Russia: January-October beer production declines by 3.8%

Cold weather this spring and summer together with a ban on production and sale of beer in PET bottles of more than 1.5 litre have led to a decline in the market in January-October, the Union of Russian Brewers said in a report.

According to the Union’s estimates, the nation’s beer market shrank by 4.4% during the first ten months of 2017 as compared to the same period last year.

Beer output declined by 3.8% during the reporting period. In October only, it amounted to 5.33 mln hl - 5.4% more than in October 2016 but 6.8% less than in September 2017.

At the same time, zero-alcohol beer continues to enjoy growing demand: its sales in January-October saw an increase of 5.6%. Thus in Q3 2017 zero-alcohol beer accounted for 1.6% of the overall beer market in Russia.

The Union of Russian Brewers said it maintains its forecast of a 5% decline of the nation’s beer market this year. The zero-alcohol beer could become one of the drivers helping to overcome the decline, the trade association concluded.

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