Blog: Bear necessities
Chris Brook-Carter | 11 November 2003
This weekend sees the launch of the Russian International Wine & Spirits Fair, during a period of anticipation for the wine market, which continues to grow at 20-30% per annum. However, chaos still characterises the spirits sector, as the government and private business – in particular SPI - fight on for the ownership of the country’s most powerful brands. It is a situation that has been given an added edge by the arrest earlier this month of Mikhail Khodorkovsky, CEO of Russian oil company Yukos.
In terms of PR, the arrest has been an unmitigated disaster for a country desperately trying to convince the foreign business world to direct investment its way.
President Putin’s opponents fear that the arrest may set a precedent as the government moves for greater control over business and the economy – an accusation that has been levelled at the administration by SPI for some time now.
However in an interview this week on the business website cantos.com, Christopher Granville, the chief strategist with United Financial Group, the Russian investment bank, tried to allay those fears.
“This is a prosecution against certain individuals. It will not develop into a campaign against business, either Yukos as a company, as opposed to the prosecution of its individual major shareholders, let alone against business more widely in Russia.”
Worryingly though, he did admit that there were elements in the Putin administration which have an “agenda which goes well beyond the President’s declared agenda. That more radical agenda does seem to involve an idea that the privatisations of the ‘90s need to be reversed.” That said, he implied these elements were under control and that “the line of the President is holding”.
That line, according to Granville, includes doubling GDP in the next ten years, which depends on the investment culture. “It depends on strong investment, especially from foreigners, and therefore he wants to welcome in foreign investors,” he said.
Those after more information on the Russian drinks market should know just-drinks is giving away a report by the investment analysts Standard & Poor's on the future growth prospects of Russia’s brewers.
It is available to members here.
just-drinks is in Berlin this week for Bar Convent Berlin. Here's the second and final part of Andy Morton's blog, which will keep you up-to-date at one of Europe's most important dates in the alcohol...
just-drinks is in Berlin this week for Bar Convent Berlin. Here's the first part of Andy Morton's daily blog, which will keep you up-to-date at one of Europe's most important dates in the alcohol indu...
Responding to criticism on social media is tough. You've got to engage the consumer without starting an argument and - ideally - get them on side....
Want to know how The Coca-Cola Co-backed Keurig Kold - released in the US yesterday - works?...
- AB InBev, SABMiller - Here's what'll happen next
- Is time right for TWE to move for Diageo's wines?
- Is Brown-Forman at the end of the SoCo road?
- Will a sexed-up SABMiller tempt AB InBev?
- Is Brown-Forman doing a Jack Daniel's in Ireland?
- AB InBev makes formal offer for SABMiller
- Diageo secures Xerox Corp CFO as finance head
- Tesco pulls several Carlsberg SKUs in UK
- Diageo makes US$780.5m beer deal with Heineken
- SABMiller formally rejects AB InBev's offer
- The IWSR Duty Free/Travel Retail Summary Report 2015
- Future growth opportunities for global spirits
- Global gin insights - market data, product innovation and consumer trends research
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends research
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends research