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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.

Asahi Holds Onto Lead Over Kirin in Japan

Asahi Breweries Ltd. maintained its position as Japan’s biggest beermaker last year, widening its market-share advantage over Kirin Holdings Co. as demand in the nation fell for a seventh straight year.

Asahi had a 37.9 percent share of shipments for standard, low-malt and no-malt beer last year, ahead of Kirin’s 36.2 percent, the Tokyo-based brewers said today in separate statements. Industrywide sales dropped 3.7 percent to 442 million cases, the lowest level since records began in 1992.

Kirin’s 2011 share dropped from 36.7 percent in 2010, as Japan’s strongest earthquake on record, ensuing tsunami and nuclear accident disrupted beer production. Sales of its “Ichiban-Shibori” brand fell 2.1 percent last year. Asahi said demand for its “Super Dry” and “Clear Asahi” brands helped the company maintain its market share.

Asahi and Kirin forecast beer demand in their home market will drop by 1 percent to 2 percent this year, while Suntory Holdings Ltd. (SUNTZ) predicts a 3 percent decline as the population ages and shrinks.

Suntory’s share in 2011 was 13.3 percent, the highest on record for the company. Sapporo’s was 11.6 percent.

Asahi rose 0.6 percent to 1,726 yen as of 10:39 a.m. in Tokyo trading. Kirin gained 0.6 percent and Sapporo rose 0.7 percent.

A case of beer in Japan is equivalent to 12.66 liters (3.3 gallons).

17 Jan. 2012



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