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.
10+1 trends of Russian beer market 2015-2017Despite of the moderately negative prognoses for 2017, the beer market can be stabilized soon. Yet the years of the negative dynamics have resulted in marketing being limited just to “optimization” and the art of balancing between price and volumes. Bigger supermarkets share means stronger trade marketing. These processes are connected to the majority of the described trends. At the same time, the federal brands inflation leads to searching for new tastes, sales channels and contact formats that expand the product range and diversify the beer market, but do not imply a substantial volume increase. Let us enumerate and further discuss the ten trends of the beer market we can see in 2015-2017 as well as the major event of 2017.
Beer market of Ukraine 2017In the first half of 2017, the Ukrainian beer market goes on decreasing slowly. Yet, the companies manage to compensate their lost volumes by raising prices and improving the sales structures. This results in the mid price market segment reduction while the sales of premium brands are rising. These processes are connected to position strengthening of companies Carlsberg Group and Oasis and the market share reduction of Obolon. Most of the novelties by the market leaders belong to craft or hard lemon categories.
Beer market of Russia 2016: PET goes to draftThe beer market of Russia was warmed up by the hot summer, but the preparation for large volume PET prohibition has already impacted it negatively. The year was successful for Efes, MBC and regional producers; Carlsberg’s positions were virtually stable but AB InBev and Heineken lost a part of market share having focused on the sales profitability. The dynamics of big brands was determined by how much the companies were willing to keep the prices down or by their promotional activity. In this context the economy segment of the beer market and sales of inexpensive draft beer were increasing. The premium segment started shrinking due to license brands migrating to the mainstream segment.
UK. World’s strongest beer goes on sale at ?55 a bottle
Sink The Bismarck is believed to be the strongest beer in the world with a 41 per cent alcohol content. Brewed by Scottish firm BrewDog it costs ?55 for a 330ml bottle.
The drink, which works out as ?95 per pint, has four times as many hops than ordinary beers, say its makers.
The beer is supposed to be drunk in small quantities because it is so strong and has been designed with a screw top so it can be resealed.
Sink The Bismarck is believed to be the strongest beer in the world with a 41 per cent alcohol content. Brewed by Scottish firm BrewDog it costs ?55 for a 330ml bottle
The beer is supposed to be drunk in small quantities because it is so strong and has gone on sale in a pub in Birmingham
Now a pub in Birmingham has put the controversial beverage behind the bar.
Nigel Barker, landlord at the Wellington, told the Birmingham Mail: 'It has to be drunk in moderation because of its strength but we have sold several bottles.'
The taste for extra-strong beers has seen other brands appear on the market and an off licence close to the pub is selling one which is 'just' 32 per cent alcohol and also sells at ?55 for a 330ml bottle.
The high alcohol content means a 50ml serving would be the equivalent of consuming two glasses of wine.
The label warns: 'This is an extremely strong beer; it should be enjoyed in small servings and with an air of aristocratic nonchalance - in exactly the same manner that you would enjoy a fine whisky, a Frank Zappa album or a visit from a friendly yet anxious ghost.'
Harpal Rai, 34, off-licence owner, says he has sold four bottles of powerful Tactical Nuclear Penguin beer. He said: 'We tend to sell it more to the wealthier client, like doctors and lawyers, not only because of the price, but also for the taste too'
Harpal Rai, 34, owner of the Rai Wine Shops off-licence, said he has sold four bottles of the beer.
But Jack Law, of Alcohol Focus, said the super strong drink was a 'cynical marketing ploy' which could encourage irresponsible drinking.
He added: 'We want to know why a brewer would produce a beer almost as strong as whisky?
The fashion for super-strength booze comes at the same time that the Government has ordered a crack down on binge drinking.
Pub and club promotions that encourage drinking to excess will be banned in a retreat from a previous policy of liberalising licensing laws.
Licensees face fines of up to ?20,000 or up to six months in jail for offers such as 'All you can drink for ?10', or 'Free drinks for women under 25'.
But Harpal said the super strong beers are not aimed at the younger market and claimed they would not encourage irresponsible drinking.
'The beer is more for the discerning customer who likes quality and appreciates the drink,' he added.
'We tend to sell it more to the wealthier client, like doctors and lawyers, not only because of the price, but also for the taste too.
'They are brewed like a very good whisky hence the long wait in receiving the stock.'
Managing director James Watt from BrewDog said: 'This beer is about pushing the boundaries, it is about taking innovation in beer to a whole new level.'
He added that a beer such as Tactical Nuclear Penguin should be drunk in 'spirit-sized measures'.
8 Feb. 2011