China: Grupo Modelo appoints Anheuser-Busch as the Importer of its brands in China
Grupo Modelo, the leader in the production, distribution and sale of beer in Mexico, announced an agreement with its partner Anheuser-Busch to import Modelo’s beers into China as of January 2007, according to Anheuser-Busch press room on December 4th.
The New Contract Allows Grupo Modelo to Leverage A-B’s Solid Distribution Network in China.
Grupo Modelo and Anheuser-Busch have a long history of successful collaboration that began when they partnered in 1993. Modelo is the exclusive importer of Anheuser-Busch’s brands in Mexico, among which Budweiser and Bud Light are notable.
“This new partnership ideally complements the international strategy that Modelo has successfully implemented for several decades. We are very pleased with this association, which offers excellent long-term growth opportunities for Grupo Modelo’s brand portfolio in China, a very important market for our company,” stated Carlos Fernández, chairman of the board of directors and chief executive officer of Grupo Modelo.
“The popularity and high quality of Corona Extra make it an excellent complement to our Budweiser and Harbin beers,” said August A. Busch IV, president and CEO of Anheuser-Busch Cos. Inc. “Corona Extra competes in the super-premium segment of the market, which is experiencing strong growth. With our continued success in this segment, and our 10 years of sales, marketing and distribution experience, we expect to significantly increase the sales of Corona.”
In addition to being the most popular Mexican beer in the world, Corona Extra is the most popular imported beer in the United States regardless of origin.
The agreement with Anheuser Busch for China covers Corona Extra and potentially other Grupo Modelo brands in the future.
In August, Grupo Modelo announced it will begin to distribute the Chinese beer Tsingtao in Mexico by the end of this year, bringing China’s most global brand to Mexico for the first time. Anheuser Busch also is an investor in Tsingtao, China’s largest brewer.
Grupo Modelo, founded in 1925, is the leader in the production and marketing of beer in Mexico with 62.8% total market share (including domestic and export markets) as of Dec. 31, 2005. It has seven brewing plants in the country, with a total annual installed capacity of 60.0 million hectoliters.
Currently, it brews and distributes twelve brands; Corona Extra, the No. 1 Mexican beer sold in the world, Modelo Especial, Victoria, Pacífico, Negra Modelo and other regional brands.
It exports five brands with presence in more than 150 countries and is the exclusive importer of Anheuser-Busch’s products in Mexico, including the brands Budweiser and Bud Light. Grupo Modelo has traded on the Mexican Stock Exchange since 1994 with the ticker symbol GMODELOC.
Based in St. Louis, Anheuser‑Busch is the leading American brewer, holding a 48.8% share of U.S. beer sales. The company brews the world’s largest-selling beers, Budweiser and Bud Light. Anheuser‑Busch also owns a 50% share in Grupo Modelo, Mexico’s leading brewer, and a 27% share in Tsingtao, the No. 1 brewer in China. Anheuser-Busch ranked No. 1 among beverage companies in FORTUNE Magazine’s Most Admired U.S. and Global Companies lists in 2006. Anheuser‑Busch is one of the largest theme park operators in the United States, is a major manufacturer of aluminum cans and is America’s top recycler of aluminum cans.
Torna
E-malt.com, the global information source for the brewing and malting industry professionals. The bi-weekly E-malt.com Newsletters feature latest industry news, statistics in graphs and tables, world barley and malt prices, and other relevant information. Click here to get full access to E-malt.com. If you are a Castle Malting client, you can get free access to E-malt.com website and publications. Contact us for more information at marketing@castlemalting.com .
