Sales of beer in Middle and Far East
the circumstances, the other brewery is continuing nor
mal operations.
Middle East
Our market position in the Middle East is under pressure
owing to the fact that many European competitors are
marketing their products at very low prices on account of
over-capacity. In areas where alcoholic drinks are not
allowed, there are possibilities for selling malt bever
ages.
In Saudi Arabia the sales of Amstel Brew, a non-alcoholic
malt beverage, proceeded successfully. At the end of the
year under review an alcohol-free shandy was intro
duced under the name of Sisi-Shandy.
The course of affairs in Iraq with regard to Amstel Gold
beer was so disappointing that we terminated the licence
agreement in mid-August 1980.
Brewed under the supervision of Heineken (in millions of hectolitres)
1.6 1.8 2.- 2.2 2.4
5
1976 1977 1978 1979 1980
Far East
The increased purchasing power in Indonesia has led to
further growth of the beer market. In addition, our market
share rose. The course of affairs in soft drinks was reason
able. In the brewery at Jakarta a start will be made on the
installation of a filling line for canned beer. The brewery at
Medan acquired in the previous financial year was mo
dernized; the Bintang brand is now also produced there.
The Government is aiming at strengthening local partici
pation in management and capital of foreign firms in
Indonesia. In this context we are making preparations to
place a larger proportion of the capital of the enterprise in
that country in Indonesian hands. This will be done by a
public issue of shares, for which a listing application will
be made to the Jakarta stock exchange.
Malayan Breweries saw its sales volumes increase as a
result of higher sales in Singapore, Malaysia and Papua
New Guinea.
In Singapore, however, sharp rises in wage costs could
only partly be passed on in the selling price.
The market share in Malaysia is suffering from competi
tion.
In the brewery at Kuala Lumpur the production capacity
was expanded, whilst the supporting facilities were
adapted. A location is being sought for a second bre
wery there.
Sales in New Zealand remained unsatisfactory, partly
owing to the economic depression facing that country.
Sales in New Caledonia continued at a satisfactory level.
This country is, however, very dependent on the price
trend of nickel on the world market.
In the practically stable beer market of Tahiti there was a
slight fall in sales of Heineken beer.
During the year under review contact was established
with the relevant government authorities and the brewing
industry in the People's Republic of China in order to
examine possibilities of co-operation.
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