01 RSA Present a Tie July 2009

8/4/2019 01 RSA Present a Tie July 2009

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Welcome to the World of

Presentation to AGRIFORUMCape Town June 2009


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headingContent

1. Our Product: Beer

2. Our Market Environment

3. Heineken and Society : Agricultural projects Africa

4. Heineken South Africa


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headingAll Natural Ingredients

Nature provides us with beers 4basic ingredients

All these ingredients can be varied in endless combinations

Some estimate there are around 40.000 different beers in the world!


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No Additives; No Preservatives

No Fat

Vitamins B 1, 3 and 11

Minerals

Antioxidants

Our Beers are 100% NaturalStorehouse of Nutrients


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headingRelatively Low in Calories


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headingContent



3. Heineken and Society : Agricultural projects Africa



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headingHeinekens five operating regions

* = the part of the total group volume that relates to beer

125 breweries in more than 70 countries

56,000 employees

Group Beer Volume*: 162 million hl (2008)


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headingThe brewing industry: top 10


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headingHeinekenThe International Leading Brand


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3. Heineken and Society: Agricultural projects Africa



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We work hard to put social and environmental sustainability at

The heart of the actions that support Heinekens priorities.

Our Role in Society


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1. Energy

2. Water

3. Safety

4. Agriculture

5. Supply Chain Responsibility

6. Responsible Beer Consumption

7. Our Impact on Developing Markets

Sustainability Agenda: 7 focus areas


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Secure the quality and availabilityof raw materials in a sustainable

way:

And try to localize as much as possible

4. Agriculture


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a new development assistance model: a way to combine thestrengths of the 3 sectors

helping reach the Millennium Development Goals

create stakeholder alliances along the value chain

What are Public Private Partnerships, what do they offer?


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Technical and managerial expertise

Access to (private) financial resources

Innovation is part of the culture

Long-term interest in the market

Ability to organise sustainable supply structures

Strengths of the Private sector


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Ability to provide supportive regulatory environment

Ability to mobilize resources for improved infrastructure

Ability to maintain law and order

Ability to upscale sucessful pilot projects

Strenghts of the Public sector


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Ability to reach marginal groups/consumers/suppliers

Commitment to food security, human rights

Ability to mobilize support from public sector and privatecharitable sources

Ability to organize communities/reducing transaction costs

Strenghts of the NGO sector


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Burundi - Brarudi - Sorghum

Rwanda Bralirwa MaizeDRC - Bralima Rice

Egypt ABC Barley / Malt

Algeria Tango Barley / ( Malt )

Sierra Leone SBL Sorghum

Ghana GBL Sorghum

Nigeria NBPlc Sorghum / Malt

RSA Sedibeng Barley / Malt

Agriculture projects Sorghum, Mais, Rice, Barley


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SORGHUM.

The agro project is assisted by EUCORD for collaboration withthe public and private agro sector in Burundi as well as countriesthat are willing to subsidise such projects.

Recently a subsidy was granted by the Dutch Government.

Aim is to be able to produce 250 k hl.of 100% sorghum beer.

5000 farmer families involved.

$ 1.5 m. injected in rural communities.

5000 children access to primary education.

20 schools receive support.

Burundi - Brarudi


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Maize.

Minimex delivers maize grits to the brewery. The installations arenew and state of the art.

To secure quantity, quality and GMO free maize Bralirwa has putup a company Bramin together with Minimex.

300 ha is available to produce maize this year.

Extra funds are applied for from the EU. a.o.

Rwanda - Bralirwa


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Rice.

Project also with assistance from Eucord.Schokland funds were applied for and obtained.

Progress. In 2008 the rice project was installed in 2 provinces. In2009 up to 7 provinces.

In 2008 1.600 T. Need 9.000 T.

In 2009 6.300 T. Need 11.000 T.

In 2010 10.000 T. Need 13.000 T.

Total budget for 3 years 6 m.US $. One third subsidised.

DRC - Bralima


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Sorghum.

NBPlc has decades of experience with sorghum growing andbrewing since the ban on malted barley imports in 1988.

Sorghum is produced by many small scale farmers throughRegional Production Coordinators. ( 50 farmers per RPC )

NBPlc requirement = 60k Tons of malted- and 15k.raw sorghum.

NB provides technical, technological support and a guaranteedmarket at competitive prices.

In cooperation with several institutes hybrids are developed withgood growing/malting and brewing qualities. Ambition is to reacha yield of 5 tons /ha. Present yield is 2 2,5 t./ha.

Nigeria - NBPlc


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headingNigeria - NBPlc

2006 5,500 hectares

2007 8,500 hectares2008 10,000 hectares2009 12,000 hectares

2010 (plan) 25,000 hectares

Most farmers are small scale ca 2 hectaresper farmer.


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Barley / ( Malt )

The RSA has large barley growing potential. Its grown in theWestern Cape on dry land and in the Northern Cape underirrigation

Farmers work in cooperations that supply breweries / malteries.

A major South African cooperation is investigating a venture with

Sedibeng, building a maltery in proximity to the Sedibengbrewery.

Alternative variety are considered.

RSA - Sedibeng


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Infrastructure

Availability and quality of waterSecurity of crops

Continuity

Prices / costs ( versus world market prices )

Weather changes.

Competition with the food chain.

Vulnerability / Threads to Agro projects Africa.


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3. Heineken and Society: Agricultural projects Africa

4. Heineken in South Africa


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Heinekens 1st export of beer to Africa - 1900

1st local operation in Central Africa - 1923

Expansion in Central Africa

-DRC [1923] / Burundi [1956]

-Rwanda [1959] / Congo [1960] / Lubumbashi (2008)

Local operation West Africa

-Nigeria [1946] / Ghana (1962) / Sierra Leone [1963]

Growth/Expansion MENA

-Egypt / Gulf / Lebanon / Tunisia / Algeria

Namibia (2004)

South Africa (2006)

Historical Landmarks

iHistorical landmarks


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headingBeer volume by region


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Top 5 Breweries in Africa

5 %

18 %

2 7 %

16 %

3 3 %

3 %

11%

17 %

4 8 %

2 0 %

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Others

Guinness

Castel-BGI

SAB Miller

HeinekenInc South Africa

Ex South Af rica

Competitive situation in Africa

Documents

01 RSA Present a Tie July 2009