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.
The move to Shanghai is bearing fruit
“For the further development of this event, the move to Shanghai was important. A large part of the Chinese beverages industry is based here in Southeast China, and we are confident that this will give us even better integration with the market,” explained Markus Kosak, Exhibition Director with responsibility for the international trade fairs of drinktec worldwide.
Thanks to the improved infrastructure at the SNIEC, CBB offers exhibitors the perfect platform for showcasing their latest technologies and products for the Asian beverages industry. In addition, this year the exhibitors and visitors benefit from a significantly expanded range of services, developed in close collaboration with our Chinese partner, the Beijing Zhongquing Heli International Exhibition Group (Heli). In particular the online range of services has expanded. For example, exhibitors now have the opportunity of presenting themselves to the trade audience ahead of the show in the newly designed online catalog. Using the online exhibitor catalog, all participants can now plan their schedule at the fair more conveniently and efficiently. And visitors can already register online for the event. With the registration code sent via a link, visitors can pick up their visitor badge quickly and easily on-site at the pre-registration counter.
Informative supporting program rounds off CBB 2016
Attendees at CBB 2016 can look forward to an exceptional program of correlative activities and events, organized by our partner Heli. Presented in this program are sector solutions that are tailored to the needs of the Chinese market. Also featured, for the first time, is the Craft Beer Corner, the Liquid Food Industry Cleaning & Technology Forum and the Food & Beverage Equipment and Engineering Summit. All these events are an excellent opportunity for finding out about the latest trends and developments in the market.
Craft Beer Corner
Craft beer is big in China, too. And, with the premiere of the Craft Beer Corner, this trend is now being incorporated into CBB. On all four days of CBB, visitors can gather information from the exhibitors at the Craft beer Corner on the latest technologies and equipment for brewing. In the Craft Beer Forum experts will be giving lectures on “Craft beer technology and processes”, “Craft beer equipment” and “Craft beer raw materials”. Another highlight is the Craft Beer Tasting Area, the place to go to try out and evaluate the newest types of beer.
As well as the Craft Beer Corner, CBB is also offering a range of other events in its supporting program.
Liquid Food Industry Cleaning & Technology Forum
On October 11, from 13:00 to 16:30, the 2nd Liquid Food Industry Cleaning & Technology Forum will take place. Presented at this forum will be new concepts, new technologies and the latest trends in the production and cleaning of liquid food. The forum is being organized by the Industrial & Institutional Cleaning Committee of China Cleaning Industry Association.
Food & Beverage Equipment and Engineering Summit
Also being held for the second time, is the Food & Beverage Equipment and Engineering Summit, on October 12 and 13. The summit focuses on intelligent solutions for beverage and liquid food production. On the first day attendees can find out about “Advanced Processing Technology and Packaging Solutions for Liquid Food”. And on the second day the subject under review is: “Automation makes the Liquid Food into a New Era” (The 5th Control Engineers Summit (CES)). The summit is organized by the Asia Food Journal.
For all the key information about CHINA BREW CHINA BEVERAGE 2016 and for application documents for companies wishing to exhibit, go to: http://www.drinktec.com/messe/messenetzwerk/china-brew-china-beverage/.
For impressions of the last CHINA BREW CHINA BEVERAGE, which took place in October 2014, take a look at the image film and the picture gallery on the show´s website: www.chinabrew-beverage.com/english/news/video_pic.
For further information, including on the program of supporting events at CHINA BREW CHINA BEVERAGE, go to: http://www.chinabrew-beverage.com/english/
About CHINA BREW CHINA BEVERAGE
CHINA BREW CHINA BEVERAGE (CBB), the "International Brew & Beverage Processing Technology and Equipment Exhibition for China", has taken place every two years in Beijing. It is the most important event for the sector in China and across Asia. The organizer of CHINA BREW CHINA BEVERAGE is the Beijing Zhongqing Heli Machinery Equipment Co. Since August 2011 Messe München International has been a coorganizer of CBB. In this role it, together with its subsidiary MMI Shanghai, is the contact and contracting partner for all the international, non-Chinese exhibitors at CBB. The last CBB in 2014 attracted 708 exhibitors from 22 countries. In total 52,063 participants attended this four-day event. The next CBB takes place from October 11 to 14, 2016 at the Shanghai New International Exhibition Centre in Shanghai.
7 Sep. 2016