Domestic sales January - March 2004: Slight rise in Finnish beer sales

Press release 28 April 2004

Domestic sales by members of the Finnish Federation of the Brewing and Soft Drinks Industry 1 January  - 31 March 2004 

Slight rise in domestic beer sales, but too early to evaluate changes in total consumption

During the first quarter of 2004 domestic sales of members of the Federation of the Brewing and Soft Drinks Industry remained roughly at the same level as the year before. Growth was 0.2%. Domestic beer sales were up 3.9% in January-March. The lowering of Finland's alcohol tax at the beginning of March stirred up the beverage market, but on the basis of just one month it is too early to draw conclusions regarding the permanent effects of lower prices on beer consumption. The accession of new countries to the European Union at the beginning of May will drastically change the situation again.

Beer sales fell according to expectations in the latter part of February as shops emptied inventories before the lowering of Finland's alcohol tax. Sales rebounded at the beginning of March when shops replenished stocks. Up to the end of March beer sales were 3.9% higher than the year before and totalled 84.2 million litres. This was 3.1 million litres more than last year.

Cider sales in January - March totalled 7.4 million litres, which was 0.2 million litres less than the year before. On the other hand long drink sales rose by 0.4%, totalling 4.6 million litres up to the end of March.

Sales of soft drinks totalled 59.6 million litres, which was 4.5 million litres less than the year before. Sales of mineral waters totalled 13.9 million litres and rose by 1.5 million litres or 12.0% compared with the year before.

DOMESTIC SALES JANUARY - MARCH 2004

Source: Member companies of the Federation of the Brewing and Soft Drinks Industry. The statistics do not include sales by actors outside the Federation of the Brewing and Soft Drinks Industry, nor private imports of brewery products, which are not statistically recorded.

The European Union will be enlarged on 1 May. Temporary restrictions on private imports of alcohol from other member states will also be abolished at this time, and it is likely that Finns will bring back considerably more alcoholic beverages from Estonia, for example. The effects of private imports on the beverage industry and employment should be monitored and the state should take measures to correct the situation if domestic consumption requires.

Beer is at its best immediately after bottling. If beer is stored for long periods of time, the taste is not at it's best anymore.

Additional information:
Communications Manager Katri Tuulensuu, tel. +358 (0)9 1488 7601, GSM +358 (0)40 777 1938
Managing Director Risto Saarinen, tel. +358 (0)9 1488 71

The Federation of the Brewing and Soft Drinks Industry promotes the interests of producers of beer, cider, long drinks, soft drinks and mineral waters in Finland. Its members are Oy Hartwall Ab, Olvi Oyj, Pirkanmaan Uusi Panimo - PUP Oy and Oy Sinebrychoff Ab. The Federation of the Brewing and Soft Drinks Industry operates in connection with the Finnish Food and Drink Industries' Federation and is among the three largest industries in the food and drink branch in terms of the value of production.