Asahi Group Japan has launched LIKE MILK, the country’s first yeast-based beverage with milk-like characteristics. The product is packaged in SIG SmallBloc aseptic cartons and filled using the SIG Small 12 Aseptic filling machine, a high-output, flexible filling solution from SIG. LIKE MILK is currently in test sales in selected Japanese supermarkets and e-commerce channels, with plans to expand distribution by 2026. The launch is marking a first step of the partnership between Asahi Group Japan and SIG.

Filled by co-packer Mori Milk, the debut of LIKE MILK represents Asahi’s first commercial product in partnership with SIG. “Through LIKE MILK, we aim to help realize a society that embraces food diversity, where everyone can freely enjoy food regardless of physical conditions such as allergies, ethical beliefs, or preferences for non-dairy or health-conscious choices. Unlike traditional dairy alternatives made from soy, oats, or nuts, LIKE MILK is yeast-based and developed using Asahi Group’s proprietary yeast technology. The result is a beverage containing levels of protein and calcium comparable to cow milk, yet free from milk components and the 28 specified allergenic ingredients. This makes it ideal for health-conscious consumers and people dealing with dietary restrictions,” said Tomohiro Hata, Senior Manager, Future Creation Headquarters Department at Asahi Group Japan. “Our LIKE MILK product was brought to market quickly and with the highest quality thanks to SIG’s flexible filling technology and co-packing network. As consumer demands continue to diversify, including growing health consciousness and sustainability awareness, agility in product development and packaging has become critically important.”

Following the announcement on 25 January 2019 that Asahi Europe Ltd (AEL), a wholly-owned subsidiary of Japan-based Asahi Group Holdings, Ltd. (Asahi), has acquired the entire premium beer and cider  business, including the flagship London Pride ale brand, of Fuller, Smith & Turner P.L.C for £250m.

Shagun Sachdeva, Consumer Insights Analyst at GlobalData, a leading data and analytics company, offers her view on the blockbuster deal: 

“At a time when most companies are grappling with growing uncertainty over Brexit and economic uncertainty, Asahi seized the opportunity to further expand its overseas reach and have a greater distribution network on an international scale. Similar to its Japanese rivals such as Kirin Holdings Co., Suntory Holdings Ltd., and Sapporo Holdings Ltd., Asahi is facing a major down trend in the domestic market as health-conscious youth are cutting back on drinking.

“This deal expands Asahi’s brand portfolio, as Fuller’s ‘Frontier’ brand in the premium lager market and ‘Cornish Orchards’ brand in the premium cider market join the company’s previously acquired brands such as Czech market leader Pilsner Urquell, Hungary’s Dreher, Italy’s Peroni, Poland’s Tyskie and Lech, and Romania’s Ursus. Based on terms of agreement, Asahi will also receive the benefit of a license to use certain trademarks – including the ‘Fuller’s’ name, logo and cartouche – for the provision of beverages along with control of Fuller’s Griffin Brewery in London while the ownership of the licensed trademarks will be retained by Fuller’s.

“During the time of acquisition of Pilsner Urquell and other eastern European brands in 2016, the Tokyo-based brewer stated that it was looking to establish itself as a global player with premium brand portfolio. Therefore, the main driver of this deal, which is expected to complete in the first half of 2019, could be Asahi capitalizing on the heritage of Fuller’s brands and leveraging Brexit as an opportunity to earn higher margins due to cheaper exports. Most of the overseas ventures undertaken by Asahi produced mixed results and especially, since the Pilsner acquisition, it has shied away from investing elsewhere in Asia. With this deal, it would definitely secure the future of its brand.”