Budweiser Budvar Brewery
Encyclopedia
Budweiser Budvar Brewery (Budějovický Budvar) is a brewery in the city of České Budějovice
Ceské Budejovice
České Budějovice is a city in the Czech Republic. It is the largest city in the South Bohemian Region and is the political and commercial capital of the region and centre of the Roman Catholic Diocese of České Budějovice and of the University of South Bohemia and the Academy of Sciences...

 (Budweis), Czech Republic
Czech Republic
The Czech Republic is a landlocked country in Central Europe. The country is bordered by Poland to the northeast, Slovakia to the east, Austria to the south, and Germany to the west and northwest....

, that is best known for brewing a beer known as Budweiser Budvar in the European Union, Czechvar in the United States and Canada, and either Budweiser Budvar or Budějovický Budvar in the rest of the world.

History

The original Budweiser Bier or Budweiser Bürgerbräu, was founded in 1785 in České Budějovice
Ceské Budejovice
České Budějovice is a city in the Czech Republic. It is the largest city in the South Bohemian Region and is the political and commercial capital of the region and centre of the Roman Catholic Diocese of České Budějovice and of the University of South Bohemia and the Academy of Sciences...

 (Budweis), Bohemia
Bohemia
Bohemia is a historical region in central Europe, occupying the western two-thirds of the traditional Czech Lands. It is located in the contemporary Czech Republic with its capital in Prague...

, which at the time (until 1918) was part of the Habsburg Monarchy
Habsburg Monarchy
The Habsburg Monarchy covered the territories ruled by the junior Austrian branch of the House of Habsburg , and then by the successor House of Habsburg-Lorraine , between 1526 and 1867/1918. The Imperial capital was Vienna, except from 1583 to 1611, when it was moved to Prague...

. The company began exporting to the US in 1871. In the U.S., Anheuser-Busch started using the Budweiser brand in 1876 and registered it two years later.

A second company (now named Budvar) was established in 1895 by mainly Czech brewers, which also started exporting beer under the name Budweiser
Budweiser
Budweiser is a German adjective describing something or someone from the city of České Budějovice in Southern Bohemia, Czech Republic.Beer brewing in České Budějovice dates back to the 13th century...

(being the German way of referring to something from the city such as a beer, while "Budějovický" means the same in Czech). These exports into the US market led to the Budweiser trademark dispute. Negotiations between the three companies, the two from the original town and the American Anheuser-Busch, about using "Budweiser
Budweiser
Budweiser is a German adjective describing something or someone from the city of České Budějovice in Southern Bohemia, Czech Republic.Beer brewing in České Budějovice dates back to the 13th century...

" reached an agreement in 1911 that allowed Anheuser-Busch to use the brand "Budweiser" only in North America.

In most European countries American Budweiser is not labelled as Budweiser but as Bud, and the name Budweiser refers to the original Czech beer, Budweiser Budvar, except for the United Kingdom, where both beers are sold as Budweiser.

After World War I the Austro-Hungarian Empire was broken up, a number of new states were created, including Czechoslovakia
Czechoslovakia
Czechoslovakia or Czecho-Slovakia was a sovereign state in Central Europe which existed from October 1918, when it declared its independence from the Austro-Hungarian Empire, until 1992...

. After the fall of communism, both local breweries tried to secure rights to traditional names.

Trademark dispute

Since three companies had or have trademarks for the name "Budweiser", they have been party to many lawsuits in a number of countries. Because of such disputes, Budvar is sold in the United States and Canada under the label Czechvar.

In the European Union (EU), Budějovický Budvar is recognized as a product with Protected Geographical Indication
Protected designation of origin
Protected Geographical Status is a legal framework defined in European Union law to protect the names of regional foods. Protected Designation of Origin , Protected Geographical Indication and Traditional Speciality Guaranteed are distinct regimes of geographical indications within the framework...

. However, the trademark rights to the name Budweiser for some products other than beer are owned by Anheuser-Busch.

In early 2007, Anheuser-Busch and Budvar reached an agreement that stated that Anheuser-Busch would market Budvar/Czechvar in the United States and several other countries for an undisclosed fee. However, both sides stated that this did not affect their lawsuits. Czechvar is listed in Anheuser-Busch's product lineup with brief product info sheet.

In March 2009, Anheuser-Busch lost an appeal against the EU's Office for Harmonisation in the Internal Market (OHIM) decision to reject the registration of Budweiser as an EU-wide trademark for beer for Anheuser-Busch. The court pointed out that Budějovický Budvar had proven that it had been using the trade mark during at least the five years preceding the publication of Anheuser-Busch's application for a Community trade mark. The decision also covers malted non-alcoholic beverages (such as non-alcoholic beer). On 29 July 2010, Anheuser-Busch also lost its last-instance appeal against this decision.

