E-Malt.com News article: Malaysia: Malaysian brewers contributed 0.3% to GDP in 2016
Malaysian brewers chipped in RM3.7 billion or 0.3% to the gross domestic product in 2016, The Edge Markets MY reported on December 19.
In a statement on December 18, the Confederation of Malaysian Brewers Berhad (CMBB) which comprises Heineken Malaysia Bhd and Carlsberg Brewery Malaysia Bhd, said there was moderate growth in the local beer industry, despite operating in a challenging environment including high taxes and the prevalence of illicit alcohol among others.
According to international strategic consultancy firm, Steward Redqueen, CMBB has contributed significantly to the nation’s overall economic growth.
In 2016, CMBB contributed a direct input of RM2.1 billion in taxes and salaries while indirectly contributing RM1.6 billion through its supply chain, trade partners, and suppliers.
In other words, every litre of the CMBB beverage that is produced and sold in Malaysia generated RM13 to the local economy and RM10.50 in tax revenue for the government.
CMBB said the beer industry has employed almost 61,000 Malaysians or 0.4% of the nation’s total workforce, which generated close to RM800 million direct and indirect salaries across its value chain.
Heineken Malaysia managing director Roland Bala said the company was focused on the sustainability of its business from barley to bar.
“We are proud to contribute to the Malaysian economy in a significant way both directly through taxes paid and indirectly through jobs and value created both upstream and downstream,” he said.
Bala added that CMBB also source a variety of products such as business services, production process inputs, and packaging materials from local suppliers only.
Meanwhile, Carlsberg Malaysia managing director Lars Lehmann said in its quest to become a successful, professional, and attractive brewer, it plays an integral role by supporting local industries in addition to providing employment – directly or indirectly throughout the value chain – as well as contributing to the Malaysia economy particularly in exports and taxes.
“It is our priority to promote sustainable economic growth via our contributions to the Malaysian economy,” said Lehmann.
20 December, 2018