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4-2017

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.

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Russia. The range of alcohol in restaurants can be halved

Since the beginning of the year, HoReCa establishments cannot resell alcohol purchased at retail, not at wholesalers.

Since 1 January 2016, with the expansion of the scope of the USAIS, the restaurants and cafes have lost the ability to legally purchase alcohol at retail stores and sell it. Igor Bukharov, the Chairman of the Federation of restaurateurs and hoteliers, explained this to Izvestia.

According to him, the USAIS system allows the registration of alcohol purchase by catering only at the company-wholesaler. The alcohol purchased at retail trade for selling at the restaurant drops out of the accounting system and would be considered by competent authorities as counterfeit. Also, HoReCa establishments of the same network lost the ability to reallocate the deliveries of alcohol from one place to another.

Alexei Nebolsin, the representative of “Opora Rosii”, is convinced that the range of alcohol in catering could decrease by 30-50%. “HoReCa turned out to be the least prepared for the introduction of the USAIS. First, only on 16 December they received an official letter from Rosalkogolregulirovaniy informing that they, like the retail trade, have to connect to the system. Second, HoReCa unlike stores has never formed a large stockpiles of alcoholic beverages,” Nebolsin explained the reasons of the upcoming shortage.

The USAIS system has no possibility to account the purchase of a bottle sold in a retail store. Small regional restaurants and cafes that provide the diversity only due to the purchase of alcohol in retail have serious problems with the purchase of alcohol. According to him, there are restaurants where wholesale suppliers do not even reach.

According to the Federation of restaurateurs and hoteliers, alcoholic products take up 40-50% in the turnover of cafes and restaurants and 80% in the turnover of bars. About 3% of the alcohol is realized though the catering.

Rosalkogolregulirovanie reported to “Izvestia” that according to the rules of the USAIS, HoReCa, which is retail, did not have the right to purchase alcohol from other retailers before.
We remindl that the USAIS that has been implemented in the production of strong alcoholic drinks since 2006 to account the production of alcoholic beverages. The USAIS helps to control the charging of excise duty as well as impedes the implementation of counterfeit goods.

20 Jan. 2016

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