Romania: Number of breweries up sevenfold in the last two decades

The number of beer producers in Romania has increased seven-fold in the last two decades, from eleven registered companies in 2005 to 85 today, according to data from the Romanian Brewers Association, which this year marks 20 years of activity. Nine of the brewers active 20 years ago are still brewing today, Business Review reported on October 21.

Over the same period, beer production has fluctuated between a peak of 20.2 million hectolitres in 2008 and a low of 14.9 million hectolitres in 2014. Today, after years marked by the Covid pandemic and steep excise tax hikes, the market remains close to the critical threshold of 15 million hectolitres.

“The two decades of Romania’s Brearii reflect the profound transformation of a sector that today looks very different from 20 years ago. The level of production has increased as producers have invested, and the diversity has expanded dramatically: more than ten times as many different types of beer are produced in Romania than in 2005. We have a mature and dynamic sector with more than 80 small and medium-sized producers generating real value for local communities and the national economy. The brewing industry contributes significantly throughout the economic chain – from agriculture, to production, distribution and retail – and supports tens of thousands of jobs. Moreover, 97% of beer consumption in Romania comes from domestic breweries. In this context, it is essential to maintain this national production ecosystem through a predictable fiscal and legislative framework which will allow sustainable investment and continuous development. Beer is not just a product, it is an economic and social engine that must be protected and supported,” says Mihai Voicu, President of Berarii Berarii României and Managing Director of Bergenbier.

The members of the Romanian Brewers, which represent 90% of the local brewing sector, have developed commercial relationships with over three thousand local suppliers, from farmers to packaging manufacturers. From them, they purchase over 70% of the raw materials used in production. Today, beer is produced in 68 towns and cities in Romania, with production facilities equally distributed between urban and rural areas.

“In the two decades of Romanian breweries, this market has become a highly competitive one, where large global players and small local entrepreneurs are constantly investing in beer production. Their efforts have also focused on projects of major national impact, such as the Return Guarantee Scheme. Analyzing market developments in parallel with the picture of fiscal measures, years with significant beer tax increases have led to contractions in production. Significant influences on the market have also come from the overall economic situation, where purchasing power plays a central role,” said Constantin Bratu, General Manager of Brearii României.

The association’s members have earmarked direct investments of over EUR 2 billion between 2005 and 2024, with their contribution in taxes and levies exceeding EUR 5.5 billion. The largest breweries, members of Berarii României, have invested in new bottling lines, modernization of facilities and sustainable use of resources. They now purchase 100% of the energy used in their production from renewable sources, either through own production and energy recovery in the breweries or through contracts with specialized suppliers.

The Romanian beer sector is validated by the authorities as one with zero tax evasion in the production chain, bringing predictability in terms of state budget revenues.

For 20 years, Berarii României has been the common voice of the local beer industry. Its objectives are to develop a sustainable beer sector, promote a transparent competitive environment, equal and fair treatment before regulatory institutions and educate on the benefits of responsible consumption. Members of the Romanian Brewers generate almost 60 thousand jobs nationwide. Since 2008, Berarii României has been included in the organization Berarii Europei, founded in 1958.

Its current members are Romania’s largest beer producers – Ursus Breweries, Bergenbier S.A., HEINEKEN Romania, United Romanian Breweries Bereprod – and the microbreweries Berăria Artizanală Sibiu, Clinica de Bere, Scorilo and Zăganu. Together, these eight producers supply 90% of the beer consumed in Romania. Soufflet Malt Romania and the Romanian Hop Producers Association are also members of the Romanian Brewers.

The brewing industry puts sustainability management at the heart of its business, by making beer production more water and energy efficient and reducing its carbon footprint. It is also the economic sector with the highest share of reusable packaging put into circulation voluntarily. Since 2018, through Romania’s Brewers for the Environment, the sector has been behind the establishment of the Return Guarantee System (SGR) in Romania, with RetuRO as a shareholder.