Uganda: Beer demand escalates

Beer companies are facing a sudden production strain due to overwhelming demand from consumers, wrote Abubaker Mukose and Moses Nampala June 07.

Demand for beers has risen by 20% over the last 18 months due to the introduction of value for money beer brands made from locally grown barley and sorghum.

The managing director of Nile Breweries, Nick Jenkinson, said like their competitors (Uganda Breweries), they were running at full capacity but had unbelievably realised an acute shortage countrywide.

�The scale of the shortage cannot readily be established. We are doing everything possible to increase production capacity,� Jenkinson said, adding that Nile Breweries is set to inject US$4 million (sh7.4b) into expansion.

He said since introduction of local raw materials to make Eagle Lager (Nile Breweries) and Senator (Uganda Breweries), production volumes had increased from nine million cases in 2003 to over 12 million this financial year.