
| Bud Gets Snowed Out |
| Pubs Close at Record Pace |
| Bud Light is losing to Snow Beer in a battle for world’s sales leadership Even not being sold globally, China’s Snow Beer is forcing the US Bud Light out of the position as the world’s best selling beer. Snow Beer, the product of a joint venture between SABMiller PLC and China Resources Enterprise Ltd is tops in terms of consumption. Last year 1.35 billion gallons, of Snow were consumed compared with 48.4 million for Bud Light as a stand- alone brand. However, Bud Light remains the top brand when sales of its Budweiser brand are included. The Chinese brewery's production was less than one-tenth of its current level six years ago. Beer consumption per person in China is lower than that in the USA, or Europe, but the nation’s beer market has been the world's largest for the past six years and is growing 10% a year. China's price-sensitive mass market produces thin profit margins of roughly $2 per hectolitre, compared with $50 to $80 in Europe and the U.S. |
| The UK is seeing 36 pubs a week close their doors, according to the British Beer and Pub Association (BBPA). That's nine times faster than in 2006 and 18 times faster than in 2005. With the industry under huge strain as cash- strapped customers stay at home, the BBPA is calling on the government to cut duty on alcohol. Despite this, the BBPA and other campaigners say the government is increasing the burden by shackling the industry with high excise duty. In March, alcohol tax rose 6% above inflation, boosting the cost of a pint by 4p. Chancellor Alistair Darling has said that alcohol duty would continue to rise by 2% above inflation in each of the next four years. An American brewery is now producing beer based on yeast dating from about the Jurassic period. Raul Cano, the director of the Environmental Biotechnology Institute at California Polytechnic State University in San Luis Obispo, found a yeast strain in a piece of Burmese amber dating from about 25 million to 45 million years ago. The result is Fossil Fuels Brewing Co., fermenting Cano’s industrial discovery. The American company -- in which Cano is a partner, along with another scientist and a lawyer -- has just introduced its pale ale and German wheat beer. |

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