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Cambodia’s beer market growing more crowded

Cambodia’s beer market growing more crowded

111026_07
Cans of Cambodia Beer are stacked on top of one another at the Khmer Brewery last week.

The Kingdom’s latest brewery is set to launch on November 1, introducing a new player into the growing Cambodian beer market, insiders said yesterday.

The US$60 million Chip Mong Group funded Khmer Brewery plant, which has partnered with major international brewery manufacturer Ziemann Group, will aim to produce 1 millioin to 2 million hectolitres annually.

“Currently, there is not enough quality beer in the Cambodian market to meet demand,” Chip Mong Group chairman Chen Yiye told the Post yesterday.

Khmer Brewery, which is situated in Choung Ek commune on the outskirts of Phnom Penh, has imported all-German technology to operate the brewery

“There are not many companies who can compete with this,” Chen Yiye said.

She added that the opening of the Cambodian brewery is only the first move in a regional strategy.

“This is only our first beer factory, but we also plan to target markets in other countries in the future.”

Borom Chea, brand manager for Khmer Brewery, said the public will now have “a wider choice of quality beers,” adding his company offers “a state-of-the-art brewery and international-quality beer that Cambodia can be proud of.”

While Khmer Brewery cited the Kingdom’s mainstream brewers as the prime competition, the company will follow a long-term strategy over two years, according to Borom Chea. Koh Tai Hong, general manager of Cambodia Brewery Limited, told the Post yesterday that there is room for more quality breweries in the country.

“Welcome to the competition. If you look at the amount of imported beers coming from neighbouring countries, it shows that we have insufficient beer to supply the demand,” he said.

However, it usually takes time for new entrants to penetrate the market, he added.

“It will always take time for a product to adapt, it usually depends on how the market reacts, which is down to the quality of the product, Koh Tai Hong said. Representatives from Cambodia-based breweries Kingdom Brewery and Cambrew declined to comment yesterday.

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