You're reading: Obolon hopes Ukrainian breweries regain positions on Belarusian market

Kyiv-based public joint-stock company Obolon, one of the largest beer and soft beverage producers in Ukraine, expects that after the lifting of restrictions on supplies of their beers to Belarus, Ukrainian breweries will regain lost positions on the Belarusian market, the corporation's press service has reported, citing its president, Oleksandr Slobodian.

"Before the introduction of restrictions, our [Obolon’s] share of the Belarusian market was 7.2%, and last year the indicator fell to 1.7%," he said at a meeting with Economic Development and Trade Minister Petro Poroshenko on May 4, 2012.

The press service said that Poroshenko said that on May 4, 2012, the Belarusian government has suspended a resolution on licensing of Ukrainian beer, lifting all restrictions on its supplies.

The press service said that the minister expressed hope that Ukrainian beer supplies to the Belarusian market will soon resume.

"When I was staying in Belarus, I saw that Ukrainian beer is in great demand, and local consumers are ready to pay a high price for it, so we’ll do everything to make sure Ukrainian breweries have access not only to the Belarusian market, but also the markets of other countries," Poroshenko said.

The company said that in 2011, beer exports from Ukraine fell by 5.86%, to 280.8 million liters, while imports soared by 81.7%.

"Total exports fell first due to the sharp reduction of supplies of beer to Belarus, which fell by 77% on 2010," reads the report.

As reported, in the end of 2011, Kyiv-based Obolon Corporation, one of the biggest producers of beer and soft drinks in Ukraine, appealed to the Ukrainian leadership for help in protecting the interests of Ukrainian beer exporters on the Belarusian market. In particular, after a December 2010 resolution of the Belarusian government, which foresaw increases in minimum prices for beer, came into force, the price of Ukrainian beer on Belarusian market grew by 1.5 times, the company said.

Obolon is one of the largest Ukrainian manufacturers of beer, soft drinks, low alcohol drinks, and mineral water, and is the largest Ukrainian beer exporter. The corporation consists of the main plant in Kyiv and nine enterprises in the regions.

The main brands are Obolon, Carling, Zlata Praha, Bitburger, hike premium, Zibert, Desant, Zhigulevskoye, Yachminny Kolos (Barley Ear), Zhivchik, and Prozora.