Severe constraints on credit and pressure on consumer's disposable spend will mean 2011 will be another tough year for the drinks industry in Ireland, Heineken has said.
The company's Irish operations had revenues of €402 million in 2010, according to results published this morning, though no comparative figures for Heineken's Irish operations for 2009 were released by the company.
However, figures for Heineken's overall operations show that sales in Europe were under pressure last year, while it increased sales in emerging markets such as Latin America, Africa and Asia.
The company said Ireland's per capital beer consumption continues to fall is now at 9.19 litres of pure alcohol - a level seen last in the mid-1990's, and representing a 20 per cent fall from its peak levels in 2001.
Last week Diageo said that falling sales in Ireland has contributed to the company's 4 per cent decline in net sales of Diageo’s beer brands in the final six months of last year. Weakness in the on-trade sector, particularly in rural areas, saw sales of Guinness decline, according to the drinks group.
Heineken Ireland, which includes operations north and south of the border, said it increased its market share by 0.2 share points on 2009 levels and now holds 26.3 per cent of the Irish beer market. Heineken, which also owns the Coors Light and Murphy's brands, said it now has a market share in excess of 51 per cent of the pub lager segment.
The Northern Ireland marketplace continues to be a strategic development market for Heineken Ireland the company said with Heineken brand sales growing by 40 per cent in 2010.
IT said the 20 per cent excise reduction in 2010 resulted in a 6 per cent growth in the off trade sector last year, reflecting a decline in cross border purchasing.
The company employs 584 people on the island of Ireland. As well as Heineken beer the company owns Coors Light, Amstel, Fosters, Beamish Stout, Murphy's Stout, as well as specialty beers including Sol and Tiger.
Results for Heineken's parent company showed that global sales increased by 10 per cent to €16.1 billion in the year, while operating profits rose 41 per cent to €2.5 billion as the group saw sales increase in emerging markets in Latin America, Africa and Asia.
