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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.

drinktec

UK: Alcohol consumption in 2010 far lower than 2004 peak – new industry stats bible

UK alcohol consumption in 2010 remains far lower than it was six years ago, with consumption continuing to flat-line – this and a wealth of other key statistics are contained in the latest annual edition of the British Beer & Pub Association’s Statistical Handbook 2011. While there was a small 0.6% rise in UK consumption per head in 2010, drinking levels are still 11% lower than they were in 2004 when a marked decline in UK consumption began. The data also shows that the UK ranks below the European average in terms of consumption.

These figures, based on Treasury tax returns, raise serious questions about the debate on rising alcohol consumption, says the BBPA, with Chief Executive Brigid Simmonds calling for a debate firmly based on the facts when it comes to UK alcohol consumption.

Other startling findings in the new statistics are certain to raise concerns about the UK’s approach to the industry. Britons continue to pay punitive taxes on alcohol in comparison with its neighbours, and this ‘tax gap’ is growing – British alcohol taxes are now the second highest in the EU on beer and wine, and fourth highest on spirits. Currently tax policy is a threat to jobs among the million people employed in industry, says the BBPA.

The gap between British alcohol taxes and all its major neighbours grew in 2011. UK taxes are now eight times higher than France, and 11 times higher than Germany. UK taxes now outstrip those of traditional high-tax regimes in Scandinavia, with the sole exception of Finland.

 

Other key facts about Britain’s drinking to emerge in the new report:

• The average price of a British pub pint has broken the three pound barrier – partly due to huge tax increases.

• The North East is the cheapest region for a beer, whereas London is almost 50 per cent more expensive. The cheapest region for a glass of wine in a pub is the Midlands, whereas Wales is cheapest for spirits.

• New tables on beer and pub jobs now cover every region in Britain

• Off-trade (supermarket and shop) sales of beer now account for almost 50 per cent of total sales.

 

Brigid Simmonds comments: “When it comes to alcohol, we need a debate based on the hard facts. Alcohol consumption per head is 11 per cent lower than in was in 2004. Tax rates have soared to unprecedented levels at a time when household budgets are stretched. Huge, 35 per cent rises in beer taxes in the past three years have been deeply damaging to British brewers, who operate one of our most innovative and successful manufacturing industries.

“The number of those drinking above health guidelines has been falling for a number of years [ONS General Lifestyle Survey] and industry is rightly investing in responsible drinking campaigns – yet some still demand ever increasing restrictions and taxes. It’s time the debate caught up with the hard facts.”

15 Sep. 2011

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