want to drink what their parents drank.”
MBL is planning to introduce a new premium beer to compete with Carlsberg and Heineken to play the market price.
Myanmar Capital 