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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.

Taiwan & Vietnam. Gold Medal Taiwan Beer reportedly close to signing deal on opening brewery in Vietnam

Gold Medal Taiwan Beer, a century-old brand brewed by the state-owned Taiwan Tobacco & Liquor Corp., will open a brewery in Vietnam in the near future, a source familiar with the matter was quoted as saying by China Post on December 14.

After more than two years of market survey and assessment, the state-owned enterprise has decided to partner with Sapporo Vietnam Co. Ltd., a fully owned subsidiary of Japan's Sapporo International Inc., which will handle production of its beer in Vietnam, the source said.

The Taiwanese and Japanese companies are expected to sign a contract on December 17 at Taiwan Trade Center's representative office in Ho Chi Minh City, and R.O.C. Representative to Vietnam Huang Chih-peng will also be present, the source said.

Under the deal, Sapporo Vietnam will be responsible for production of Taiwan Beer in the southern province of Long An near Ho Chi Minh City, while a Vietnamese company will handle the marketing, according to the source.

Taiwan Beer is expected to hit the Vietnamese market before March 2016, in the first overseas venture by Taiwan Tobacco & Liquor Corp. in alcoholic products.

The company is also aiming to expand sales to other Association of Southeast Asian Nations (ASEAN) markets via the deal, the source said.

With a population of 90 million, Vietnam is one of the world's largest consumers of alcohol. According to statistics, beer sales in the country were around 3.1 billion litres in 2014. Based on the average price of US$1 per litre, the country's beer sales totaled some US$3.1 billion last year.


17 Dec. 2015



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