Beer sales were hit by a 14% decline in the first half compared to the year-ago period, according to data from the National Statistics Institute (INS). Producers confirm there was a sales decline, but announce an up to 10% drop.
"The difference between the INS data and the figures reported by players is partly accounted for by the fact that the INS measures production, while the brewers’ reports take into account products available in stores, as well as on the on-premise segment (hotels, restaurants, coffee shops)," explains Stephan Maria Weber, president of the Brewers of Romania Association, and of Ursus Breweries, one of the largest beer producers on the Romanian market.
Even considering an up to 10% decline, from ten million hectolitres in the first half of 2008, beer sales barely approached nine million hectolitres at the end of June this year, close to the 2006 level.
"The factors that triggered a market decline are largely crisis-related. This has altered consumer behaviour – confidence in the purchasing power has weakened, prompting people to consume lower amounts and less frequently," says the president of the Brewers of Romania Association.
According to Weber, the unemployment rate rose in the first half of this year, while Romanians working abroad also sent less money home. Moreover, they are no longer coming back to Romania for their holidays.
"This amounts to two million consumers less in the holiday season," Weber said about the peak season for beer. The frequent rains and the very high temperatures also hindered sales.
"If the sales decline continues at the same rate in the second half of the year, the overall volume of the beer market will be around three million hectolitres lower than the 2008 volume," said Vifor Versescu, general manager of the Independent Romanian Brewers Association.
At the end of 2008, beer consumption per capita was 93 litres, amid an overall market volume of more than 20 million hectolitres; the market slump by three million hectolitres will result in beer consumption per capita dwindling by ten litres at the end of 2009 against the year-ago period.
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