Business

Craft Beer Makers and Brew Pubs Winners in Thailand’s New Liquor Laws

Pubs in Thailand that want to brew their own craft beers will benefit the most from the government’s new alcohol proclamation, which went into effect on November 2.

According to a professor specializing in the liquor industry, their number is expected to grow, while small investors who want to produce liquor or beer will find it difficult to enter the market due to new restrictions imposed by the proclamation.

According to Assistant Professor Charoen Charoenchai of the Rajamangala University of Thanyaburi’s Faculty of Agricultural Technology, the proclamation gives the impression that the state has removed several restrictions, allowing individuals to produce alcoholic beverages for household consumption and commercial purposes, in an attempt to break up the liquor production oligopoly.

For example, he stated that restrictions on minimum registered capital and minimum amount of production for new investors had been lifted, but new restrictions have been imposed, such as the requirement for new investors to conduct environmental impact assessment studies and install standard machinery that records tax payments for the alcoholic beverages they produce.

According to Charoen, these will make it easier for small investors to enter the craft beer business if they have substantial financial backing.

However, he noted that brew pubs that sell craft beer in their establishments would benefit from the changes.

Craft Beer Makers and Brew Bubs

He expects more brew pubs making their own craft beer to open in the future.

He praised the government for being astute in convincing people that it has opened up the liquor industry to small investors when, in fact, the situation remains unchanged for small investors.

He also stated that the proclamation would not reduce the prices of liquor or beer because the taxes levied on them remain unchanged, and if prices are reduced, producers’ profits will be reduced accordingly.

The new ministerial regulation on liquor and beer production, which went into effect on November 2, removes barriers for small manufacturers. Small brewers could previously hire up to seven people and have a maximum production capacity of 5 horsepower.

On the other hand, small breweries can use machinery with a horsepower of 50 and employ up to 50 people under the new regulations.

The regulation also eliminates the minimum registered capital and production capacity requirements for brewpubs. Brewpubs were previously required to produce between 100,000 and 1 million litres per year.

Only large breweries are now required to meet annual production and registered capital requirements of 10 million litres and 10 million baht, respectively.

Craft Beer Makers and Brew Bubs

Under the new rules, any legal entity or individual over the age of 20 can apply for a license to brew up to 200 litres of alcohol per year. This provision intends to make it simple for people to brew beer or distill spirits.

The license only applies to non-commercial operations. It is still illegal to sell homemade brews.

Although Thailand’s alcohol industry is not a monopoly, it has been dominated for decades by two giant conglomerates.

Taopiphop believes market rules should be relaxed to allow people to brew alcohol for personal use or sale through small businesses and brewpubs.

Villagers, for example, should be able to use local knowledge to create signature brews that will benefit tourism and those working in the supply chain. According to him, profits could also be transferred to the agricultural sector via ingredients such as rice or wheat.

The young Move Forward MP, whose campaign promise in the 2019 general election was to change laws favouring large brewers, has spent the last three years trying to make that promise a reality.

The Cabinet regulation approved on November 1 and enacted the next day was not the result of Taopiphop’s efforts and instead pre-empted his draft bill.

The so-called progressive liquor bill proposed by the Move Forward MP was defeated in Parliament on November 2.

Craft Beer Makers and Brew Bubs

While the ministerial regulation shares some characteristics with his bill, it differs in important ways. For example, when applying for a license, community distilleries using up to 50-horsepower machines must submit an environmental impact assessment (EIA). Taopiphop’s bill, however, did not pass.

“Excise officials told an entrepreneur who recently sought a license for their brewpub that he needed an EIA report,” the MP said. “However, when he contacted the EIA authorities, he was told that his company was too small for an EIA.” So, what happens next?”

Pita Limjaroenrat, leader of the Move Forward Party, claims that the timing of the regulation and how it was written show that the government camp was attempting to outmanoeuvre the public and his party.

“It is worth noting that, while the new regulation removes some restrictions, it also introduces new ones.” “Implementation will face numerous challenges,” he warned.

