Burma: a major Japanese brewer decides to withdraw from the country

The great Japanese brewer Kirin (our illustration photo) withdraws from Burma, one year after the coup.

REUTERS - ISSEI KATO

Text by: RFI Follow

1 min

The great Japanese brewer Kirin withdraws from Burma, a year after the coup.

He is giving up his activity in the country, to put an end to his local joint venture with Myanma Economic Holdings Limited (MEHL), a conglomerate controlled by the junta.

Since the military coup of February 2021, many foreign companies have decided to leave the territory. 

Advertising

Read more

Brewer Kirin first tried to find a new business partner in Burma.

But all his proposals were rejected by the MEHL, controlled by the Burmese army.

The Japanese group then attempted a commercial arbitration procedure in Singapore, with a view to settling this dispute with the Burmese military.

But in vain. 

A gain in terms of image

With this departure, Kirin has a lot to gain in terms of image.

And little to lose.

Indeed, Burma represents a modest market for the Japanese group, barely 2% of its total sales.

To the political unrest, the health crisis was added, which caused sales to plunge in the country.

The beer market in Burma has fallen by 30%.

Departures hailed by human rights defenders 

Several large international groups have announced their departure from the country.

As recently the French TotalÉnergies and the American Chevron.

Last year, the British tobacco company BAT and the Norwegian telecom operator Telenor also left Burma.

Departures hailed by human rights NGOs. 

►

Newsletter

Receive all the international news directly in your mailbox

I subscribe

Follow all the international news by downloading the RFI application

google-play-badge_FR

• Burma

• Trade and distribution

• Industry

• finance

• Human rights