US brewery still on San Miguel’s radar

MANILA, Philippines — San Miguel Brewery Inc. (SMB) continues to expand its operations both in the Philippines and abroad.

SMB chairman Ramon Ang said the company plans to put up a brewery in the US, which it considers as a huge export market.

The company first announced plans to put up a brewery in the US in 2017.

Ang said the proposed US brewery would result in cost savings for the company.

Locally, SMB will increase the capacities of its existing breweries.

“Today, with a strong Philippine economy, our next-phase growth strategy becomes even more critical. To address higher demand, we are working to increase and maximize capacities in our existing breweries. By the end of this year, we will inaugurate our sixth brewery, located in Tagoloan, Misamis Oriental.

By next year, the conversion of our Santa Rosa Bottling Plant in Laguna into a full-fledged brewery, will also be complete,” Ang said during the company’s annual shareholders meeting.

Moving forward, he said the company anticipates challenges ahead such as the implementation of higher excise taxes, stricter government policies on the environment and possible regulations on alcohol consumption.

“We likewise recognize that we are confronted by a market environment that is becoming more volatile, uncertain, complex and ambiguous, made more complicated by the uneven pace of economic development,” Ang said.

Despite the challenges, Ang said SMB would continue to sustain the growth momentum it has built over the past years.

“For starters, we are bringing to market our newest offerings in 2019, San Miguel Flavored Beer Lychee and Anker Lychee which we anticipate will be favorably received by our customers,” Ang said.

SMB posted consolidated revenue of P129.2 billion last year, up 14 percent while operating income rose 13 percent to P35.3 billion.