Thai beer market controlled by Boon Rawd Brewery

In 2012, the Thai beer market experienced solid growth due to the favourable macroeconomic factors and the excise hike on local white and brown spirits.

Thailand's economy continued to expand due to the low unemployment rate, decrease in inflation, the recovery from the flood disaster, and government spending.

Beer consumption in the on-premise channels saw solid growth, mainly resulting from the 2012 UEFA European Football Championship during the middle of 2012.

According to a recent market report, 'Thailand Beer Market Insights 2013,' the ASEAN Free Trade Agreement (AFTA) was the major factor which drove both import and export beers in 2012 because the agreement eliminated tariffs on beer imported from ASEAN countries to Thailand as well as beer exported from Thailand to ASEAN nations.

The consumption trend of beer continued to rely on domestic economy lager, especially in terms of market volume, owing to its affordable prices.

The trend of switching was witnessed during the economic crisis in Thailand; a number of beer drinkers opted for cheaper alcoholic drinks, with beer considered to be expensive compared to other products, for example Sura Khao, mixed spirits and ad-mix whiskies.

In 2012, the government announced an excise rise on spirits, brandy, and whisky. The government did not however, make any adjustments for beer.

Men continued to remain the key consumers for beer in 2012, whilst women opted to drink other alcoholic beverages such as flavored alcoholic beverages (FABs) or wine coolers.

In 2011, Boon Rawd Brewery Co Ltd maintained the most significant share of 59% in terms of total volume in the beer category. Thanks to its strong portfolio and the brand loyalty to Singha and Leo and the imported brands Corona Extra, Miller Genuine Draft, Miller Lite and Asahi Super Dry, the company managed to maintain its leading position and enjoyed good sales.

Thai Beverage Plc was the second biggest player with a share of 31%, followed by Thai Asia Pacific Brewery Co Ltd as the third player with a share of 5%.

For more information on the Thai beer market, see the latest research: Thai Beer Market

Follow us on Twitter @CandMResearch