Asia/Australia
i
Sales proceeds in the
Asia/Australia region rose
considerably by 23.7% to
NLG 716 million.
Earnings rose too, thanks to
significantly higher sales.
Economic growth in this region remained at a high level. In
Japan and South Korea the developments were admittedly
disappointing, but this was amply compensated by a
vigourous expansion in China, Hong Kong, Vietnam and
other countries in South East Asia.
In view of the growth potential in this area we have further
strengthened the good and long-standing co-operation with
our partner Fraser Neave in Asia Pacific Breweries (APB).
Through APB we have an excellent basis for further
expansion and can achieve a continuing increase in sales and
market share in this region in the years to come.
During the year under review APB substantially expanded its
position. An interest was acquired in Fujian Brewery, in the
Chinese city of Fuzhou. In Thailand a joint venture was
entered into for a new brewery project in which Heineken
beer will be brewed for the local market. Finally, the majority
was acquired in the DB group (previously Dominion
Breweries) in New Zealand, through an exchange of interests
in Australia and New Zealand with Brierly Investments;
APB's share in the DB group has hereby been doubled to
54.7%, whilst the DB interests in Australia outside the
beverages industry have been disposed of. As a result of this,
the DB group will be able to concentrate entirely on the
strengthening of the core activities: production and selling of
beer and other beverages.
300
APB's earnings were above the 1992 level. The earnings of
SP Holdings, in Papua New Guinea, improved considerably
due to a successful reorganization and cost containment.
Competition intensified in Singapore. In Malaysia a sizeable
increase in excise duty had an adverse effect on the course of
affairs. Sales by the brewery in Shanghai again rose sharply.
The new brewery in Ho Chi Minh City (Vietnam) started the
production of Tiger beer in the latter part of the year.
In Indonesia the beer market showed a healthy growth. Our
operating company Multi Bintang Indonesia benefited from
this and, in addition, managed to increase its market share.
Earnings improved considerably, partly through the
successful implementation of a cost reduction programme.
In the course of the year we decided in Japan, in consultation
with our licensing partner Kirin, to intensify the marketing
efforts for the Heineken brand. This led to a substantial
improvement in sales.
In the Far East, sales of imported Heineken beer again
showed considerable growth. This was the case, inter alia, in
Hong Kong, Taiwan, Vietnam and China. A slight increase
was achieved in Australia.
Sales of imported Heineken beer in the Middle East
developed along positive lines. Sales of Heineken beer in
Israel rose.
Sales proceeds
Asia/Australia
in millions of guilders
35
