E-Malt.com News article: 1145

“Vietnam will stop issuing new joint ventures licenses for beer production while existing foreign-back breweries are running at under 80% capacity,” Vietnam Prime Minister has recently decided. The government recommended new cooperation deals or partnerships to be established in order to make high-quality alcohol from materials domestically available.

Following the new decision, Habeco and Saigon Alcohol, Beer and Beverages (Sabeco) are expected to take leading roles in the beer market next year. These two state-owned companies hold now 40% market share. By 2010, the market share of the two companies is expected to rise from 40% to 70%.

By 2005 two new breweries are to be constructed. One, under Hanoi Alcohol, Beer and Beverages Corporation (Habeco), is designed with an annual capacity of 100 million litres, which can be expanded, to 200 million litres. The other, under Sabeco, is a 100 million litres plant that can be expanded to 300 million litres.

Vietnam has two wholly foreign-owned and three joint venture beer facilities behind international brands such as Heineken, Tiger, Fosters, San Miguel and Carlsberg. Vietnam Brewery, which brews Tiger and Heineken in Ho Chi Minh City, is Vietnam's most successful foreign brewery, recording a profit of more than $6 million each year.


30 May, 2003