Global hop marketA 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 RussiaGermany 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.
10+1 trends of Russian beer market 2015-2017Despite of the moderately negative prognoses for 2017, the beer market can be stabilized soon. Yet the years of the negative dynamics have resulted in marketing being limited just to “optimization” and the art of balancing between price and volumes. Bigger supermarkets share means stronger trade marketing. These processes are connected to the majority of the described trends. At the same time, the federal brands inflation leads to searching for new tastes, sales channels and contact formats that expand the product range and diversify the beer market, but do not imply a substantial volume increase. Let us enumerate and further discuss the ten trends of the beer market we can see in 2015-2017 as well as the major event of 2017.
Beer market of Ukraine 2017In the first half of 2017, the Ukrainian beer market goes on decreasing slowly. Yet, the companies manage to compensate their lost volumes by raising prices and improving the sales structures. This results in the mid price market segment reduction while the sales of premium brands are rising. These processes are connected to position strengthening of companies Carlsberg Group and Oasis and the market share reduction of Obolon. Most of the novelties by the market leaders belong to craft or hard lemon categories.
Beer market of Russia 2016: PET goes to draftThe beer market of Russia was warmed up by the hot summer, but the preparation for large volume PET prohibition has already impacted it negatively. The year was successful for Efes, MBC and regional producers; Carlsberg’s positions were virtually stable but AB InBev and Heineken lost a part of market share having focused on the sales profitability. The dynamics of big brands was determined by how much the companies were willing to keep the prices down or by their promotional activity. In this context the economy segment of the beer market and sales of inexpensive draft beer were increasing. The premium segment started shrinking due to license brands migrating to the mainstream segment.
US. Oskar Blues brewery opens in Brevard
The lively local craft beer scene really got hopping Wednesday with the opening of the new Oskar Blues East Coast expansion plant.
It’s the first of three big national craft breweries coming to Western North Carolina, and it joins almost 20 smaller breweries already open around the mountains, most of them in Asheville. Sierra Nevada will open its big local brewery in 2013 in Henderson County and New Belgium will arrive in Asheville in 2014.
“Six months ago, we decided to build a brewery, and here we are,” said Oskar Blues founder Dale Katechis. The company’s flagship brewery in Longmont, Colo., had reached capacity, he said. “Forty percent of our beer is sold on the East Coast. We didn’t look anywhere other than Brevard.”
Katechis has been a frequent visitor to Western North Carolina and Oskar Blues is a sponsor of the annual Mountain Song Festival in Brevard. “This is the only place I was willing to travel,” Katechis said.
The plant becomes the largest brewery in the Carolinas, with 56,000 barrels of beer scheduled for production next year. Previously, Highland Brewing of Asheville was the area’s biggest brewer with 30,000 barrels of beer made in 2012.
All six of Oskar Blues year-round beers will be made and canned in Brevard. The company was a pioneer in canning craft beer and does not bottle its products. Some specialty draft ales will be only available at the brewery tasting room, which opens today.
Since Oskar Blues announced that it was opening in Brevard, local sales have spiked, said Brian Eddington, general manager of Skyland Distributing, which places the company’s beers in stores, restaurants and bars.
“We’ve doubled our sales since that announcement,” Eddington said. “In Western North Carolina, the community supports local businesses.” Meanwhile, sales remain strong for Highland beers, also distributed by Skyland, Eddington said. “They are growing at double digits,” he said.
Highland founder Oscar Wong expects Oskar Blues, Sierra Nevada and New Belgium to be strong competitors.
“From a community point of view, I welcome them,” he said. “From a businessman’s point of view, I am fired up to compete.”
Local breweries “will have to up their game up a notch,’ said Asheville Brewing president Mike Rangel, who also cans his beers.
“We owe a debt of gratitude for being the first guys to go after the canned craft segment. That has trickled down here in a huge way.”
Opening day for the brewery didn’t go without one minor hiccup: A shuttle carrying media and local brewers to the Oskar Blues brewery in Brevard was stopped en route Wednesday morning by the N.C. Highway Patrol for questions about the vehicle’s license plates.
Trooper David Williams said he stopped the trolley because it carried a standard plate, rather than a “for-hire” tag. Since the passengers were not paying customers, no law was broken and the shuttle was quickly back on its way to Brevard.
13 Dec. 2012