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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.


Ethiopia: Tender for Meta Abo brewery attracts many bidders

The tender for Ethiopia’s Meta Abo brewery reportedly attracts many bidders. South African, British and Dutch breweries have put bids for the brewery as well as South Mellor, South-West Development, Diageo‘s John Walker & Sons, Scotch Whisky Distillers. The Privatisation and Public Enterprise Supervision Authority (PPESA) will close the tender on September 3rd.

Meta Abo Brewery is located in the town of Sebata, 27 km from Addis Ababa and has an annual production of 500,000 hl. The brewery, which was established in 1967 by the government and private individuals, is the last remaining state brewery following the acquisition of Harar Brewery and Bedele Brewery by Heineken earlier this year. It has a market share of 16%, second after BGI Ethiopia, a privately owned brewery, with a market share of 48%, which represents a capacity of 1.5 million hectolitres. The two breweries which were acquired by Heineken Heineken have a combined market share of 18%.

22 Aug. 2011



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