18 Aug 2010 18:21

Hot July helps boost beverage production 30%-40% - Rosstat

MOSCOW. Aug 18 (Interfax) - The first month of the heat wave in Russia brought an increase in production of mineral water and carbonated beverages and a decline in beer and vodka production, Rosstat reported.

Production of mineral water and unflavored beverages rose 41% in July year-on-year to 1.1 billion half-liter bottles and 13.6% in January-July.

Sweetened carbonated beverage production rose 31% to 40.4 million half-liter bottles in July.

However, beer production fell 1.2% to 11 million dal in July and 8.3% in January-July.

Brewers in Russia expect the market to continue shrinking this year due to higher excise taxes on beer. Carlsberg, for example, forecasts the overall market to contract 7%-9% compared with 2009.

Production of liquor also fell, by 2% to 6.9 million dal for vodka, 8.3% to 676,000 dal for brandy and 52% to 515,000 dal for liquor with alcohol content above 25%. However, production of wine from grapes increased 31% to 4.6 million dal in July and was up 10.7% in the seven months.

Meanwhile, cigarette production in Russia continued to decline, falling 18.9% to 31.2 billion cigarettes in July and 5.7% in January-July.