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Nigeria Beer Market Insights 2013

Nigeria beer market: Three brewing groups control 99% of beer volume

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2014-01-31 23:39:02 - Nigeria Beer Market Insights 2013 - a new market research report on

2012 saw consumption in the Nigeria beer market rise, but growth has slowed to just over 3% from a much higher rate in each of the two previous years. This deceleration is almost all attributable to affordability. In its principal channel - on-premise - the average price of a bottle of beer has risen by 28% in just two years.

Beer sales are officially controlled by the issuing of licences to specific outlet types - bars, restaurants, hotels and grocery stores/supermarkets. The Nigerian beer market is already well-developed and it ranks only second to South Africa in the continent. Per capita consumption is, however, quite low at less than 10 liters per year.

Lager has always accounted for the greater part of



demand and since 2009 has consistently rated at just under three quarters of volume. There are no Private Label beers currently available in Nigeria. The fact that the major brewers have introduced the discount brand concept lessens the opportunity for them. Three brewing groups control all but 1% of Nigerian beer volume.

Nigeria´s beer market has long been characterized by the prominence of two brewers - Nigerian Breweries and Guinness Nigeria. The former has always enjoyed a significant majority of supply and recent acquisition and consolidation has also given it direct ownership of companies it had only previously dealt with under bottling contracts.

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Mike King
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