Report Coverage
This report focuses on the beverages sector in Angola with information on the size and state of the industry and the activities of major and niche players. There are profiles of 19 companies including Refriango, the soft drink market leader, Distell Angola, which has been producing JC Le Roux in Angola since 2012 and smaller companies such as Aquacita, which produces bottled water.
Introduction
This report focuses on the beverages industry in one of Africa’s most dynamic markets, the Republic of Angola. The multi-billion dollar industry plays a key role in the Angolan economy, providing about 13,600 direct jobs and about 42,000 indirect jobs across the value chain. There are about 40 beverages factories in Angola that make everything from beer, spirits and wines, to soda drinks, mineral water and fruit juices. The sector contributes about 4% to GDP, according to figures from the country’s statistics agency Instituto Nacional de Estatística (INE). Total domestic beverage consumption was about 3 billion litres per year in 2018, with 90% of demand met by locally-produced beverages. There is plenty of room for the sector to expand once the economy begins growing again, with installed local capacity at over 4.5 billion litres per annum, and particularly as the country exported just 0.6 million litres in 2017, according to the Angola Beverage Industries Association (AIBA).
Strengths
• All segments of the beverages industry have experienced sustained growth in recent years.
• Angola is one of the largest alcoholic beverages market in sub-Saharan Africa.
• Substantial investments have been made in capacity expansion and the industry is generally able to meet local demand.
• The Angolan beverage industry provides around 13,600 direct jobs and about 42,000 indirect jobs.
• The beverages industry is one of Angola’s most developed industries.
• There is a well-established wine-drinking culture in Angola. The country is the second-largest market on the continent for wine and spirits.
Weaknesses
• Although there has been progress, Angola’s business environment still ranks as one of the most challenging in the world.
• Infrastructure is underdeveloped and, with the exception of Angola’s major urban centres, there is a scarcity of modern retail facilities.
• Productivity is constrained by power outages.
• The industry is poorly regulated.
• There are frequently payment delays to international suppliers, due to foreign currency restrictions.
• There is a shortage of skilled labour.
• Though improving, inputs are mostly imported which increases production costs.
Opportunities
• Development of the spirits market, which is relatively untapped.
• Development of wine farming.
• Rising urbanisation, together with the emerging middle class, continues to drive demand across all segments.
• The development of craft beer, spirits and sodas.
• The development of wholesale, retail and distribution networks in underserved areas.
• The expansion of e-commerce.
• The export of locally manufactured beverages to other regional markets.
• Trading consumers up from informal homebrews branded beverages.
Threats
• Further depreciation of the local currency and foreign exchange constraints.
• Heightened geopolitical tensions.
• Import restrictions and higher customs duties, which will have a particularly negative impact on importers and distributors operating in the market.
• The subdued domestic macroeconomic environment.
• The sustained weakness of the crude oil price.
• The weakening of global markets.
Outlook
The Angolan beverages industry continues to face significant challenges. Despite this, domestic production of beer, carbonated soft drinks and bottled water is expected to continue to rise over the next five years at the expense of imported beverage sales. While some operators may be operating fewer production lines, many are still investing in the industry in preparation for when the market begins growing apace again. The increasing availability of local inputs such as ingredients and packaging material is likely to make the sector more competitive. Angola’s ascension to the Southern African Development Community – which could happen as early as 2019 – will be a major boost for South African exporters. Currently two customs duties are planned, with one for South Africa and one for the other members of the economic bloc. In addition, new investment rules are likely to make it more attractive for large players to expand and to even use Angola as a base to export to the rest of the continent.
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Industry Landscape
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Historical Reports
The Beverages Industry in Angola 2016-01-25
R 1 900.00(ZAR) estimated $105.39 (USD)*
View Report Add to CartTable of Contents
[ Close ]PAGE | ||
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1. | INTRODUCTION | 1 |
2. | COUNTRY INFORMATION | 1 |
3. | DESCRIPTION OF THE INDUSTRY | 2 |
3.1. | Industry Supply Chain | 4 |
3.2. | Geographic Position | 5 |
4. | SIZE OF THE INDUSTRY | 7 |
5. | STATE OF THE INDUSTRY | 10 |
5.1. | Local | 10 |
5.1.1. | Corporate Actions | 14 |
5.1.2. | Regulations | 14 |
5.1.3. | Enterprise Development and Social Economic Development | 15 |
5.2. | Continental | 15 |
5.3. | International | 17 |
6. | INFLUENCING FACTORS | 20 |
6.1. | Economic Environment | 20 |
6.2. | Government Interventions | 21 |
6.3. | Socio-Political and Socio-Economic Environment | 22 |
6.4. | Socio-Cultural Environment | 23 |
6.5. | High Input Costs | 23 |
6.6. | Technology, Research & Development (R&D) and Innovation | 24 |
6.7. | Environmental Concerns | 25 |
6.8. | Labour | 25 |
6.9. | Cyclicality | 26 |
6.10. | Branding, Advertising and Marketing | 27 |
6.11. | Informal and Illegal Trade in Beverages | 27 |
6.12. | Health and Safety Concerns | 27 |
7. | COMPETITION | 27 |
7.1. | Barriers to Entry | 28 |
8. | SWOT ANALYSIS | 29 |
9. | OUTLOOK | 30 |
10. | INDUSTRY ASSOCIATIONS | 30 |
11. | REFERENCES | 31 |
11.1. | Publications | 31 |
11.2. | Websites | 31 |
APPENDIX 1 | 33 | |
Summary of Notable Players | 33 | |
COMPANY PROFILES | 35 | |
AGUA MINERAL DO TCHIOWA LDA | 35 | |
AQUACITA LDA | 36 | |
DISTELL ANGOLA LDA | 37 | |
EMPRESA DE CERVEJAS N\'GOLA S.A. | 39 | |
GRUPO CASTEL ANGOLA | 40 | |
MOSTRATUS LDA | 42 | |
NOSSO SUPER GESTAO DE SUPERMERCADOS LDA | 44 | |
NUTRE AO LDA | 47 | |
PERNOD RICARD S.A. | 49 | |
POMOBEL LDA | 57 | |
REFRIANGO S.A. | 59 | |
SCORE DISTRIBUICAO S.A. | 62 | |
SHOPRITE HOLDINGS LTD | 64 | |
SOCIEDADE DE DISTRIBUICAO DE BEBIDAS DE ANGOLA LDA | 69 | |
SPAR GROUP LTD (THE) | 71 | |
SUMOL+COMPAL S.A. | 76 | |
TEIXEIRA DUARTE S.A. | 79 | |
WEBCOR S.A. | 83 | |
ZAHARA COMERCIO S.A. | 86 |