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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.

China. Former Marketing Director became the CEO of CR Snow

Immediately after China Resources Group bought 49% of the shares of SABMiller, there was a message about changes of personnel at CR Snow.

The former Marketing Director Hou Xiaohai (侯孝海) has become the new CEO of China Resources Snow Beer. Wang Qun, who previously held that position, was appointed Deputy Chairman of the Board.

Both chiefs have graduated from Renmin University of China. Prior to joining China Resources, Hou Xiaohai worked at Shougang, Gallup Inc. and The Pepsi-Cola Company. In 2002 he started his career at CR Snow Breweries as Sales Development Director.

A year later he was appointed Deputy CEO and Marketing Director. In 2006 he developed a neo-olympic marketing theory that brought huge success to CR Snow. The Chinese people call Hou Xiaohai the first person on neo-olympic marketing.

Wang Qun has been the CEO of CR Co and CR Snow since 1994. He has degree in Finance and Economics degree.

Xu Hui and Li Ji were appointed Deputy CEO and Youtai Lui, Cheng Shaokai and Bai Xiaosong have become new Assistant General Managers.

It is likely that new personnel appointments will cause substantial revision of marketing policy agreed on jointly with SABMiller.

3 Mar. 2016

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