Foreword by the President
of The Brewers of Europe
It gives me great pleasure to
commend to you this important
study. The Brewers of Europe,
uniting brewing associations
from the European Union,
Norway, Switzerland and Turkey,
commissioned this report in order
to make available an independent
analysis of the economic impact
of the brewing sector as a whole.
This comprehensive and authoritative insight demonstrates
the enormous economic contribution delivered by beer
throughout the whole value chain, from suppliers of
agricultural raw materials, utilities and packaging, to the
brewing companies themselves, to those who transport,
market, retail and serve our products.
Ernst & Young and Regioplan have quantifed the
economic impact made by the brewing sector in each
country in terms of the number of jobs that are supported,
the value generated in monetary terms and the revenues
provided to national governments. The headline fgures in
the EU section of the report - total sales amount to €106
billion, direct and indirect employment totals 2 million jobs
and government revenues beneft by €50.6 billion – make
impressive reading.
The study has tracked developments across Europe since
2008. There are early indications that the brewing sector
has weathered the initial impact of the global economic
storm, with a slight recovery in 2010. The study underlines
the fact that the European brewing sector has resilience,
remains a global leader and has a very positive impact on
the European economy.
However, it is all too apparent that global economic
recovery remains fragile and it is essential to nurture those
sectors that can grow the economy. The report clearly
demonstrates that the economic downturn, coupled with
rapidly increasing taxes on beer, has had a detrimental
effect on Europe’s brewing sector and the contribution
beer makes to the economy. The fgure of 260,000 jobs
lost in just two years is shocking in this regard. A 6%
reduction in government tax receipts, despite beer excise
duty rates being increased in 15 EU Member States is
another pertinent indicator.
A notable impact has been the consumer shift from
on-trade (pubs, bars and restaurants) to off-trade
(supermarkets and convenience shops), with the
regrettable knock-on effect this has on the brewing
sector’s economic impact as a whole, reduced principally
because serving beer in on-trade, rather than selling in the
off-trade for home consumption, is more labour intensive.
This report, whilst clearly presenting the contribution that
beer makes to Europe’s economy, shows how, with the
right support from governments and policy makers, the
brewing sector can play a leading role in the economic
recovery that is of such fundamental importance to us all.
Alberto Da Ponte
President of The Brewers of Europe
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Foreword by the President of The Brewers of Europe