Emperador unfazed by plan to impose liquor ban

MANILA, Philippines - The Philippines’ most successful alcoholic beverage firms expect minimal hiccups in profitability should the incoming government decide to pursue plans to impose a liquor ban across the country.

Emperador president Winston Co said 90 percent of the firm’s products are consumed at home which is why the company is unlikely to be affected by a nationwide liquor ban.

“Davao is one of the highest alcohol consumption areas in Mindanao despite the ban. When you look at the local industry, it is composed of imported spirits, beer and local spirits catering to the mass market like Emperador. In our research, 90 percent of Emperador consumption is done at home.  Only 10 percent is out of home so we feel that it will have minimal impact on our products,” Co said.

“As far as home consumption is concerned, we believe it is stable and in fact it might grow in terms of home consumption No effect on local domestic spirits but it may have an impact on beer because beer is drank mostly on premises, and maybe a little impact on imported spirits,” he added.

San Miguel Brewery Inc. (SMB), the largest producer of beer in the Philippines, said the nationwide liquor ban would not have a significant impact on its sales.

“It will have very little impact on us,” San Miguel Corp. president and chief operating officer Ramon Ang said.

Emperador reported a flat net income of P1.4 billion in the first three months of the year while SMB’s earnings climbed 23 percent year-on-year to P4 billion.

Incoming president Rodrigo Duterte earlier announced plans to implement a liquor ban all over the country.