Released on: November 9, 2007, 2:49 am

Press Release Author: Direct INFO

Industry: Food & Beverage

Press Release Summary: Direct INFO has carried out an in-depth research of the
Russian market of kvass. The goal of this research is to determine market volume,
shares of main market players, volumes of domestic Russian production, and
estimation of kvass production capacities.

Press Release Body: Direct INFO has carried out an in-depth research of the Russian
market of kvass. The goal of this research is to determine market volume, shares of
main market players, volumes of domestic Russian production, and estimation of kvass
production capacities.
In frame of research only natural kvass was carefully investigated (i.e. drink
prepared by means of natural fermentation). Kvass beverages, namely carbonated
beverages containing a flavoring agent of "Kvas", or natural blending kvass
processes were excluded from consideration because such beverages were considered
not significantly close enough to the market of the native Russian drink kvass by
natural fermentation.
Specialists of Direct INFO have founded that in 2006 in Russia produced more than 28
thousand deciliters of kvass. More than half of this quantity (about 63%) falls at
two market leaders: CJSC MBBF \"Ochakovo\" (kvass under brand "Ochakovskiy") and OJSC
"Deka" (brand "Nicola"). According to the results of 2007 until now, 40% growth is
predicted over last year.
In spite of such a large growth rate, the kvass market still has significant growth
potential for both demand and supply. During the last few years, consumers have been
requiring more naturally produced food products. Kvass falls into the category of
natural beverages. For kvass producers, changing market tastes presents an
opportunity, because due to growing demand, producers can use their existing
production capacity more effectively. Direct INFO has estimated that in 2006, the
average utilization rate of capacities on kvass production was about 21% in Russia.
Total Russian productive capacities in October 2007 amounted to 135 thousand
deciliters. During the study, we found that many companies have plans to increase
their productive capacity of kvass. Russian kvass producers from a technical point
of view are ready for market growth. During the next few near years, the growth of
the Russian kvass market will be directly related to the growth in demand. Will
technical requirements shift to marketing requirements after the current demand is
saturated? A follow-up study focusing on consumer tastes may help move the market
along that path.

For more information or to order this report, please call Direct INFO at 745-4020.

About Direct INFO company:
Research company Direct INFO (http://www.directinfo.net/) has operated for ten years
on the Russian market with over 300 Russian and multinational clients successfully
served. We are set apart from the crowd by our unique set of resources, methodology
and experience. Our informational and consulting services range from multi-million
dollar market entry projects to ad hoc company reports. Leading markets of the
Russian Federation are represented almost continuously.

Unique resources - Data and networks. Our continuously updated business statistical
database is the largest privately held database of it's kind in the world, and it is
dynamically linked. Extensive experiences with expert interviews at various levels
within the key sectors of the Russian economy gives us a unique set of interview
resources for effective qualitative analysis.

Unique methodologies - internal systems. Over 35,000 programming hours has gone into
intellectual property (IP) system investments, which saves project time, enhances
data content and reduces the chance for mistakes.

Unique experience - Our people. Our project leaders are recruited from technical
universities and are trained to effectively meet client demands. Amongst our staff
there are even Philosophy Doctors. We maintain standard operating procedures to suit
world-class standards, developed over a decade of ongoing market engagement.

Depending upon result requirements, Direct INFO may tailor deliverables according to
needs. Most of our deliveries come in the form of hard copy. If the project is large
and complex, we provide a management presentation included. Overseas deliveries are
typically sent electronically and a conference call typically enhances
comprehension. Some technical deliverables come within a software package and data
updates OR online within our InfoHive information portal.


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Phone/Fax: +7(495)745-40-20
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