E-Malt.com News article: Pakistan: Murree Brewery enjoys revenues and profits increase amid struggling economy

Murree Brewery, the 153-year-old producer of beer and spirits, was established by the British and continues in what is today Pakistan. It survived partition and the creation of Pakistan as a Muslim-majority nation. It kept brewing during the sweeping Islamization efforts of the late 70s and 80s, when access to alcohol was restricted to the tiny non-Muslim minority. It has also weathered the doldrums of Pakistan’s economy, and is one of the most successful businesses in the country, The Wall Street Journal reported on May 4.

While Pakistan’s economy struggles to grow, Murree Brewery’s revenues and profits in the third quarter are up sharply, following a record-breaking year in 2013, according to the company’s financial reports.

The brewery is meticulous about its accounts, partly because it is acutely aware of its position in a country where alcohol is illegal for the majority of the population.

“We don’t give anyone a cause of pointing a finger at us,” says Major Sabihur Rehman, special assistant to the brewery’s chief executive, Isphanyar Bhandara. That extends from ensuring the company’s finances are perfectly maintained to the treatment of the employees, who belong to one of the country’s most active labor unions.

The brewery’s over 1,500 employees are nearly all Muslim. Many have worked for the company for decades, with sons following fathers into the hoppy air of the brewery. But Murree Brewery CEO Mr. Bhandara says that recently more people have turned down job offers when they realized that they would have to come into contact with alcohol – a sign that the company hasn’t been totally insulated from the growing influence of the religiously conservative.

The brewery is located at the heart of the military base in Rawalpindi, just a stone’s throw from Army House, the official residence for the chief of army staff, one of the most powerful positions in the country.

A series of rambling brick buildings reminiscent of northern England house the brewery and distillery. The only trappings of Pakistan are the patriotic colors on the main gate and the ornately painted trucks, that bring raw materials in and carry out beer and liquor.

The company also produces a line of juices and food products and also manufactures its own glass.

At first glance, Murree Brewery’s success is dumb-founding in a country were the sale of alcohol is tightly-controlled. Less than 3% of the country’s 180 million people can purchase a license to buy alcohol, which limits them to a case of beer or six half-liter bottles of spirits per month. The export of alcoholic products from Pakistan is also banned.

None of these restrictions seem to dull demand for the brewery’s products. The company produces more alcohol than can possibly be consumed by those with legal access to it, indicating widespread flouting of the ban.

It is an open secret that many in Pakistan enjoy their drink. Bootleggers do swift business supplying the westernized elite and there is a thriving trade in moonshine in the villages. News reports of deaths from homemade liquor are not uncommon.

But, the consumption of alcohol has become an increasingly inflammatory issue in Pakistan as the religious right has grown more vocal and violent.

“We are not doing anything that we should be afraid of,” says Mr. Bhandara sitting in his wood paneled office surrounded by photos depicting the brewery’s long history.


07 May, 2014