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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.

US. Budweiser Falls from the Throne

Coors Light has ousted Budweiser (NYSE:BUD) from its place as the No. 2 beer in America. According to trade publication Beer Marketer’s Insights, this is the first time in nealry two decades that the nation’s top two beer brands have not been under the control of Anheuser-Busch.

Coors Light has been catching up with the King of Beers for years, and analysts foresaw its rise to No. 2 last year. In fact, MillerCoors was so sure of its success that early last year Chief Marketing Officer Andy England confidently told distributors that “Budweiser is going down, baby.”

Still, Budweiser has recently benefitted from improving trends, leading some to believe that that it might be able to hold its own against Coors Light at least for awhile. But Beer Marketer’s Insights reports that Bud was still down 4.6 percent in shipments at the end of 2011. Today the publication reported that although that was the brand’s slowest fall in years, it still didn’t keep it safe from Coors Light, which increased 0.8 percent.

In all, Coors Light shipped 18.2 million barrels, while Budweiser ended 2011 with 17.7 million barrels shipped, according to Beer Marketer’s Insights, which has a reputation as the most respected keeper of beer market-share data. (The numbers include Puerto Rico and exports; although even if that data is excluded, Coors Light would beat Bud in the U.S.) A-B’s Bud Light is still the nation’s top-selling beer by a wide margin.

10 Jan. 2012



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