3% 4%
7%
86%
Direct effect (breweries)
Indirect effect (suppliers)
Hospitality industry
Retail
5 | Induced effects of the brewing sector
Markets for the retail and catering industry in Italy are
more balanced than those in other Southern European
countries, with around 43% being sold by the hospitality
sector and 57% via the retail channel
42
.
Hospitality sector
Many jobs in the Italian hospitality sector can be
attributed to the sale of beer :
43% of beer consumption in Italy occurs
in the hospitality sector.
This means 7.4 million hectolitres of beer is consumed
in Italian pubs, restaurants and other hospitality facilities.
The consumer price of beer is approximately 10.30 euro
per litre of beer (incl. VAT) in the hospitality sector.
so that total consumer spending on beer in the
hospitality sector
43
is 7.6 billion euro (including VAT).
Net consumer spending on beer is thus estimated
at 6.4 billion euro (using a 20% VAT tariff).
With an average hospitality turnover of 53,323 euro
(excluding VAT) per person, this results in approximately
119.390 hospitality sector jobs attributable to beer
sales.
Retail
Employment in retail arising from beer sales can
be similarly assessed :
Approximately 57% of total Italian beer consumption
is of beer sold by supermarkets and other retail
companies.
With an average consumer price of 1.88 euro per litre
(including VAT), total retail consumer spending on beer
is estimated to be 1.8 billion euro. Total consumer
spending excluding VAT is thus 1.6 billion euro.
With turnover per employee estimated at 278,309 euro
(excluding VAT), this means 5,335 people owe their jobs
to retail beer sales.
With turnover per employee estimated at 170,700 euro
(excluding VAT), this means 1,950 people owe their jobs
to retail beer sales.
In 2010, approximately 4,000 people were employed
in Italian breweries. Employment in supplying sectors is
important with a total number employed in these sectors
arising from the brewing sector of around 10,500.
The hospitality sector has the largest share with around
119.391 jobs, and there are 5,535 jobs in the retail sector
which can be attributed to the sale of beer. The total
employment impact due to beer production and sales
in Italy is therefore 139.442 jobs. This represents a loss
of almost 4400 jobs compared to 2008.
›
Graph 22.3. / Total employment because of beer : 139,442
›
Source : Ernst & Young calculation (2011)
(see Annex III for an explanation of the methodology).
6 | Total employment due to beer
42
Source : Italian brewers’ association, Associazione degli Industriali della Birra e del Malto 2011.
43
Source : Italian brewers’ association, Associazione degli Industriali della Birra e del Malto 2011.
The Contribution made by Beer to the European Economy
142