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.
Beviale Moscow 2015: great interest in the market
- Around 100 exhibitors participating from 17 countries
- Exhibition presenting entire beverage industry value-added chain in Russia
- Diverse support program rounding off the ranges
Beviale Moscow will be held from 6 to 8 October. The new offshoot of BrauBeviale in Nuremberg, the world’s most important equipment show in the beverage industry this year, is offering a broad portfolio across the entire value-added chain of beverage production: from high-quality raw materials through to innovative technologies and perfectly-tailored logistics up to creative marketing ideas. The interest in presenting oneself on the regional market and, at the same time, in an international environment is equally great for both exhibitors and associations. For the trade visitors from the Eastern European region it is thus proving to be the ideal platform for concluding individual agreements directly at the event.
Beviale Moscow sees itself as a gateway to the growth markets of Russia and its direct neighbours. And that is being well received: Around
100 exhibitors from 17 countries, more than half of them from the regional market, make use of the three compact fair days in Moscow to present solutions to their customers on site. The commitment and involvement of numerous associations also reflects the spectrum of the first integral beverage fair to be held on the Eastern European market. As a result, the areas milk, water, beer, wine, cereals and packaging are represented at Beviale Moscow.
“Our concept seems to have worked”, says a confident Thimo Holst, Project Coordinator, shortly before the first event. “The motto of Beviale Moscow – global solutions, local success – has proven to be correct: Key sector players have confirmed their participation, more than half the exhibitors come from the regional market. This clearly proves: The Eastern European market is ready for an integral trade fair in the beverage industry such as Beviale Moscow. I am delighted that it will be launching soon!”
Diverse support program
In addition to its specialist ranges, Beviale Moscow offers numerous possibilities for extending and intensifying the participants’ own know-how. Here too there is a spectrum of themes covering all the areas of the beverage industry. In this connection, among others, the “Dairy Union of Russia” is holding its annual conference on all three days of Beviale Moscow. The Russian packaging association is presenting an award for the best beverage packaging and putting on a seminar especially addressing the beverage packaging theme. The specialist highlight for brewers: the supporting conference staged by the Versuchs- und Lehranstalt für Brauerei in Berlin (VLB, Research and Teaching Institute for Brewing), the VLB seminar for the brewing and beverages industry in Russia along with the MicroBrew Symposium Russia. The much-in-demand further training events for managers from the industry as well as craft brewers and craft breweries are also already established in Russia and from 2015 will be held parallel to Beviale Moscow.
Information on the specialist range and support program available at:
15 Sep. 2015