15%
48%
22%
Direct effect (breweries)
Indirect effect (suppliers)
Hospitality industry
Retail
5 | Induced effects of the brewing sector
Hospitality sector
The economic impact of the breweries on
the hospitality sector is assessed as follows :
About 19% of all beer consumed in Sweden is sold by
the hospitality sector (on-trade), which means 934,800
million hectolitres is sold on-trade.
The average consumer price of beer in Swedish pubs and
restaurants is estimated at 8.4 euro a litre (including VAT),
so that total consumer spending on beer in the hospitality
sector is almost 782.7 million euro (including VAT).
Net consumer spending on beer is thus estimated
at 626.1 million euro (using a 25% VAT rate).
With an average hospitality turnover of 71,228
(excluding VAT) per person, this results in 8,791
hospitality sector jobs attributable to beer sales.
Retail
The importance of the brewing sector for retail
can be similarly assessed :
About 81% of total beer consumption (3.9 million
hectolitres) in Sweden is beer sold by the off premises.
With an average consumer price of 3.1 euro per litre
(including VAT), total retail consumer spending on beer
is estimated at 1.2 billion euro.
Total consumer spending excluding VAT is thus 987.7
million euro.
With turnover per employee estimated at 363,681 euro
(excluding VAT), this means around 2,716 people owe
their jobs to retail beer sales.
In 2010, approximately 4,000 persons were employed in
Swedish breweries. An additional 2,900 jobs were created
in the supplying sector. Some 8,800 jobs were provided in
the hospitality sector and 2,700 jobs in the wholesale and
retail due to sales of beer. Thus, total employment due to
beer was 18,400 jobs.
›
Graph 35.3. / Total employment because of beer : 18,400 jobs
›
Source : Ernst & Young calculations
6 | Total employment
due to beer
35
235
Sweden