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Anheuser-Busch Rolls out Budweiser in Paraguay

October 18, 2006

Exclusive Deal with Bebidas del Paraguay Brings the 'King of Beers' to Consumers throughout the Market

ASUNCIÓN, Paraguay (Oct. 18, 2006) -- Anheuser-Busch is launching Budweiser in Paraguay through an import and distribution agreement with Bebidas del Paraguay, which begins in October.

The partnership with Bebidas del Paraguay will allow the world-famous “King of Beers” to reach consumers at bars, restaurants, supermarkets and liquor stores throughout the country, including markets such as Asunción, Ciudad del Este and Encarnación.

“Paraguay is an important beer market, as industry volume has grown more than 10% annually during the past two years,” said Esteban Amoia, regional marketing manager, South America, Anheuser-Busch International. “In addition, Budweiser already enjoys a strong brand image due to its past presence in the market and our research shows a growing interest in premium international beers.”

Budweiser is an American lager brewed since 1876 using a blend of domestic and imported hops, and a combination of barley malts and rice. A centuries-old, European-aging technique called kraeusening is also used, which involves adding a small amount of freshly yeasted wort to fermenting beer at the start of the aging cycle to facilitate natural carbonation. Then, Anheuser-Busch’s exclusive beechwood aging process helps create a crisp, clean taste.

“Budweiser is one of the most popular beers in the world, and the brand’s strong reputation for quality and freshness appeals to Paraguayans,” said Francisco Barriocanal, general manager of Bebidas del Paraguay. “By distributing Budweiser nationally, we are simply responding to the demand adult consumers have created for this great-tasting beer.”

Budweiser sold through Bebidas del Paraguay will be brewed and packaged by the Argentina-based subsidiary of Compañía Cervecerías Unidas S.A. (CCU) in Santa Fe. CCU currently brews Budweiser and distributes the beer throughout Argentina. Budweiser will be available in 355-cc bottles and cans and 1-liter, nonreturnable bottles.

The brand, marketed as a premium international lager, will be supported by a variety of consumer promotions and point-of-sale items. Budweiser also will use its support of football to increase brand awareness with consumers. The “King of Beers” will sponsor Club Libertad, a popular football team based in Asunción. The team’s jersey will feature the Budweiser logo and branded signage will appear inside the stadium. In addition, Budweiser is the “official beer” of the 2010 and 2014 FIFA World Cup tournaments. The sponsorship allows the brand to use official tournament logos and images of the World Cup Trophy on packaging and promotional items.

Bebidas del Paraguay S.A. is the beverage division of the Palermo Group, a company that also has business interests in finance, beef production, aviation, sports management and tobacco. Its flagship brand, Pulp, is the only soft drink in Paraguay made with fresh fruit juice. Since acquiring the brand in 2001, Bebidas del Paraguay has launched Pulp Pomelo, Pulp Light, Maxi Guaraná and Cola, La Fuente mineral water, PuroSol juice and Full Power sports drink.

Based in St. Louis, Anheuser-Busch is the leading American brewer, holding a 48.8% share of U.S. beer sales. The company brews the world’s largest-selling beers. Anheuser-Busch also owns a 50% share in Grupo Modelo, Mexico’s leading brewer, and a 27% share in Tsingtao, the No. 1 brewer in China. Anheuser-Busch ranked No. 1 among beverage companies in FORTUNE Magazine’s Most Admired U.S. and Global Companies lists in 2006.