Some readers will be familiar with the struggles of small breweries, craft beer, pubs and hospitality in general. Just this week Jolly Good Beer, a well known craft beer distributor, shut with immediate effect.
However Big Beer also has its struggles. There isn’t a violin small enough to cover it but it remains of wider interest.
Carlsberg has reported issues in China- where it competes with Heineken and ABI. The Chinese beer market is down 5% and looks set to continue to decline. Carlsberg still managed to increase its share of the declining market by 3% however.
In the UK market Carlsberg has been hit by Molson Coors launch of fake Spanish lager Madri.
Recently Marstons sold its brewing interests to Carlsberg including a substantial cask beer operation. Its clear that as a global brewer Carlsberg’s interests are firstly in lager and secondly mostly elsewhere around the globe.
The losers here will be UK brewers, where Carlsberg will no doubt seek to squeeze to safeguard its own business, pub and drinkers, perhaps particularly those who cask ale.
Is the market working here? For the few (Carlsberg shareholders) but not as often for the many.
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