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CASTLE MALTING NEWS in partnership with Ukrainean
25 May, 2022

Brewing news World: AB InBev off track in reaching its non-alcohol beer sales goals

AB InBev said it was "off track" in reaching its goal that 20% of its beer volume would be non-alcoholic and low-alcohol by 2025, Reuters reported on May 25.

Chief sustainability officer Ezgi Barcenas at AB InBev, the world's largest owner of beer brands, said it had so far fallen short of its targets.

"We are a little over 6% still," Ms Barcenas said. "We are off track."

The Budweiser brewer's goals were made to support the World Health Organization in reaching its target to reduce harmful drinking — alcohol consumption that causes car accidents, diseases and birth defects — by 10% in every country by 2025.

Ms Barcenas said the goals were made before AB InBev's mega-deal with SABMiller, leading to a dramatic change in the company's footprint. She also said AB InBev's "commercial strategy is changing".

"What we really want to do is provide the consumer with choice and information," Ms Barcenas said.

"At the time this was announced, we didn't have the availability of choice. We want to focus on the choice as opposed to push the volume out."

AB InBev now has over 80 non-alcoholic and low-alcoholic beers and beverages, Ms Barcenas said. Its brands include Hoegaarden Rose 0.0% and Jupiler 0.0%.

She said soaring energy prices will speed up payback periods for green energy projects. "It's accelerating the transition and making the business case stronger to invest in efficiency," she said.

AB InBev has a goal to have net zero carbon emissions across its value chain by 2040. Like many beverage and consumer product makers, it faces the biggest challenge in reducing its scope three emissions, which come from consumers throwing away beer cans and bottles and distribution.

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