Czech brewers eye Poland

Related tags European union Beer

Czech brewers, backed by the Czech Association of Small Independent
Breweries (CSMNP), are readying to increase their presence in the
significant Polish beer market. The move is the first big drive on
to the market in 10 years and follows the Polish government's
requirement to reduce the prohibitive import barriers once both
countries join the EU in May next year.

Currently the Polish government allows just 60,000 hectolitres a year of Czech beer into the country on a duty free basis, a move which has to date only allowed limited numbers of smaller Czech brewers to enter the market.

Speaking to the Prague Business Journal​, Jan Vesely, the head of the Czech Association of Breweries and Malt Houses (CSPAS) and president of the European Brewing Convention, said the duty, imposed in 1992, increased the price of Czech beer so much that its members have not been able to compete to any significant degree on the Polish market.

Vesely added that the Polish market will be a particular focus for Czech brewers because its proximity will make it relatively easy. "Beer is gradually pushing out spirits [in Poland], following the fashion in Western Europe,"​ Vesely told the journal.

The CSMNP, which was created especially to meet the needs of small Czech brewers in an enlarged Europe, is now gearing up for a marketing campaign in Poland, ahead of the import restrictions being dropped. This means that by April the market for Czech beers in the country will be opened up to a range of different beers from independent Czech brewers.

In 2002 Czech brewers exported 2 million hectolitres of beer in 2002, of which 145,000 hectolitres went to Poland, or about 7 per cent of total exports. Poland currently ranks as the sixth largest export market for Czech beer behind Germany, Slovakia, the UK, the US and Russia.

The Polish beer market is currently dominated by international players such as Heineken, Carlsberg and SABMiller, but Czech brewers are hoping that the distinctive flavours of their beers will be particularly attractive to Polish beer drinkers. However, even with the backing of industry bodies, the relatively small Czech beer industry is going to have a struggle on its hands to tackle the might of some of Europe's largest brewers.

Related topics Market Trends

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