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Carlsberg Myanmar Export Beer to China for the First Time

Carlsberg Myanmar announced on September 18 that it has exported 36 million units of 330 ml cans (12,000 hectoliters) of leading beer brand, Tuborg – to Carlsberg China. The news marks the company’s first export of the brand to China, a move made in response to increasing demand for Tuborg in the Chinese market.

“We are very excited that Carlsberg is not only able to brew and sell quality beers in Myanmar, but now also to international consumers”, said Mr Vaibhav Khedkar, Supply Chain Director at Carlsberg Myanmar.

“This export has proven our team’s capabilities when working to a very tight schedule with the order successfully delivered by truck to China within just 10 weeks. This tight turnaround happened despite the export having to go through procedures, from adjusting the formula to match the taste of Chinese consumers and ordering cans to making sure export licenses and Myanmar FDA approval were in place. We are extremely proud for the achievement of our team on behalf of all Myanmar”, added Khedkar.

Notably, with beer smuggling and illicit trade a problem in Myanmar, Carlsberg Myanmar’s export of Tuborg to China is an important step forward in bringing about positive change for the beer industry in Myanmar.

According to research firm Euromonitor International, 30 percent of all beer consumed in Myanmar in 2016 was illicit trade resulting in a US$ 50 million tax revenue loss for the country. Beer smuggling results in large quantities of beer and liquor being smuggled across borders and openly sold throughout the country. In addition to tax revenue losses, the issue causes a lot of problems such as health safety issues and also undermines local businesses, a challenge to law and order enforcement.

Carlsberg Myanmar’s export to China has helped the company contribute a significant sum of taxes to the Myanmar Government as a result of legal cross-border trade. The company is an active member of Eurocham Myanmar and supports the organizations efforts to raise awareness of illicit trade issues.

To-date, Carlsberg has invested over US$ 110 million in Myanmar. The company employs more than 750 people in the country, 99% of which are Myanmar nationals. Last year, Carlsberg contributed MMK 25.8 billion in taxes and has been regarded as a top taxpayer in the country in terms of Special Goods Tax and Commercial Tax. The company has also been nationally recognized as a leading employer with five of Myanmar’s best employer awards in 2019.

Source: https://mmbiztoday.com/carlsberg-myanmar-export-beer-to-china-for-the-first-time/