News round-up: Beverage sales drop on cool weather

Particularly hard hit have been beer manufacturers throughout the region. with manufacturers in Poland reporting a clear dip in their sales for the most recent quarter. Polish beer producers said that sales for the April to June quarter had fallen by 3 per cent to 7.9 million hecolitres, compared to the same period last year.

Meanwhile in the Czech Republic soft drink manufacturers have said that the cool weather has been having a similar effect on sales there, with the Association of Soft Drink Manufacturers stating that preliminary results indicate consumption is down on the same period last year.

Polish juice makers are biggest advertisers​

A recent report from Expert Monitor reveals that the country's manufacturers of juice and non-alcoholic beverages are currently have the largest advertising budgets in the food and beverage industry.

The company's research reveals that between January and May 2004, advertising expenditure in the segment was in excess of PLN 99 million (€22.4m), which now equals that spent by the brewery industry, traditionally the market leader.

The Polish juice market is estimated at PLN 4billion, a figure that is currently growing at 10 per cent a year. However as per capita consumption is still well below the European average, future growth is expected to remain strong.

Babolna to be split up​

Hungary's largest argo-food company, Babolna, has received government approval to sell off its profitable divisions, which will go on to be reformed as new companies. The new company will be called Babolna Elemiszeripari and is due to start operation this week.

Four new divisions will now be created with a combined working capital of HUF 16.7 billion (€67m). The division will be called Takarmanyipari, Farm, Pannon Baromfi and Esca.

The government also announced that it would be selling off Babolna's loss-making Békéscsaba poultry processing plant, which is currently one of the largest in the country and employs 1,200 staff.