Russia: “Heineken Siberian Brewery” to lift beer production to 1.2 million hl until 2007

“Heineken Siberian Brewery” plans to double beer production until 2007. According to “Heineken Siberian Brewery” officials, the company is expected to increase beer output up to 1.2 million hl of beer until 2007, The Union of Russian Brewers announced July 06.

The company has already released 4 brands on the Siberian market: “Bochkarev”, “Ohota”, “Rusichi” and “Tri Medvedya”. Experts estimate that releasing new brands will allow “Heineken” to cover 11% of the Siberian beer market. A company spokesman informed that Heineken maintains the 2006 investment prospects to US$12 million.

Heineken acquired “Sobol-beer” in October 2005 form “Vinap”. Whit that occasion, Heineken Russian division President Rolan Pirme stated that “Sobol-beer” will receive investments worth EUR40 million during the next 6 years. During this delay, they planed to push beer production level to 2 million hl of beer annually.

Analyst from “Business Analytica” provided that nowadays, Heineken’s share of beer market in Siberia is quite modest – it barely reaches 9.5% and the company is ranked only the fifth among other competitors. The agency said Novosibirsk beer leader is Sun Interbrew which controls 39% of the local beer market, followed by Baltic Beverage Holding (BBH) with 19% of market share and “Tomsk beer” and Efes with 11% each.