Ukrainian breweries believe Belarus limits on beer imports from Ukraine discriminative

Ukrainian breweries believe that restrictions placed by Belarus on beer imports from Ukraine are discriminative.

Market players told Interfax-Ukraine that currently supplies of Ukrainian beer to Belarus has been suspended due to the country's actions.

They said that from December 31, 2010 Belarus not only introduced single-use licenses for imports of beer from Ukraine, but also demanded Ukrainian breweries increase their beer prices.

"The increase of the price of Ukrainian beer proposed by Belgospischeprom violates market conditions and makes impossible the work of Obolon Company on the market. The said actions are of a discriminative character and give a chance for other foreign producers to expand their presence on the Belarusian market," reads a press release of Kyiv-based Obolon, one of the largest breweries in Ukraine.

Public JSC SUN In Bev Ukraine, which is among top three largest breweries in Ukraine, said that the company signed a protocol on setting minimum prices of malt beer in an annex to an agreement with Belgospischeprom. The company does not say if it has managed to resume beer supplies to Belarus.

"We've signed the agreement under unfavorable terms for us, so as not to let down out distributor partners in Belarus," reads a company press release. However, the prices were not disclosed.

SUN In Bev said that in August 2010 Belgospischeprom reported that it plans to introduce the licensing of Ukrainian beer imports. The company then said that the measure would be a discriminative one if the licensing were applied only to Ukrainian beer.


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