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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.

Brewers’ sponsorship helps drive economy – football chief

The head of Europe's professional football leagues has warned that moves to keep brewers out of sports sponsorship would be “a step in the wrong direction”.

Sport is an economic driver in Europe and sponsorship an important source of revenue, Emanuel Macedo de Medeiros, the European Professional Football Leagues' CEO, said at The Brewers of Europe’s annual gala in Brussels on Thursday (22 November). “If the Eurozone crisis is to be resolved and vital sectors, such as sport and brewing, are to remain competitive and economically viable, then we need to be able to operate in a sustainable business environment,” he said.

The gala event, which also saw The Brewers of Europe appoint a new president, heard that Europe's brewers spend EUR1bn (US$1.3bn) each year on sports sponsorship. About two-thirds go to community-based events compared to about 12% spent on major events, the organisation said.

Earlier this year, Ireland said that it is considering a ban on alcohol brands sponsoring sport, a move that Diageo CEO Paul Walsh last month branded "ridiculous".

Brigid Simmonds, the British Beer & Pub Association's chief executive, said sponsorship was vital to sport's grassroots. “Beer sponsorships provide a lifeline for community events including sports activities, many of which would simply not happen without the support of local brewers and pubs,” she said.

This year saw a number of high-profile beer and sport partnerships, including the European Football Championships, sponsored by Carlsberg, and the London Olympics, with Heineken a lead sponsor.

27 Nov. 2012



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