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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.

Graincrop buys Kirin malthouse

GRAINCORP has agreed to buy all shares in malt house operator Kirin Australia from Japan's Kirin Brewery Company Ltd for $10.55 million.
GrainCorp managing director Alison Watkins saidL "The Kirin Australia malt house is in an ideal location for supplying malt into the expanding South East Asian beverage market, so having a production base in Western Australia is an important diversification step for GrainCorp Malt".
"GrainCorp will also gain access to varieties of barley grown in WA that are not readily available to us in the east.
"This is an important competitive factor for us and should allow GrainCorp Malt to appeal to a wider range of customers, particularly in Asia."
Kirin Australia was founded in 1976 as a joint venture with Barrett Burston Malting.
It operates a malt house producing 46,000 tonnes per annum at Welshpool, Perth, in Western Australia.
Shares in GrainCorp were two cents higher at $7.38 today.
27 Mar. 2011



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