Report says beer sector is promising in Philippines food and drink market

In keeping with its size and multi-category presence, San Miguel Corp (SMC) continues to dominate developments, according to the Philippines Food and Drink Report 2009 report by Research and Markets.

Most notable has been the company's independent listing of its domestic beer business, San Miguel Brewery (SMB).

Among several interests being spun-off or disposed of in order to raise capital, the beer unit performed strongly on its stock market debut, despite local trading uncertainty that saw SMC slash the price and volume of shares on offer.

The Philippines has a developed alcoholic drinks sector with SMC having helped establish industry best practices that drive consumption growth.

To 2013, the forecasts for the value sales of alcoholic drinks to increase by 51.8%, while value sales in the soft drinks industry will climb by 29.2%.

In November 2008, China's Hangzhou Wahaha entered the local soft drinks sector, while Japanese beer giant Kirin's $1.26 billion bid for a 43.25% stake in newly independent SMB further underlines the potential of the local beer sector.