Nigeria: Bature Brewery promoting move to independent beer brands among Nigerian consumers

Nigerian beer producer Bature Brewery is doing what it can to dissuade consumers from buying big beer and instead move to independent brands, The Drinks Business reported on August 4.

Bature Brewery has already set a goal to get to 500 locations across the country selling its products within the next year and a half, according to Reuters, which identified how it is already making headway on its target.

Research from Business Research Insights recently identified how, globally, the craft beer sector is forecast to triple to more than US$250 billion by 2033, meaning that independent breweries can still steal market share from bigger beer businesses such as AB InBev, Diageo and Heineken.

Craft brewers are facing myriad challenges in Nigeria at present such as the devaluation of the naira that has seen the price of imported raw materials spike. However, the opportunities for craft expansion are evident since, according to Statista data, Nigeria’s total beer market is still valued at US$7 billion annually.

Describing the opportunity, Bature co-founder Kevin Conroy said: “We know there is more demand. Our goal is to get to 500 locations selling our products by the next 18 months. We are aiming to be doing 100,000 litres per month by next year.”

The 500 locations compare with 70 that have already been catered for by Bature Brewery, which began operations in Abuja in 2017 and is already understood to be the largest of Nigeria’s craft brewers with a beer output of 22,000 litres each month.

To help ensure supply is seamless should the brewery gain an opportunity for expansion, Bature Brewery has also installed diesel power and a water treatment plant in a bid to tackle the region’s erratic power and water supplies. It has also installed new fermentation vessels and other equipment at its Lagos plant so that it can move quickly if demand picks up.

Conroy explained: “We’re going to be a small craft brewery compared to the big guys, but we believe we can make the best beer and we can keep growing in our own way and do things in our own style. I will be very happy with 1% of the market. Even half of that will be great.”