Beer consumption in the BRIC countries increased by almost 50 per cent over the past year, a series of new reports from Canadean suggest.

The research organisation said India showed the most potential, with sales almost doubling since the start of the century, with lower taxes and improved distribution channels bringing the biggest growth in northern states of Punjab, Haryana and Rajasthan.

Canadean said the Indian market remained tuned into domestic brands, with Foster's the only international beer to make any big impression.

But that could all change with Budweiser's decision to enter the market earlier this year.

The report predicts growth of 4 per cent in Brazil for 2007, with consumption driven by competitive prices and packaging innovation.

In Russia, the introduction of 25cl and 50cl PET bottle beers by leading brewers is driving sales of discount beers in regional markets.