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Competition brews up in beer market

19 avril 2005, 00:00

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lexpress.mu | Toute l'actualité de l'île Maurice en temps réel.

Beer lovers, brace yourselves ! Two new brands of amber nectar will soon be hitting the shelves and the bars. Universal Breweries is launching its products at the end of May, expecting to shatter Phoenix Beverages? monopoly on locally-made beers. The market is already bubbling with expectations.

Based in Nouvelle-France, the new brewery has already started its test runs. The brands to be launched remain a closely-guarded secret but some hints have been leaked out. One will be a well-known international name, while the second will have a very local flavour. ?We?ll launch the Mauritian beer first. The brand will have something to do with the sea, the country but will also contain a hint of Africa?, says Universal Breweries director, Rajiv Shant.

Phoenix Beverages is set to lose market share ? a logical result when a monopoly is broken up ? but it will give Universal Breweries a run for its money. As the launch of the new beers approaches, the billboards are filling up with adverts boasting Phoenix and Blue Marlin, Phoenix Beverages? major labels. At this point in time, the ads have a nationalistic flavour. As it happens, Universal Breweries is foreign-owned?

<B>Massive investments</B>

The new brewery, which has guzzled Rs 260 million in investments, is owned by two Indian nationals. Ravi Jaipura owns a group, which is the main Pepsi distributor in India. His partner, Raman Sood, is an important figure in India?s booming real-estate market. Both will be in Mauritius this week and they certainly mean business. They have invested massively in the new brewery and certainly expect more than mere peanuts when the market opens up.

Universal Breweries believes it can eat up a 25% share of the local beer market right from the first year. It will then build up steam for a head-on rivalry with Phoenix Beverages. The annual beer consumption totals 50 million litres.

In the meantime, Universal Breweries is crafting its launch. Bars, restaurants, hotels and supermarkets are being canvassed by the marketing team. The technical staff is fine-tuning the equipment. Everything should be in place by next month. The market is thirsty for the new beers.

Quality will be the buzzword. Universal Breweries has banked on the expertise of a Czech brewmaster, Franck Mrazek. He will supervise the production process. Ingredients will be imported from Holland and Denmark, while the bottles will come from India and Tanzania. The different brands should provide different tastes. ?We have invested heavily and left no stones unturned to produce beers of European standard?, explains Franck Mrazek.

<B>Stiff competition</B>

At first, Universal Breweries will only produce bottled beers. Two sizes will be on offer: 33cl and 65cl. The company will produce 130,000 units daily. It plans to introduce canned beers at a later date while increasing its product variety. In the medium term, light and strong beers will also be added to the range.

The introduction of Universal Breweries ? and competition ? will change the landscape in the beer market. Consumers will certainly have more choice but they should not expect to pay less for the new beers. The new brewery will align itself on existing prices. There will be no price war but there will definitely be stiff competition on the shelves. Phoenix Beverages and Universal Breweries will both be quarrelling for attention. One has to keep its customers. The other one has to seduce and poach its rival?s clientele.

Fans of the amber nectars have been used to fighting for beers at busy bars. They will now have to get used to breweries facing each other on billboards. So grab a beer and watch the free fight. Cheers!

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