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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.

Texas Beer Consumption Goes Flat

high unemployment among core beer consumers, tougher drunk driving laws seen
The Beverage Information Group says Americans consumed less beer in 2010, guzzling 2.8 billion cases of beer less than the year before, for the fourth straight decline.
That amounts to a 1.9% drop in beer consumption, with the biggest drops being seen in consumption of light beer, which was the trendy rage in the 1980s.
Kim Forsythe, whose company operates several restaurants and bars around Texas, says drinkers are turning more to specialty beers and to non traditional drinks as they seek out a testy but less fattening beverage.
"An educated palate is trying more options that are being offered, from Mexico and Europe," he told 1200 WOAI's Berit Mason.
But the report says the gains in the specialty beer segment can't make up for losses caused by higher fuel costs, which leave people with less discretionary income, and high unemployment among core working-class beer drinkers.
"They're looking for 'skinny drinks,' now," Forsythe said. "We have other alcohol drinks now that are very popular."
Another factor which is influencing the decline in beer sales is a new concern about drunk driving, and far tougher enforcement of drunk driving laws.
The BIG says so called 'super premium beers,' as well as 'craft and specialty beers' are seeing an increase, something Forsythe is seeing among his Texas customers.
"It is becoming more sophisticated, the growth of home grown beers, and many communities now have their own local breweries," he said.

21 Sep. 2011



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