Pita believes the new regulation was introduced as a face-saving measure and a favour to large investors ahead of the upcoming general election, which is tentatively scheduled for May 2023.

Wissanu Krea-ngam, Deputy Prime Minister, claims the government acted in the best interests of all parties involved.

“We relaxed the regulations because people complained that the old ones were too stringent,” he explained. “The opposition’s bill is viewed as too lenient.” This new regulation provides a middle ground.

According to Nattakorn Uthensut, spokesman for the Excise Department, the new regulation aims to ensure product quality while protecting the environment.

Source: Thai PBS

Business

PepsiCo Reduces Revenue Projections As North American Snacks And Key International Markets Underperform.

(VOR News) – In the third quarter of this year, Pepsi’s net income was $2.93 billion, which is equivalent to $2.13 per share. This was attributed to the company.

This is in stark contrast to net income of $3.09 billion, which is equivalent to $2.24 per share, during the same period in the previous year. The company’s earnings per share were $2.31 when expenses were excluded.

Net sales decreased by 0.6%, totaling $23.32 billion. Organic sales increased by 1.3% during the quarter when the effects of acquisitions, divestitures, and currency changes are excluded.

Pepsi’s beverage sales fell this quarter.

The most recent report indicates that the beverage and food sectors of the organization experienced a 2% decline in volume. Consumers of all income levels are demonstrating a change in their purchasing habits, as indicated by CEOs’ statements from the previous quarter.

Pepsi’s entire volume was adversely affected by the lackluster demand they encountered in North America. An increasing number of Americans are becoming more frugal, reducing the number of snacks they ingest, and reducing the number of times they purchase at convenience stores.

Furthermore, Laguarta observed that the increase in sales was partially attributed to the election that occurred in Mexico during the month of June.

The most significant decrease in volume was experienced by Quaker Foods North America, which was 13%. In December, the company announced its initial recall in response to a potential salmonella infection.

Due to the probability of an illness, the recall was extended in January. Pepsi officially closed a plant that was implicated in the recalls in June, despite the fact that manufacturing had already been halted.

Jamie Caulfield, the Chief Financial Officer of Pepsi and Laguarta, has indicated that the recalls are beginning to have a lessening effect.

Frito-Lay experienced a 1.5% decline in volume in North America. The company has been striving to improve the value it offers to consumers and the accessibility of its snack line, which includes SunChips, Cheetos, and Stacy’s pita chips, in the retail establishments where it is sold.

Despite the fact that the category as a whole has slowed down in comparison to the results of previous years, the level of activity within the division is progressively increasing.

Pepsi executives issued a statement in which they stated that “Salty and savory snacks have underperformed year-to-date after outperforming packaged food categories in previous years.”

Pepsi will spend more on Doritos and Tostitos in the fall and winter before football season.

The company is currently promoting incentive packets for Tostitos and Ruffles, which contain twenty percent more chips than the standard package.

Pepsi is expanding its product line in order to more effectively target individuals who are health-conscious. The business announced its intention to acquire Siete Foods for a total of $1.2 billion approximately one week ago. The restaurant serves Mexican-American cuisine, which is typically modified to meet the dietary needs of a diverse clientele.

The beverage segment of Pepsi in North America experienced a three percent decrease in volume. Despite the fact that the demand for energy drinks, such as Pepsi’s Rockstar, has decreased as a result of consumers visiting convenience stores, the sales of well-known brands such as Gatorade and Pepsi have seen an increase throughout the quarter.

Laguarta expressed his opinion to the analysts during the company’s conference call, asserting, “I am of the opinion that it is a component of the economic cycle that we are currently experiencing, and that it will reverse itself in the future, once consumers feel better.”

Additionally, it has been noted that the food and beverage markets of South Asia, the Middle East, Latin America, and Africa have experienced a decline in sales volume. The company cut its forecast for organic revenue for the entire year on Tuesday due to the business’s second consecutive quarter of lower-than-anticipated sales.

The company’s performance during the quarter was adversely affected by the Quaker Foods North America recalls, the decrease in demand in the United States, and the interruptions that occurred in specific international markets, as per the statements made by Chief Executive Officer Ramon Laguarta.

