* Sees revenue growth in upper single digits in biggest
* Says at a 'standstill' in Brazil
* Mexican competition ruling due soon; company 'positive'
LONDON, March 25 Global brewer SABMiller
expects more growth from its business in Latin America, its
largest market, even though the company has limited exposure to
high-growth Brazil and Mexico.
"We believe we can continue to deliver mid-single digit
volume growth and upper-single digit revenue growth for the
foreseeable future," SABMiller's Latin America regional chief
Karl Lippert said in a presentation to investors on Monday.
The brewer has more than 90 percent of the beer market in
Colombia, Peru, Ecuador, Honduras and El Salvador and the region
provides around a third of global earnings for the brewer of
Peroni, Cusquena and Pilsener.
It is seeking to increase consumption among its core low
income consumers by attacking illegal alcohol sales and
introducing new packaging, such as 750 ml sized bottles to
improve affordability, Lippert said.
Per capita beer consumption in SABMiller's Andean and
Central American markets still lags Mexico and Brazil, where the
group has limited exposure.
Lippert said Brazil's market was complex and at current
exchange rates competing in South America's biggest economy was
not realistic. "For the moment we are at a standstill with
Brazil," he said.
In Mexico, SABMiller has some imports, mostly in the
northern regions close to its Miller's breweries in Fort Worth,
Texas. But penetration into the market has been held back by the
tight grip of Grupo Modelo, half-owned by AB InBev
, and Heineken's local business, which have
exclusive contracts with retailers.
SABMiller has joined with other companies to challenge the
set-up with Mexico's competition regulator, and a ruling is due
"We're feeling positive about it opening up," said Lippert.