Regional Review
Asia/Pacific
result remained steady. Capacity at the brewery is being
doubled to 1.9 million hi, with the new capacity coming on
stream in mid-2003.
In Cambodia, despite a shift to lower-priced beers in
response to an increase of around 13% in excise duties and
the closure of a number of on-trade outlets by the authori
ties, Cambodia Brewery posted higher beer sales. The
brewery was able to compensate for the effects of the nar
rower margins to some extent by reducing its costs.
In Malaysia, Guinness Anchor Berhad achieved higher
sales of all its brands (Heineken, Tiger, Anchorand Anchor
Ice) in a declining beer market, and returned an improved
result.
Beer consumption in Vietnam continued to rise and
Vietnam Brewery's sales and result were significantly high
er, supported by growth in both the Heineken and Tiger
brands. In the north of the country, Asia Pacific Breweries
is building a second facility which will come on stream in
October 2003 with an initial capacity of 400,000 hi. APB's
interest in Hatay Brewery was increased from 60% to 97%.
The downward trend in the New Zealand beer market
continued. DB Group's sales held firm and the result
improved thanks to a better sales mix and tighter cost con
trol. Sales of Heineken beer and the local Monteith premi
um brand continued to grow. DB Group introduced a range
of fruit-flavoured beers under the Hopper brand.
Although the economy remained weak, last year brought
growth in the beer market in Papua New Guinea. South
Pacific Brewery's sales were sharply higher and its result
improved a little, despite the devaluation of the kina, the
local currency.
The beer market in Indonesia contracted by over 10% in
response to the economic and political situation, greatly
increased excise duties, limited consumer purchasing
power and reduced tourist numbers. The terrorist attack
on Bali had a temporary impact on tourism, which was
recovering after the attacks in the United States in 2001.
Multi Bintang Indonesia maintained its market share, but
its sales and result were well down.
Price competition on New Caledonia forced Grande
Brasserie de Nouvelle-Caledonie to reduce its selling
prices. Both its beer sales and its result improved.
The economic situation on Tahiti was exacerbated
by declining tourism and Brasserie de Tahiti, in which we
have a minority interests, reported lower sales.
Sales of Heineken beer in Australia continued to grow
in a contracting beer market.
In Taiwan, we set up our own marketing and sales
organisation for imported Heineken beer and upgraded
the distribution function. Sales of Heineken beer were
higher in a slightly weaker beer market.
The beer market injapan was adversely affected by
the growing sales of low-priced Happoshu, a low-malt beer
which attracts a lower rate of excise duty. Heineken
strengthened its position in prime on-trade locations and
sales were slightly higher.
Rising purchasing powerin Kazakhstan translated
into rapid growth in beer consumption. The economy is
growing vigorously, helped by the presence of large oil
reserves. Our interest in the Dinal brewery in Kazakhstan
was increased from 28% to 51%. Sales of the Amstel and
Tian Shan brands were up by 20%.
report of the executive board
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