Beer market will shrink this year

Beer production indicators signal that the sector should terminate 2013 on the landing below the projection of the Associação Brasileira da Indústria da Beer (CervBrasil) for the year: a low digit retraction in volumes compared to last year.
In January to November, the production of beers back 2.5% compared to the previous year, according to preliminary data of the control System for the production of beverages (Sicobe), the internal revenue service.
Only in the month of November, the crash revealed by the Sicobe is 4.76%. However, the final numbers in relation to performance of the month still must be closed in the next few weeks.
In the dissemination of the results of the third quarter, Ambev-company that has almost 70% market share of beers in Brazil-already signaled that expectation of reduction for the year consolidated. Before, there was a prediction that the performance of the sector could be a little better, volume stability in relation to 2012.
The feeling that "not even to tie" with last year was gaining strength when the production of drinks didn't react over the first months of the second half, as cogitavam the most optimistic. In September, the manufacturers were able to postpone-for a period still undefined-the increase in federal taxes that was supposed to take effect from October.
So far, the last quarter of the year enrolls 4.75% retraction. At this point, only a month of December with exceptional unexpectedly performance to change the course of yet another drop in quarterly production in the sector.
The stakes of the breweries to re-grow in volume focus next year. If consumer demand still shows no clear signs of resumption, at least the 2014 calendar brings a promising combination of late Carnival (extending the summer, best season for selling beers) and, of course, the World Cup in the country.
João Castro Neves, President of Ambev, told investors and analysts that bet in micro and macro scenarios best next year. According to the Executive, such problems as food inflation and lower consumer disposable income signs of cooling.
In the third quarter, the volume of beer sold at the Ambev Brazil fell 5%. In the category of non-alcoholic beverages, the indentation was 2% in the country.
The difficulty of expansion of volumes this year is similar in Brazil Kirin, Heineken and Grupo Petrópolis, mainly in the category of "mainstream" (intermediate price).
Before the consumer environment retracted, the beer industry growth is being driven by price increases and the strategy of broadening the participation of premium products in the portfolio, a niche that still has great potential for growth in Brazil.