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ublicly listed Multi Bintang Indonesia, the largest brewery in the country, has reaped more revenues from its non-alcoholic business amid growing restrictions on the sale of alcoholic drinks.

The company’s sales from non-alcoholic beverages more than doubled to Rp 197 billion (US$15.1 million) in the first half of this year from Rp 96 billion in the corresponding period last year. The contribution of the non-alcoholic business to total revenues also rose to 12.8 percent from 9.6 percent in the same
period.

Multi Bintang marketing manager Fahmi Rajendra said total revenue had grown by nearly 50 percent to Rp 1.53 trillion in the January-June period, from Rp 1.06 trillion in the corresponding period last year. Net profit also saw a 148 percent surge to Rp 446 billion in 2016 from Rp 107 billion year-on-year (yoy).

Multi Bintang, a subsidiary of Dutch brewery company Heineken International, for first time, introduced a zero-alcohol content beer called Bintang Zero in 2005 to expand its sales in the world’s largest Muslim-majority country. The company launched a third carbonated malt drink called Bintang 0.0% MAXX on Monday.

The non-alcoholic drinks were introduced to the market amid growing pressure from the public for the issuance of a stricter regulation on the sale of alcoholic drinks.

 “Our non-alcoholic brands are produced to complement our portfolio as consumer demand changes periodically,” Fahmi told journalists on the sidelines of the Bintang 0.0% MAXX launch.

Besides Bintang 0.0% MAXX, Multi Bintang launched Radler 0.0% in June, soda brand Fayrouz and two new Green Sands flavors in January.

It was reported earlier that due to the issuance of Trade Ministerial Regulation No. 6/2015, which bans alcoholic beverages under 5 percent alcohol content from being sold in minimarts and convenience stores, the company saw it sales drop 9.7 percent to Rp 2.69 trillion in 2014 from 2.98 trillion in 2015.

Besides the regulation, the alcohol business will face a tougher situation in the future as the House of Representatives is deliberating a prohibition bill that aims to outlaw the production, distribution and sale of alcoholic beverages.

Sponsored by the Islamic-based United Development Party (PPP) and Prosperous Justice Party (PKS), the bill has returned to the table after all 10 party factions of the House of Representatives agreed to endorse it as a priority bill in the 2016 National Legislation Program (Prolegnas).

Several members of the House’s special committee for deliberation of the bill, however, have indicated that there is little chance of the bill getting passed into law by year-end, as the supporting parties — PPP, PKS and the National Mandate Party (PAN) — are now in a standoff with the remaining seven factions — together controlling over 70 percent of House seats — that reject a total ban and instead endorse control over the consumption of the products.

“At this stage, what matters is intervention from [party] leaders,” committee member and PPP lawmaker Achmad Mustaqim said late last month.

Fahmi said Multi Bintang had been expanding its non-alcoholic business since 2013, beginning with the establishment of a factory specializing in carbonated beverages in Mojokerto, East Java.

The factory has been operating since 2014 with annual production capacity of 50 million liters. However, Multi Bintang does not have any plans to expand the factory even though it has seen an increase in income from the business, considering it sufficient for now, Fahmi added. (wnd)