Russia: The Russians boycott on Czech beer in response to the placement of a U.S. missile defence radar in the Czech Rep.

A Russian boycott on Czech beer in response to the placement of a U.S. missile defence radar in the Czech Republic could deliver a serious blow to the Czech economy, a Russian analyst said to RIA Novosti on July 23.

Exports to Russia have always been a large revenue source for the companies that brew the likes of Staropramen and Pilsner Urquell.

"If Russian consumers refuse to drink Czech beer in protest at the deployment of a U.S. radar [in the Czech Republic]...it would be a serious response, more serious than the suspension of oil supplies or any protest note sent by the Russian Foreign Ministry," said Alexander Pikayev, director of the department of Disarmament and Conflict Resolution at the Institute of World Economy and International Relations.

The Czech Republic is world famous for its beer production and consumption. Beer is ingrained in the Czech culture so much that the beer industry is considered a part of the national heritage.

The popularity of Czech beer has been on the rise in Russia in terms of levels of consumption - however Czech beer is being increasingly produced under licenses in Russia instead of being imported from the Czech Republic.

Officials from the Union of Russian Brewers told RIA Novosti on Wednesday that, "The consumption of imported beer in Russia is only 1.5 – 2 % of the overall market, and, for instance, we cannot even attempt to calculate the share of Czech beer in this tiny segment," they said.

"Most foreign brands are produced in Russia under license," they added.

25 July, 2008