Carlsberg has had a rough time of it in Thailand. After its mercurial distribution deal with Chang ended nearly a decade ago, the Danish beer lost ground to another of its continental rivals – Heineken.
Now, however, Carlsberg is back in business, having secured a distribution deal with Singha – Chang’s arch-nemesis.
According to the terms of the deal, Singha will distribute Carlsberg beer throughout 21 cities in Thailand in exchange for access to Carlsberg’s factories in Russia and other Asian markets.
Both Carlsberg and Singha have been open about their dreams of forming a regional hops hegemony. Singha is currently the fifth-most popular beer in Asia, whereas Carlsberg is the fourth. Both brands would like to break into the top three, and with Carlsberg’s Russian facilities allowing it to tap into the European market, Singha is likely to have more resources on hand for its ground war in Southeast Asia.
“We are the challenger of Heineken,” said Director Piti Bhirombhakdi in an interview with the Bangkok Post. “The re-entry of Carlsberg in Thailand not only serves to increase sales and profit but also builds up the customer base in the region and capitalises on when Asean becomes a single market under the AEC.”
In addition to its plans to start attacking the European market, Singha has also courted offers from companies throughout Southeast Asia with the goal of forming partnerships in such areas as property and agricultural development.
