Specialty spirits: China is the most promising market

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Soft drinks: Japanese bottled water sales will hit 7.9 billion in 2003

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Lion Nathan: up on the wine trail

While Lion's beer business is doing well at the moment, general beer sales in the Australian-based company's core markets are not growing fast. As a result, Lion is spending heavily on acquisitions in the faster-growing wine market. With such future planning, and favorable market conditions, its positive expectations for next year look attainable.

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Kirin: Asian expansion on the cards

Kirin is following its Japanese rival Asahi into the rest of Asia. Expanding abroad will provide Kirin with growth opportunities outside a difficult domestic market. However, it will face strong competition from other international brewers - and the controversy over San Miguel's ownership could cause future headaches.

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Ingredients: North America most open to new ingredients

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Snow Brand/Nestle: not quite like candy from a baby

Snow Brand certainly needs a partner to shore up its image following a series of scandals, and there are few companies with a quality reputation as rock-solid as the Swiss giant. However, baby products may not be the best area to lead the brand recovery charge.

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Japan Tobacco: worsening the food sector's problems

The drinks recall won't hit JT's bottom line hard, and the banned additives shouldn't cause serious damage to consumers. However, the incident is yet another reason for consumers not to trust Japan's already suffering food and drinks industry. It could also damage JT's diversification plans, making people skeptical that the cigarette giant can make non-harmful products.

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Kirin: aiming to go west again

Kirin is not having an easy ride in Japan, its domestic market. Sales in the country are declining whereas Asia as a whole continues to grow rapidly. Having been overtaken by archrival Asahi on the home front it is China that now holds most promise.<BR />

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Starbucks: Japanese ideas could cross to US

Shareholders of Starbucks Coffee Japan [STBJF.PK] have approved a change to the corporate charter allowing the sale of alcohol at any outlet. The move comes alongside the debut of a series of new products aimed at reviving sales. Successful introductions could well translate into new offerings in the US.<BR />

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Kirin Brewery: tapping into China's growth

Kirin Brewery has taken steps to become the first major Japanese brewer with a wholly owned subsidiary in China. The investment will secure Kirin a firm foothold in a market which, in value growth terms, is expected to far outstrip the brewer's relatively mature domestic market of Japan. By establishing a production plant in China, Kirin also will gain scope for cost savings and further expansion.

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