Bavaria Beer, Bavaria Brewery (Netherlands)

Bavaria Beer

Bavaria Beer

 

Bavaria Brewery (Netherlands)

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Bavaria
Type Besloten Vennootschap
Industry Beverages
Founded 1719
Headquarters Lieshout, North Brabant, Netherlands
Products Beers and lagers
Revenue $1.9 billion (2005)
Website Bavaria International

Bavaria is a Dutch brewery founded in 1719 by Laurentius Moorees in

Lieshout, North Brabant, and currently owned by the Swinkels family.

 

Products

A 250 ml Bavaria Premium Pils lager.

The brewery produces a range of standard and low alcohol pale lagers

under a variety of brand names including Bavaria and Hollandia. The

best-known global product is Bavaria Premium Pils lager. But the

brewery also makes an alcohol-free beer; malts are also available in

apple, caramel, lemon and karkadé flavours. It is also contracted to

make a number of European supermarket own-brand Dutch lagers.

 

In France, Bavaria makes two special beers called Bavaria 8.6 and

Bavaria 8.6 Red. Other special beers include the La Trappe and the

Moreeke, a tribute to one of Bavaria's founding fathers, Laurentius

Morees. In Australia, the Liquorland chain of bottle shops distribute

both Bavaria and Hollandia brands as 'premium' imported Dutch

beers. Bavaria Crown is sold in Ireland. Since the early 1990s, Bavaria

has exported premium beer to several countries in the former Soviet

Union.

 

History

Bavaria's brewery at Lieshout.

BY 1719, Laurentius Moorees had founded Bavaria Brouwerij in

Lieshout, 15 kilometres (9.3 mi) from Eindhoven. Annually the village

brewery produced around 88 barrels (approximately 14400 liters) of

beer. It was not until Moorees' great-grandson received ownership of

the brewery that production was expanded. Jan Swinkels, born in

1851, increased distribution and operations at the site. By 1910 a

malting plant had been built (it still produces malt for Bavaria and

other breweries) and output had increased to tens of thousands of

liters of beer per annum. By 1924 the original brewery buildings had

become too small for the plant so a larger brewery was built in

Lieshout. In 1933 the brewery added its own bottling plant, which

produced 2,000 bottles-per-hour.

 

Until the 1970's Bavaria only concentrated on the Dutch market but it

now sells products in up to 100 countries. The brewery, which adapts

its drinks to individual markets, has sales subsidiaries in France,

Spain, Italy, England, South-Africa and America and agents in other

countries. For instance In 1978, alcohol-free malt beer was exported

to countries in the Middle East.

 

Bavaria is now the second largest brewery in Holland. The annual

production is above five million hectolitres of beer. The majority of

beer is still brewed in Lieshout, but Bavaria products are also brewed

locally in Russia by Efes Beverage Group (EBI) and at Bavaria's own

brewery in South-Africa. The company also has a soft drinks factory,

two malt houses and has links with a Trappist Brewery. Barley is still

malted in Bavaria's own malt houses in Lieshout and in the

Eemshaven. These two malt houses have an annual capacity of

240,000 tonnes and are a joint venture between Bavaria and a

farmers' cooperative called the Holland Malt company.

 

Since 2005 Bavaria has hosted the Bavaria City Racing event in

Rotterdam. In 2007, Bavaria sponsored the Dutch Champ Car Grand

Prix.[1]

 

Price fixing conviction

Bavaria's cafe.

On April 18, 2007 The European commission imposed punitive fines

on three major European breweries for operating a price fixing cartel

in the Netherlands. The three were Heineken (€219.3m) , Grolsch

(€31.65m) and Bavaria (€22.85m). A fourth participant in the cartel,

InBev (formerly Interbrew), escaped without a penalty because it

provided "decisive information" about the cartel's operations between

1996 and 1999, as well as about others in the EU market. These four

brewers had controlled 95% of the Dutch market, with Heineken

claiming a half and the three others 15% each.[2]

 

EU Competition Commissioner Neelie Kroes said she was "very

disappointed" that the collusion took place at the very highest

(boardroom) level. She stated, "This is simply unacceptable: that

major beer suppliers colluded to up prices and to carve up markets

among themselves. She added, "Heineken, Grolsch, Bavaria and

InBev tried to cover their tracks by using code names and

abbreviations for secret meetings to carve up the market for beer sold

to supermarkets, hotels, restaurants and cafes. The price fixing

extended to cheaper own-brand labels and rebates for bars.[2]

 

World Cup Ambush Marketing campaigns

 

At the 2006 FIFA World Cup, Bavaria Brewery got up to 1,000 fans of

the Dutch national football team to don orange overalls, called

Leeuwenhosen, with the brewery's logo on them. The Leeuwenhosen

were given away with the purchase of Bavaria Brewery products prior to

the World Cup. However the action was deemed to be an act of

ambush marketing by FIFA as Bavaria, which was not a corporate

sponsor, had not paid any money to be an official event partner. With

pre-warning from FIFA officials, staff at the game versus Ivory Coast

asked fans to remove the overalls upon entrance to the game and

provided orange replacement shorts without any logo.[3]

 

During the 2010 FIFA World Cup, 36 women clad in orange miniskirts

went to the Netherlands vs Denmark match in Johannesburg, using

tickets supplied at least in part by British ITV pundit and ex-footballer

Robbie Earle. Tournament officials evicted the group en masse from

the stadium