Asia Pacific
Sales proceeds rose by 14.8% in
1995 to NLG 1,246 million.
Partly as a result of this,
earnings also increased further.
In the Asia Pacific region there was again strong economic
growth. This development had a favourable effect on beer
consumption. Particularly in China there was a substantial
rise in beer sales.
The beer market in this region has now reached a volume of
nearly 300 million hectolitres. The Chinese market represents
almost half of this, which makes China the largest beer
market in the world after the United States.
Asia Pacific Breweries (APB), in which the Company has
been co-operating with Fraser Neave for over 60 years,
again did well; the sales volume and market share increased
in most countries and earnings were above the 1994 level.
900
600
1,246
300
- M tn in
Q\ 0s 0s 0s 0s
0S OS OS 0s 0s
Sales proceeds
Asia Pacific
in millions of guilders
In the increasingly international beer market of Singapore,
the brewery developed satisfactorily.
The brewery in Malaysia had another good year.
The earnings of SP Holdings in Papua New Guinea were
under pressure. This was due to the economic situation and
the devaluation of the Kina, which led to a rise in import
prices for raw materials.
APB's interest in the DB Group in New Zealand was
increased to 58.5%. Despite a lower market share earnings
rose, mainly due to lower costs. Sales of locally brewed
Heineken beer developed satisfactorily.
Sales of Tiger and Heineken brewed by Vietnam Brewery in
Ho Chi Minh City are proceeding so well that it has been
decided to expand the capacity further. This will make it
possible in the years ahead, too, to meet the demand for our
products in this rapidly growing market.
In China, sales by the brewery in Shanghai rose considerably.
The brewery in Fuzhou is working hard to improve a number
of quality aspects. Construction of Hainan Brewery's
installation on the island of Hainan is on schedule. The
brewery, in which APB has an 80% interest, will start up in
1996.
Thai Asia Pacific Brewery in Thailand became operational
in 1995. The Heineken beer brewed by this company was
very favourably received.
In Yangon, Myanmar, APB has founded Myanmar Brewery
Limited together with a local partner. APB has a 60% interest
in this company. Myanmar Brewery has begun the
construction of a brewery which is expected to be ready in the
latter part of 1996.
In Phnom Penh, Cambodia, good progress was made on the
construction of a brewery for Cambodia Brewery, in which
APB has an 80% interest.
The beer market in Indonesia again showed a vigorous
growth. Our operating company Multi Bintang Indonesia
succeeded in further enlarging the market share.
The resulting higher sales volume and a better margin led to
improved earnings. During the year under review a start was
made on the construction of a new brewery in Surabaya
which will replace the existing brewery there.
35
