The beer market dynamics in Russia is approaching zero, yet major brewers are divided into those who developed considerably in 2017 and those who considerably reduced their volumes. For instance, company Efes has managed to substantially extend their sales due to restrained pricing policy and activity in the modern trade. Heineken has also demonstrated an excellent performance promoted by significant increase of advertisement budgets launching a non-alcohol sort of the title brand and unusual activity in the economy market segment. Carlsberg and AB InBev have been focusing on margins and lost a market share of their inexpensive brands. Serious dependence on PET package and mass enthusiasm about Zhigulevskoe have negatively impacted the most of big regional brewers, that have been for the first time pressed by the leaders in the key sales channels, especially in Volga and Central regions. In the small business there has been a noticeable slowdown in appearing of new restaurant breweries, yet the number of craft breweries has been growing rapidly. In 2018, the beer market is likely to grow a little, while the share of AB InBev Efes may decrease due to the integration. ...
“Catalogue of Russian Beer Producers 2018” includes 1070 businesses ranging from large subsidiaries of international companies to rather small restaurant and craft microbreweries.The catalogue includes 32 large breweries, 75 regional breweries, 693 industrial mini- and microbreweries as well as 270 restaurant breweries. ...
Global hop marketA local alternative to mass beer suggested by independent brewers has been successful and is now altering the global market. Beer is becoming more diversified, so transnational companies have to accept the new game rules and to switch focus to young and fast growing markets. All these processes increased the demand for aroma and bitter hop as well as their acreage expansion on two continents. However now there appeared a downward trend of alcohol consumption in the world, so even special sorts can soon turn to be sufficient. In this connection the dynamic American hop market is already facing some problems. EU hop producers have become more cautious, they are not racing to exceed the demand and look forward with more confidence, judging by the contract terms.
Hop Market in RussiaGermany still dominates the Russian market, yet over the recent two years one has been able observe a continuous success of Czech hop suppliers. Their expansion and growing popularity of hops from the United States became the drivers of supplies growth in 2016 despite the preceding modest harvest crop in the EU, as well as the factor of relative stability in 2017. In this connection, in 2017, the ratio of the varieties continued to shift towards the aroma ones, and the supplies of Magnum hop and other alpha varieties were reduced. However, the import of bitter hop pellets is partially replaced by extracts, especially from the major beer manufacturers. Total volumes of alpha acid supplies, according to our estimation, decreased by approximately 5% and returned to the level of 2015. Barth Haas Group continues dominating the hop products market; HVG also increased its weight. At the same time, Morris Hanbury significantly reduced the supplies in 2017.
US. On tap: Breweries in Bay, Midland, Saginaw counties continue growing in popularity, profitability
In Bay City, two breweries - BARTS, 804 E. Midland, and Tri City Brewing Co., 3020 N. Water - have opened since 2005. Owners of each facility see more growth this year.
"We've basically doubled our sales the last two years," said Kevin Peil, majority owner and founder of Tri City Brewing Co.
Peil opened the brewery, which has about 40 or so other investors/owners, in 2007. The brewery, which sells some of its product at Midland's Dow Diamond minor league baseball park, expects to expand its tasting room this year and increase its production by more than 60 percent.
"We're targeting 550-600 barrels this year," Peil said.
A barrel of beer equals 31 gallons, or about 330 12-ounce cans or bottles.
View full sizeMichael Randolph | The Bay City TimesThe IPA or 'Indian Pale Ale' is one of 11 beers on tap that are brewed at B.A.R.T.S. in Bay City.
Bay City businessman Art Dore, owner of BARTS - formerly Lumber Barons' Charcoal Grill and Brew Pub - reopened the facility in 2005.
"The revenue has been increasing steadily in the brewery," said Dore, who owns a number of bars and restaurants in Bay City. "The brewery part is one of our high points."
BARTS produces about 375 barrels a year, according to brewmaster Marty Rapnicki.
"Beer is very profitable," Rapnicki said. "Alcohol in general is more profitable than food, and then you add the fact you make it, so you don't have the middleman and the distribution."
On Jan. 22, about 600 people attended a beer tasting event at BARTS with 20 brewers, including the region's newest brewery, Midland Brewing Co.
"So far we're spot on where we want to be, and it's just a matter of every month it ratchets up another level," said Keith Lawrence, co-owner and brewer of Midland Brewing Co., 5011 Saginaw, Midland. "There's potential."
Scott Graham, executive director of the Michigan Brewers Guild, a nonprofit public awareness and promotion group for Michigan craft beer brewers, said Michigan ranks fifth in the nation with about 90 craft breweries.
One of Michigan's most well-known craft brewers is in Saginaw County. The Frankenmuth Brewery dates back to 1862, although the current building was constructed in 2003.
Frankenmuth Brewing Co. brewed about 2,500 barrels last year, according to the brewery's president, Haithem K. Sarafa.
"We're continuing to grow," Sarafa said. "We plan to double our output this year."
Frankenmuth Brewery, 425 S. Main, reopened July 1, 2009, after being shuttered for three years. It joined Sullivan's Black Forest Brew Haus & Grill, 281 Heinlein, as the city's second brewery to open since 2003.
Graham and other officials attribute sales growth to a close-knit brewing community and rising interest from consumers for specialty beers.
"Craft brewed beer in Michigan has been going up," Rapnicki said. "Everybody's thinking about buying local, think locally ... well why not buy locally produced beer?"
1 Feb. 2011