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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.

Australia. Foster’s says beer market decline easing

Brewer Foster's Group Ltd says a decline in the Australian beer market is easing, and the market should grow again once the current period of economic uncertainty ends.

"The market decline has begun to moderate in recent months, and we expect continued improvement," Foster's chairman David Crawford said in Foster's 2011 annual report.

"The long-term fundamentals of the beer and cider categories in Australia remain strong, and once through the current period of economic uncertainty, we are confident that the beer category will return to its long-term trend of modest growth."

The craft beer and international premium beer segments were likely to lead the beer category, and the cider category was expected to remain in strong growth.

Foster's said beer was still the most popular alcohol category in the market, and there were opportunities for beer and cider to become even more popular.

The annual report showed that Foster's chief executive John Pollaers, who started in the role in May 2011, received total remuneration for the year of $1.18 million.

Ian Johnston, who was previously chief executive until Foster's demerged its beer and wine operations, received total remuneration of $5.89 million.

Foster's shares ended two cents lower at $4.89 on Wednesday.


21 Sep. 2011



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