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4-2017

Global hop market

A 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 Russia

Germany 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.

UK: 980,000 jobs depend on brewing and pub trade

A new report by leading economic experts Oxford Economics shows that 980,000 jobs in the UK depend on the beer and pub trade. The British Beer & Pub Association which commissioned the report, on Wednesday said the figures will fuel concerns over plans for huge beer tax hikes in the Budget next month.
The Oxford Economics report, which also provides a breakdown of jobs, wages and value added by UK region, shows for the first time that:
•980,000 people in the UK depend on beer and pubs for work
•The beer and pub trade adds over ?21 billion to the UK economy every year
•?13.4 billion in UK wages are dependent on the trade, each year
BBPA Chief Executive Brigid Simmonds, comments:
“These figures show how vital the beer and pub trade is to the UK economy, with huge numbers of jobs dependent on the sector.
“With the economy struggling, these jobs are vital. The Government is planning massive increases in Beer Tax in the Budget next month. This is the last thing we need. With the Government looking for growth, with the right policies, we could be creating thousands of new jobs.
“That’s why we are calling for a freeze in beer duty in the Budget, to help this vital part of the local economy.”

20 Feb. 2011

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