MANDALAY Beer is one of the popular domestic beers in Myanmar.It is brewed by Mandalay Brewery Ltd, which is owned by Myanma Foodstuff Industries under the Ministry of Industry 1.

As indicated by its slogan ‘Since 1886’, the brewery has in the course of its 119 years of existence gained a reputation that continues to ensure the place of its products near the forefront of the domestic alcoholic beverage market.

The Mandalay Brewery Factory – located at the north end of 80th Street in Mandalay – was originally an arms and ammunition factory founded by Prince Kanaung in 1859, during the reign of King Mindon.

During the colonial period the building was rebuilt and transformed into a factory to produce liquor and beer for British soldiers.

It was nationalised in 1964 and began producing rum, dry gin, old brandy and malt whiskey, all under the Mandalay brand name.

In 1972 the factory was place under the control of the Myanma Food and Beverage Corporation. An expanded production plan for beer was implemented in 1982 in cooperation with Techno Export Co., Ltd.

From 1966 to 1994 the factory produced only two types Mandalay Beer: Pale Ale and Strong Ale. In 1970 Mandalay Beer won a gold medal at Expo ‘70 held in Japan.

Mandalay Brewery Factory now produces Lager Beer, Strong Ale Beer, Gold Beer and Spurilina Beer.

Added to the company’s product line in 2003, Spirulina Beer is marketed as a high-quality health supplement and anti-aging drink. It is make with a natural micro-algae that is rich in antioxidants, amino acids, minerals and vitamins.

Mandalay Brewery is the first factory in Southeast Asia to produce beer using spirulina.

In the past five years the popularity of drinking beer has increased in Myanmar, and along with this rise in interest has come growth in the sales of domestic beers.

“Sales of Mandalay Beer have improved every year, especially in 2003 when they increased by 50 per cent over the previous year – we sold everything we produced that year,” said U Thaung Myint, the manager of Mandalay Beer Factory.

The company’s status as a state-owned venture allows it to procure raw materials and arrange production in a cost-effective manner, which keeps costs down and boosts sales.

Mandalay Brewery imports many of the ingredients necessary to brew and distribute beer, including malts, hops and yeast for the brewing process, and some packaging materials such as bottles.

“We have to rely on imported materials because there are no domestic alternatives to some ingredients like hops and malt, which can’t be grown in Myanmar’s climate,” said U Thaung Myint.

However, the company is seeking local alternatives to imported packaging materials, he said.

Mandalay Brewery advertises in print media to increase sales, but at the moment does not offer any promotions.

“During past monsoon seasons, from 2001 to 2003, we offered one extra bottle of beer to customers who bought 12 bottles, which resulted in a rise in sales,” said U Thaung Myint.

Most beer promotions are instead organised by distributors.

“We invite famous singers to perform at our shop each week,” said the owner of a shop in Mayangone township in Yangon.

“We usually increased the number of promotion programs during the monsoon season when sales are slow. The best time for beer sales is during Thingyan,” he said.

U Thaung Myint said all domestic beer manufacturers face competition from Chinese and Thai beers imported illegally through border towns such as Kawthaung, Tachileik and Myawaddy.

“There has been a continuous flow of cheap beers across the border in spite of import restrictions. We cannot compete with them because of our transportation costs,” he said.

However, domestically produced beer continues to be the favourite choice of most people in Myanmar, so the industry has a bright future, said U Thaung Myint.