Gov’t licences two new breweries

Information from investment promotion agency, Rwanda Development Board (RDB) has indicated to The New Times that government has licensed two more breweries. The country’s sole beer maker, Bralirwa S.A, is set to lose its long standing monopoly to Brasserie des Mille Collines and Kenya’s East African Breweries Limited.

Thursday, October 08, 2009
BREAKING NEW GROUND:Tribet Rujugiro

Information from investment promotion agency, Rwanda Development Board (RDB) has indicated to The New Times that government has licensed two more breweries.
The country’s sole beer maker, Bralirwa S.A, is set to lose its long standing monopoly to Brasserie des Mille Collines and Kenya’s East African Breweries Limited.

According to available information, Brasserie des Mille Collines is fronted by local tycoon, Tribet Rujugiro.
When contacted for comment Brasserie des Mille Collines, did not wish to divulge details of their entry into the local market.

The Brewery’s director, Jarry Gasasu, said that at the moment their focus is on establishing the basic structures of the new company prior to its formal entry and launch.

"I cannot give you further details of our entry programme at this very moment, only that, yes, as an entity that has been newly licensed to play in this market, we are organizing how we intend to make an entry,” he said.

At the time of its registration with RDB, the company had mooted investing US$3.6 million and it’s estimated that it will directly employ 100 employees when it launches later in the year.      

In response to the entry of new producers, Bralirwa’s Managing Director Sven Piedriet countered any fears of competition, saying that they are ready for the incoming battle for the market share.  

Further still, the beverages market is likely to experience additional changes coming from externally generated competition against these two players.

East African Breweries Ltd (EABL), the largest beer manufacturer in the region, is also stepping up its presence locally.

Its primary listing is on the Nairobi Stock Exchange, and is cross-listed on the Uganda Securities Exchange and Dar-es-Salaam Stock Exchanges.

EABL has a controlling stake in Kenya Breweries, Uganda Breweries and a 20% in Tanzania Breweries.
It also owns United Distillers and Vintners (Kenya) Limited and Universal Distillers Uganda.

EABL has set its sights on capturing the regional market and is stepping up its operations in Rwanda, Burundi and Eastern Democratic Republic of Congo which is considered to be Bralirwa’s backyard.

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