How Does Qatar Supply Beer for the World Cup Despite 'Illegal Alcohol Advertising'?
[Asia Economy Reporter Jeong Hyunjin] "The king of beer has conquered Qatar."
Bloomberg reported on the 7th (local time) that AB InBev, the world's number one beer company, is busily preparing ahead of the opening of the '2022 Qatar World Cup' on the 20th (local time). In Qatar, an Islamic country where alcohol sales and drinking are strictly regulated, the company is moving quickly to safely supply Budweiser beer, the official World Cup sponsor brand.
Budweiser has been the only beer brand among the official World Cup sponsors since 1986. After Qatar was confirmed as the host of the World Cup, AB InBev renewed its sponsorship contract to maintain it through 2022 in 2011.
According to Bloomberg, since there are no breweries in Qatar during the World Cup period, AB InBev shipped Budweiser beer by sea freight. Due to Qatar's high temperatures exceeding 95°F (35°C) until the end of last month, the company had to find refrigerated warehouses to safely store the beer. During the World Cup, the plan is to transport the beer by truck during early morning hours to restaurants or venues where it can be consumed.
Peter Kramer, AB InBev's Chief Supply Officer (CSO), predicted that the amount of beer sold during the World Cup will exceed Qatar's annual consumption. He added, "Beer is a perishable product, so the day it is packaged is always the best condition," and said, "We will closely manage product transit times with the supply chain to preserve the beer's taste."
Qatar is a country strict about drinking to the extent that even alcohol advertisements are illegal. There are restrictions on the types of alcohol that can be sold, and beer and wine can only be purchased at restaurants affiliated with luxury hotels. Public intoxication is illegal and can result in penalties including up to six months imprisonment or a fine of 3,000 riyals.
Originally, Qatar, the host of this event, intended to hold a dry World Cup without alcohol. However, during negotiations with FIFA and others, Qatar backed down. As a result, 'international beverages' are sold only in certain areas where some football fans stay, and fans can purchase Budweiser beer only before and after matches during specific times in designated areas near the stadium. Bringing beer into the stadium stands is prohibited.
Qatar also bans the importation of alcohol from abroad, and any found at the airport is immediately confiscated, Bloomberg reported.
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CSO Kramer said the amount of beer moved to Qatar was decided based on extensive data, but if demand exceeds expectations, they have backup plans. He added that additional beer is already prepared at a brewery in the UK and can be flown in immediately if needed.
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