Brewing Industry: The Pro's

Brewing Industry: The Pro's

BREWING INDUSTRY: Beers, Spirits and Wines

Advantages of the brewing industry as an investment:

(i) 'Drink' has always been regarded by the working man less as a luxury than as a necessity, and as one of his regular outgoings that he would dispense with last.

Unlike beer and spirits, wine is regarded less as a necessity than as an 'extra' and its consumption would de-cline in a recession.

(ii)Alcoholic drink is one of the chief sources of government revenue, and consumption is maintained largely unchecked even with increases in government duties. This is true also in the case of price increases by the industry.

(iii)Brewing and distilling companies nowadays expand their activities in many directions: soft drinks, wines, hotels, motels, 'wine and dine restaurants, foods, property, CheID1CSS and plastics.

The industry supplies products not only to its own restaurants and other licensed premises, but also extends these amenities to other catering establishments.

(iv)There is a large and growing export trade; e.g., more than £50m per annum of whisky and gin is sent to U.S.A. alone.

(v)The 'development boom' is greatly profiting the industry in many ways, chiefly through the We of old properties, originally acquired very cheaply, as valuable building sites.

(vi)Lowering of production and distribution costs by pooling resources through mergers.

(vii)Consumption of wine has lately increased through more sophisticated ways of living, owing to larger earnings and more foreign travel.

(viii)Steady increase of sales through large-scale and highly successful advertising, revealing the most skilled and efficient publicity expertise in all media.

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