This means that Anheuser-Busch may not register the name Budweiser as an EU-wide trademark for beer. In Germany and Austria
Austria
Austria , officially the Republic of Austria , is a landlocked country of roughly 8.4 million people in Central Europe. It is bordered by the Czech Republic and Germany to the north, Slovakia and Hungary to the east, Slovenia and Italy to the south, and Switzerland and Liechtenstein to the...

 in particular, only Budějovický Budvar is allowed to use the trademark Budweiser.

Privatisation

On 6 April 2007, Czech Agriculture Minister Petr Gandalovič, whose ministry is in charge of the state-owned company, announced that the Budvar brewery would be privatized. Gandalovič repeated the possible privatization process would depend on the outcome of the trademark
Trademark
A trademark, trade mark, or trade-mark is a distinctive sign or indicator used by an individual, business organization, or other legal entity to identify that the products or services to consumers with which the trademark appears originate from a unique source, and to distinguish its products or...

 dispute with Anheuser-Busch
Anheuser-Busch
Anheuser-Busch Companies, Inc. , is an American brewing company. The company operates 12 breweries in the United States and 18 in other countries. It was, until December 2009, also one of America's largest theme park operators; operating ten theme parks across the United States through the...

.

Brands

  • Budweiser Budvar Czech Premium Lager / Czechvar (Red, white, and Golden Label): The classic Budějovický Budvar lager. Contains 5% alcohol by volume.
  • Budweiser Budvar Pale Beer (Silver, white, and Golden Label): Marketed as a more accessible beer than the red label. Contains 4% alcohol by volume.
  • Budweiser Budvar Premium Dark Lager (Black Label): This beer is brewed in the same style as the red label, but is brewed from three different kinds of barley malts. Contains 4.7% alcohol by volume.
  • Budweiser Budvar non-alcoholic beer (Green Label): A non-alcohol version. Contains a maximum of 0.5% alcohol by volume.
  • Bud Super Strong (Dark Red Label): This beer is marketed as the super-premium member of the Budvar family. Contains 7.6% alcohol by volume.
  • Budweiser Budvar Yeast Lager: Unlike the other Budvar beers, Yeast Lager is served in kegs, not bottles. 5% alcohol by volume.
  • Pardál: Budvar calls Pardál "the perfect beer for sharp and full bitter flavoured beer lovers." Contains 3.8% alcohol by volume.

Advertising

In 2002, Budějovický Budvar set up a subsidiary company in the UK, Budweiser Budvar UK Limited, and saw a dramatic rise in sales for Budweiser Budvar in the UK, where the brand gained far wider distribution. For the start of the 2002–03 Scottish football season, Budweiser Budvar began sponsoring Scottish First Division
Scottish First Division 2002-03
The 2002-03 Scottish First Division was won by Falkirk, however they were not promoted to the SPL because their stadium, Brockville Park, did not meet SPL criteria. Alloa Athletic and Arbroath were relegated to the Second Division.-Table:-Attendances:...

 side Falkirk F.C.
Falkirk F.C.
Falkirk Football Club is a Scottish professional football club based in Falkirk. It is one of two professional football teams from the town, the other being East Stirlingshire...

. In the 2002–2003, Falkirk won the First Division but were denied entry to the Scottish Premier League
Scottish Premier League
The Scottish Premier League , also known as the SPL , is a professional league competition for association football clubs in Scotland...

 as the member clubs voted out their groundsharing proposals. Budweiser Budvar UK Ltd subsequently released a statement confirming their continued sponsorship of Falkirk in spite of this setback showing support for the club. Budweiser Budvar continued to sponsor Falkirk F.C. for another two seasons when Falkirk won the First Division
Scottish First Division 2004-05
The 2004–05 Scottish First Division was won by Falkirk.As league champions, Falkirk were promoted to the Scottish Premier League. Partick Thistle and Raith Rovers were relegated to the Second Division, and Second Division winners Brechin City and Stranraer were promoted.-Table:-Top...

 again in 2004–2005 in the new Falkirk Stadium
Falkirk Stadium
The Falkirk Stadium is a football stadium in Falkirk in central Scotland, which plays host to the home matches of Falkirk F.C. although the stadium itself sits partly within the boundaries of the neighbouring town of Grangemouth...

and were this time promoted to the SPL as a fitting end to Falkirk's Budweiser Budvar era.

External links

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