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 Family to collaborate with Doemens and VLB Berlin
“We are very proud that we have been able to get these two renowned education and training establishments on board as partners for our product family,” explains Peter Ottmann, CEO of NürnbergMesse Group, underlining the international appeal of both institutes. “We look forward to working with our international sponsors, who will provide inspiration and ideas as they play an active role in shaping our network and Beviale Family events in the future.” Through this alliance, NürnbergMesse is underpinning its expertise in the beverage industry on the worldwide market. “This is the ideal alliance for the ongoing development of our portfolio in beverage technology,” says the CEO of NürnbergMesse Group Dr Roland Fleck.
Doemens also expects positive synergies in the future. “The collaboration with the Beviale Family on an international stage underscores the international expertise of Doemens Akademie. We are proud to support the internationalisation strategy of the Beviale product family and help drive it forward to the advantage of all parties,” says Dr Werner Gloßner, Managing Director of Doemens Akademie.
The alliance will open up new avenues for all parties, and VLB Berlin is also looking forward to interesting opportunities. “This new collaboration is an outstanding opportunity to continue to develop our common strengths in the craft beer sector at international level,” says VLB Managing Director Dr Josef Fontaine. “The successful launch of CRAFT BEER ITALY has more than confirmed this view.”
Beviale Family: International expertise in the beverage industry
The NürnbergMesse Group demonstrates its expertise in the beverage industry on an international stage. The original event is BrauBeviale, the international capital goods exhibition for the beverage industry in Nuremberg. This is where, for over 40 years, the sector has been showcasing all aspects of the production process chain for beverages: raw materials, technologies, logistics and marketing. Other members of the product family are operating in important growth markets worldwide. Beviale Moscow, for example, is the first and only trade fair for the entire beverage industry in Eastern Europe. CRAFT BEER CHINA in Shanghai is becoming established as the gathering place for the Chinese craft beer community, while CRAFT BEER ITALY in Milan is the B2B platform for the Italian sector. The Beviale product family is also represented in Brazil, as the Feira Brasileira da Cerveja in Blumenau is “supported by BrauBeviale”. Other projects are in the planning phase. www.beviale-family.com
Dates Beviale Family:
Beviale Moscow: 27 February – 1 March 2018
Feira Brasileira da Cerveja: 7 – 9 March 2018
CRAFT BEER CHINA: 16 – 18 May 2018
BrauBeviale: 13 – 15 November 2018
CRAFT BEER ITALY: 27 – 28 March 2019
12 Jan. 2018