ECONOMICS & MARKET INTELLIGENCE: Playing the health game using cheap beer

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FROM a global context, beer has become one of the world’s biggest consumer goods categories. Africa has been one of the fastest growing markets with South Africa being the largest beer market constituting about 30 percent of volumes, followed by Nigeria 15 percent and Angola seven percent.
Further, the low per capita beer consumption of about 10 litres, compared with a global average of 30 litres, indicates that there is a huge pool of potential to be tapped in Africa.

However, beer companies in Africa are subject to several regulatory controls given the adverse health and social consequences related to excessive alcohol consumption. Individual faith and lifestyle restrictions advocated by some religions against alcohol consumption has also served to somewhat limit the growth of volumes. According to the World Health Organisation (WHO), the harmful use of alcohol results in c2,5 million deaths each year.