Leader in a growing market
In 2015, we welcomed Myanmar Brewery (MBL), the largest beer producer in Myanmar, to the Kirin Group. Holding 80% market share, MBL is Myanmar's dominant brewer, but competition is heating up as global brewers enter this growth market.
To hold onto the reins of leadership, Kirin Group is applying its expertise and experience to help strengthen MBL's product development, marketing, operations, sourcing and other functions.
Our brand portfolio strategy is to sell more low-and medium-priced products and strengthen the brand, while adjusting brand architecture to encompass premium beers where we see growing demand. Of course, we are providing MBL with fully coordinated marketing support, including product concept design, in-store display tools, and consumer communication.
Myanmar, "Asia's last frontier," has been in the spotlight since 2011, when political and economic reforms began. Rapid economic growth, evidenced by GDP rising 7 - 8% over the past few years, includes an expanding beer market. Its size was 330 million liters in 2016, which, on a per capita basis, is still low compared to neighboring Thailand and Vietnam. As the economy continues to grow, we look forward to beer consumption rising dramatically.
To meet Myanmar's rapidly growing demand, MBL is greatly expanding its facilities for brewing as well as bottling and canning. With a view to markedly stepping-up production capacity by year-end, in early 2018, we added a high-efficiency production line with a capacity of 100 million liters per year.
Supporting this expansion is Kirin Engineering Company together with engineering divisions from Group companies. At home and abroad, Kirin Engineering has earned a high reputation for constructing and equipping manufacturing facilities, not only for the Group but also for other firms.
To help maximize investment efficiency in MBL, Kirin Engineering staff and Kirin Brewing engineering personnel posted to Myanmar share their expertise and experience. This collaboration covers overall design and selection of equipment, not to mention installation, fine-tuning and instruction in operation, thereby bringing out the facility's full potential.
Myanmar's economy is developing so rapidly that the nation may soon face an energy shortage. To minimize the energy consumption of each process, the MBL plant is investing in advanced energy-saving equipment, assisted in some areas by Joint Crediting Mechanism (JCM) financing from the Japanese government.
Drawing on the Group's expertise, we are taking steps to conserve water resources as well. Wastewater discharged from factories is purified in-house under strict water quality management while we continue to expand the capacity of facilities to handle increased production.
By boosting process efficiency and using advanced technology, we aim to achieve a 25% reduction in unit water usage by 2020, relative to 2015 levels, a notable achievement in the industry.
With our contribution to economic growth and environmental protection, the Kirin Group is committed to Myanmar's sustainable development.