Beer output grows 7.5% yoy in 7M08

Ukrainian breweries increased beer output by 7.5% yoy to 204 mln dal in 7M08. In yoy terms, beer production continued to decline for the second month in a row, having posted a 2% drop in July. Olha Pankiv: The slowdown in beer production is in line with our expectations. We believe beer output will post 6% yoy growth in 2008, compared to a 14% increase in 2007. This drop off is due to a hike in beer prices, driven by increased prices for inputs, mainly malt and hops. A colder summer, compared to last year, is another reason.