Sports events, long summer bring Romania beer sales increase in 2012, cautious forecast for 2013

The beer market in Romania went up by 7 percent in 2012, to some 18.2 million hectoliters, according to the Romanian Brewers Association. The sales volume posted by the members of the association was of 16.6 million hectoliters, 6.5 percent more than in 2011.

Despite the increasing trend in beer consumption last year, we're being cautious with the forecast for this year, said Andrew Highcock, president of the Romanian Brewers Association. “The increase in 2012 was caused by circumstances which is why it is premature to talk about a long term positive trend. Romanians did not have more money in their pockets in 2012 than in previous years, to encourage an increase in consumption. However the long summer with the two important sports events, the EURO 2012 and the Olympic Games brought the favorable circumstances for beer consumption,” Highcock explained. As for 2013, it started with increased fiscal pressure on the beer market via the increase in excises, and its impact is still hard to estimate. Meanwhile, the Romanians' purchasing power is still fragile, the president of the Romanian Brewers Association concluded. Most of the beer consumed in Romania is produced locally - 98 percent, which is why brewers think the state should counterbalance the beer market's contribution to the economy by offering policies to stimulate the development of this sector and its connected industries, such as agriculture and tourism, as well as via measures to fight tax evasion on the alcoholic beverages market, rather than imposing higher excises. Members of the association contributed EUR 238 million to the economy in 2012, EUR 11 million more than the year before. Most of these are various taxes – VAT, excises, social security contributions. Beer excises covered 60 percent of the excises collected for alcoholic beverages in 2012 in Romania. Meanwhile, beer consumption stayed at 90 liters per inhabitant in Romania, with the calculation based on the latest census data, which gives a lower figure for population than before. PET beer covered half of the sale, while bottled beer, almost a third, canned, 15.8 percent, and pints of beer, only 3.5 percent. The six member companies of the Romanian Brewers Association run 12 factories and employ over 4,250 people in ten cities. editor@romania-insider.com