Why some breweries, beer brands go extinct

By Abimbola Mohammed

The list of extinct breweries and beer brands is a long one. However, some may have vanished for a variety of reasons. While some went into extinction because they couldn’t meet up with tax payment, lack of funds, and harsh government policies, others disappeared as a result of fundamental mismanagement from owners of the companies.

The world has seen an exponential increase in the production of beer since the dawn of the 1900s. Many breweries and beer brands have been born and many have also disappeared. As technology advances and production methods improve, beer brewing and marketing continue to evolve.

MARKETING EDGE intelligence reveals why and how some breweries and beer brands vanished from the market landscape. The following are some of the major breweries and beer brands that went extinct:

Bendel Brewery: Bendel Brewery Limited was established in 1971 by the Mid-Western Government headed by General Samuel Ogbemudia and was first known as BAUWL Brewery. It had an initial installed capacity of 100,000.00 hectolitres per annum. The Brewery was commissioned on 1st October, 1974 but did not commence production of Henninger beer until April 1975. It was launched as Crystal beer in 1976 after the brand Henninger failed to hit its expected target. Under the new name, the brand flourished.

It is important to note that for many years the Brewery recorded substantial profits and paid dividends to the State Government. The Success of Prof. Alli’s government from 1979 to 1983 was greatly enhanced by the financial contribution from Bendel Brewery.

Golden Guinea Breweries Plc: Golden Guinea Breweries first opened for business in 1963, in the post-independence Nigeria. The company was then known as Independence Brewery Limited. It started with an annual capacity of 1 million gallons. In 2003, the firm suffered a fire outbreak at its facilities which damaged equipment leading to the shutdown of the company. The company is located in Abia State.

The Nigerian Export-Import Bank (NEXIM) recently gave a grant of N3.6 billion to the management of Golden Guinea Breweries Plc in an attempt to get the company back to life. In 1971, the company changed its name to Golden Guinea Breweries and four years later, it was revamped and an extension built by the German firm Coutinho Caro which later participated in an equity offering issued by the firm.

The new investor, Pan Marine Investment Limited, has promised to bring the company back to life in 2018. The company holds franchise rights to produce and market Golden Guinea Beer, Holsten Brewery’s Bergedorf premium lager beer and Bergedorf Malta in Nigeria. Production at the brewery was hampered by a fire incident in 2003 but recent attempts have been made to resuscitate the firm. The company held franchise rights to produce and market Holsten Brewery’s Bergedorf premium lager beer and Bergedorf Malta in Nigeria.

Sona Breweries: Sona Group sold its flagship subsidiary, Sona Breweries to Nigerian Breweries in 2010, as a result of the intense competition in the brewery segment of the Nigerian market. Sona Brewery produces Maltonic, Gold kanterbrau, Tusk, Williams Dark Ale and Goldberg Lager Beer.

Some of its brands like Goldberg and Life beer and other value brands formerly on the stable of Sona Breweries have continued to perform well and have been largely responsible for helping NB Plc post strong growth despite the recession.

Pabod Breweries Limited was founded in 1978. The company’s line of business includes the manufacturing of malt beverages such as beer and liquors. The company’s beers are produced and distributed in Africa, enabling beer dealers and individuals to access a wide range of services for their operation and consumption. Pabod Breweries Limited was one of the three brewing companies in Nigeria owned by SABMiller prior to the October 2016 acquisition by Belgian brewer AB InBev. The company is located in Rivers State. In December 2017, AB InBev completed the merger of its three breweries in Nigeria – Pabod Breweries Limited, International Breweries plc and Intafact Beverages Limited. They were all folded into the name International Breweries Plc.

Mopa Breweries, Ltd: Mopa Breweries is a Nigerian brewery founded in 1980 by Chief J. Adewale Bello in Kogi State, Nigeria. The brewery is based in the town of Mopa in the Mopa-Muro Local Government Area. In 2005, the Canadian company Alexus-NextGen bought a controlling interest. The company produces One Lager, a popular lager, Lion Stout, and non-alcoholic malt beverages.

Standard Breweries: Standard Breweries was established in 1981, the company was located at Km 12, Alomaja Village, Ijebu Old Lagos Road, Ibadan, Oyo State, Ibadan, Oyo, Ibarapa Central. The company produced Club Lager. The company is owned by Late Chief Bode Akindele.

Harp Premium Lager is a Nigerian beer brand with Irish roots first brewed in Nigeria Established in 1974. Nigerian beer brand with Irish roots, Harp was first brewed in Nigeria by Guinness Nigeria in 1974 over 40 years of brewing excellence.

Premier Breweries Plc (PREMBREW): Premier Breweries is a food & beverages company based out of Harbour Industrial Layout, Onitsha, Anambra State, Nigeria.

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