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Tanzania Breweries now partners with traditional liquor outlet owners

Saturday June 11 2016
EADarBrewh

DarBrew has packaged un-malted local beer Chibuku Super. The Tanzania Breweries Ltd is expanding its market for traditional liquors. PHOTO | FILE

Tanzania Breweries Ltd (TBL) plans to expand the market for its traditional liquors Chibuku and Nzagamba, by using existing “drinking dens” as outlets and the owners as agents.

TBL managing director Roberto Jarrin said integrating traditional beer makers in the business would save the brewers some of the costs of making the liquor.

“This will save them time and laborious preparation of the brew as they will be selling our DarBrew brands at a profit,” he said.

Already 130 retailers of traditional brew brands — Chibuku and Nzagamba — have been enlisted in the TBL programme, and the company provides “a sanitised option of the brands available in various pack sizes."

“The company has also recruited informal brewers of Chibuku as sales agents through its Chibuku Mamas programme,” Mr Jarrin said.

But not all traditional brewers are excited about the programme.

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“I once bought Chibuku from agents for sale, but it was not profitable because the people are not used to it,” said Aurelia John, a traditional liquor brewer. “I don’t mind the hard work it takes to make my own product, which people are used to.”

She brews up to 80 litres of traditional liquor every week.

Asha Khalid, who used to brew skadi from sorghum, sugar and yeast, says she used to make a profit of Tsh10,000 ($4.6) in four days after investing Tsh15,000 ($7). When she started selling Chibuku, her profit dropped to Tsh7,000 ($3.2). However, she says being an agent is not as tedious as brewing, and the liquor is guaranteed to be safe for consumption.

TBL Group, a subsidiary of SABMiller, has 78 per cent of the formal beer market in Tanzania through TBL, and 73 per cent of the wine and spirits market through Tanzania Distilleries. The company has 8 per cent of the traditional beer market through its subsidiary DarBrew, the makers of Chibuku and Nzagamba brands.

According to a study by CanBack, traditional beer accounts for 50 per cent of the alcohol consumed in Tanzania. Homemade brews from more than 120 tribes make up almost 92 per cent of that segment.

Mr Jarrin said that in order to ease replacement of traditional beer with TBL brands, they are considering making it in traditional flavours taking the cue from popular local brews like banana beer (mbege) from Kilimanjaro, palm wine (mnazi) from the coastal areas, bamboo wine (ulanzi) from the southern highlands, and maize beer (komoni) from the central zone.

Tanzania’s beer market is controlled by TBL Group, which sells Safari, Kilimanjaro, Ndovu Castle Lager and Castle Lite brands; its closest competitor is Serengeti Breweries, a subsidiary of East African Breweries Ltd.

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