OREANDA-NEWS. August 19, 2010. The implementation of the 2006-2010 brewing industry development program was discussed at a session of the Council of Ministers Presidium on 10 August 2010. The session was chaired by Prime Minister of Belarus Sergei Sidorsky.

The program’s fulfillment has provided Belarusian breweries with quality barley. Close attention has been paid to the matter in Belarus in recent years. Systematic efforts have been put into forming feedstock areas, into step-by-step renovation of the seed stock with new foreign high-tech varieties and into cultivation of new domestic varieties. Measures have been taken to encourage executives and agricultural companies to grow quality brewing barley in requested amounts.

Three out of five goals of the program have been reached. In particular, several enterprises of the industry have been retooled, the beer output capacity has been increased to 68.5 million decaliters, and the malt output capacity has been increased up to 130,000 tonnes per annum.

In 2006-2010 Belarus’ brewing industry attracted USD185.5 million in investments, 20% more than the goal set by the program designed to guide the industry development in 2006-2010. Foreign investments stand at USD61.5 million. Two major breweries have been refitted and modernized – Brestskoe Pivo and Krinitsa. At present these companies are cutting-edge manufacturers that meet the latest requirements, Chairman of the Belgospishcheprom Concern Ivan Danchenko said in a session of the Council of Ministers Presidium.

Ivan Danchenko noted that beer sales per capita have been stuck at the same level in the last few years. 2009 saw beer consumption drop by 8-11% on the average just like it happened in Ukraine and Lithuania. He attributed the drop to the measures taken in Belarus to streamline retail trade and ban beer sales at public transport stops.

The official believes that Belarus should more vigorously develop takeaway trade, create specialized beer bars and restaurants. “Pouring money into more robust manufacturing capacities, our breweries spend little on selling their products,” he said. The existing retail chain, which sells beer and offers beer drinking opportunities, does not meet modern standards and capabilities of Belarusian companies, Ivan Danchenko is convinced.

Both breweries and local authorities that fail to encourage private business and the creation of establishments for recreation with a mug of beer are to blame. They should set up booths, umbrellas and so on in order to let people drink beer in a civilized manner, he said.

According to Ivan Danchenko, the major goals of the Belarus’ brewery development program through 2015 are to further develop the industry, boost the export and reduce the import to 5% from today’s 30%.

Ivan Danchenko offered to introduce licensing of the Ukrainian beer as one of the ways to cut the import of this product. The Belarusian side initiated an antidumping investigation against the Ukrainian beer, he said. “The Ukrainian side acknowledged that it dumped in order to avoid the introduction of an 11% antidumping duty. Several breweries of Ukraine introduced price limits on the supplies of beer to Belarus,” he stated.

In his words, all the aforesaid gives Belarus solid grounds to license the import of Ukrainian beer. The relevant document has already been worked out.

Ivan Danchenko also offered to include beer into the Union State commodity balance in order to level off the import/export of beer to Russia. “Belarus and Russia often make up forecast balances on sugar, meat, eggs and milk within the Union State. There are proposals to introduce such measures towards beer. The move would help regulate the beer import from Russia,” Ivan Danchenko said.

Besides, in an import-substituting effort, national breweries plan to develop the production of new beer descriptions. Among them are Obolon light, Oettinger and Zlaty Bazant dark.