This is a paradoxical choice on the part of AB InBev, in the context of the war in Ukraine and the sanctions against Russia. While a large number of large brands are leaving the country, such as McDonald’s, Starbucks or Nike for example, AB Inbev wishes to strengthen its control there. Surprising when we know that the group had announced last April its wish to suspend its activities in Russia. Since 1966, Leffe beer has historically been brewed in Leuven. For the first time, the company announced that brown and blonde Leffe will be produced in seven Russian breweries. The objective being tolocate its production of the most demanded imported brands and preferred by consumers [russes].“
A news that has moved many Belgians who now want to boycott one of the group’s most important export beers and its other products. Other more well-known personalities such as the former first lady of Ukraine Kateryna Yushchenko also reacted. “Oh AB Inbev, not very elegant to support genocide. Western Europeans like to lecture others about corruption as they themselves choose money over morality. Boycott Leffe beer”she wrote on Twitter.
What we know
In reality, this decision was made by AB InBev-Efes. It is a joint venture between AB Inbev and the Turkish company Anadolu Efes. However, AB Inbev does not have a majority and therefore does not have a monopoly on decision-making. These two companies have been collaborating in many countries, including Russia, since 2018.
Following this controversy, AB Inbev wanted to react. The company says it wants to sell its shares in this joint venture since the Russians invaded Ukraine. “Active discussions continue between the parties regarding the sale of AB InBev’s non-controlling interest in the AB InBev – Efes joint venture to its partner, Turkish brewer Anadolu Efes.“
So, what is missing to record this sale? “The suspension of the license to sell certain brands is part of the ongoing transaction discussions with Anadolu Efes”, explains AB Inbev. While adding: “As previously announced, AB InBev also forgoes any financial benefit from the operations of the joint venture.“
As long as no solution is found, AB InBev-Efes can continue to brew Leffe or… sell Stella Artois. Indeed, pilsner is also very present on Russian territory.
Legally, beer, like other food products, is not under threat from EU sanctions. At least as long as the European companies that produce it do not cooperate with individuals targeted by the EU and that they respect the other sanctions which affect transport for example.