11 January, 2006

Japan: Suntory plans rising the sales of beer and beer-like products by 5% in 2006

Suntory stated that it targets to increase sales of beer and beer-like beverages by 5.4 percent in 2006 from a year earlier. Suntory said it will try to achieve this by pumping advertising money mainly into high-priced products, including the recently popular Premium Malt's, Kyodo announced on January 10 .

Suntory's 2006 target will be for combined sales of 54.5 million cases. One case holds 20 633-mililiter bottles.

Suntory brewery predicts overall sales of beer and beer-like products in Japan will decline slightly in 2006 from a year earlier. But the company is upbeat about its own business outlook. It expects sales of Premium Malt's to increase by roughly four times to 5 million cases, while its mainstay Malt's lineup, scheduled to have a renewal in mid-March, is projected to post sales of 16.5 million cases, up 2.6 percent from the previous year.

"Although tax increases will probably deal a blow, I hope they will be absorbed by an economic recovery," said Suntory President Nobutada Saji," referring to an increase in the tax on so-called third-category beer, or beer-like sparkling drinks.

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