Pepsi has revised its forecast for organic sales in 2024, shifting from a 4% growth rate to a low single-digit growth rate. The company reiterated its expectation that the core constant currency profitability per share will increase by a minimum of 8% in comparison to the previous year.

The company’s shares declined by less than one percent during premarket trading. The following discrepancies between the company’s report and the projections of Wall Street were identified by LSEG in a survey of analysts:

SOURCE: CNBC

Business

Old National Bank And Infosys Broaden Their Strategic Partnership.

(VOR News) – Old National Bank, a commercial bank with its headquarters in the Midwest, and Infosys, a firm that specializes in information technology, have recently entered into a strategic expansion of their link, which has been in place for the past four years.

This expansion is more likely to take place sooner rather than later, with the likelihood being higher.

For the purpose of making it possible for Old National Bank to make use of the services, solutions, and platforms that are offered by Infosys, the objective of this expansion is to make it possible for the bank to transform its operations and processes through the application of automation and GenAI, as well as to change significant business areas.

This lets the bank leverage Infosys’ services, solutions, and platforms.

Old National Bank Chairman and CEO Jim Ryan said, “At Old National, we are committed to creating exceptional experiences for both our customers and our fellow employees.”

This statement is applicable to Old National Bank. Infosys is carefully managing the business process innovations that it is putting us through, putting a strong emphasis on efficiency and value growth throughout the process to ensure that it is carried out efficiently.

This is a routine occurrence throughout the entire operation. Because of Infosys’ dedication to our development and success, we are incredibly appreciative of the assistance they have provided.

Old National has been receiving assistance from Infosys in the process of updating its digital environment since the year 2020, according to the aforementioned company.

Ever since that time, the company has been providing assistance. The provision of this assistance has been accomplished through the utilization of a model that is not only powerful but also capable of functioning on its own power.

Infosys currently ranks Old National thirty-first out of the top thirty US banks.

This ranking is based on the fact that Old National is the nation’s largest banking corporation.

It is estimated that the total value of the company’s assets is approximately fifty-three billion dollars, while the assets that are currently being managed by the organization are valued at thirty billion dollars.

Dennis Gada, the Executive Vice President and Global Head of Banking and Financial Services, stated that “Old National Bank and Infosys possess a robust cultural and strategic alignment in the development, management, and enhancement of enterprise-scale solutions to transform the bank’s operations and facilitate growth.”

This remark referenced the exceptional cultural and strategic synergy between the two organizations. Dennis Gada is the one who asserted this claim. This was articulated explicitly concerning the exceptional cultural congruence and strategy alignment of the two organizations.

We are pleased to announce that the implementation of Infosys Topaz will substantially expedite the transformation of Old National Bank’s business processes and customer service protocols. We are exceedingly enthusiastic about this matter. We are quite thrilled about this specific component of the scenario.

Medium-sized banks operating regionally will continue to benefit from our substantial expertise in the sector, technology, and operations. This specific market segment of Infosys will persist in benefiting from our extensive experience. This phenomenon will enable this market sector to sustain substantial growth and efficiency benefits.

SOURCE: THBL

Business

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

The largest regulated water and wastewater utility company in the United States stated Monday that it had been the target of a cyberattack, forcing the company to halt invoicing to consumers.

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

American Water, based in New Jersey and serving over 14 million people in 14 states and 18 military facilities, said it learned of the unauthorized activity on Thursday and quickly took precautions, including shutting down certain systems. The business does not believe the attack had an impact on its facilities or operations and said employees were working “around the clock” to determine the origin and scale of the attack.

water

The corporation stated that it has alerted legal enforcement and is cooperating with them. It also stated that consumers will not be charged late fees while its systems are unavailable.

According to their website, American Water operates over 500 water and wastewater systems in around 1,700 communities across California, Georgia, Hawaii, Illinois, Indiana, Iowa, Kentucky, Maryland, Missouri, New Jersey, Pennsylvania, Tennessee, Virginia, and West Virginia.

SOURCE | AP