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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.

Brewers Association revises ‘craft brewer’ definition

The Brewers Association, Boulder, Colo., announced its board of directors voted to change its definition of "craft brewer." The term "craft brewer" now includes any independent brewery that produces up to 6 million barrels of traditional beer.
The association has replaced the designation of "small" in the definition and increased the production cap from 2 million barrels to 6 million barrels. It cited several reasons for the change, including the recognition that ‘small' is a descriptive term relative to the overall size of the industry, it said.
"Thirty-four years have passed since the original small brewers tax differential defined small brewers as producing less than 2 million barrels," said Nick Matt, chair of the Brewers Association board of directors and chairman and chief executive officer of F.X. Matt Brewing Co., in a statement. "A lot has changed since 1976. The largest brewer in the U.S. has grown from 45 million barrels to 300 million barrels of global beer production."
The alteration of the definition of craft brewer will align with the association's government affairs efforts, including its support of a bill to update the cap on an excise tax differential for small brewers to 6 million barrels each year in production for their first 2 million barrels in 2010, Matt said.
The industry's largest craft brewer, The Boston Beer Co., is poised to become the first craft brewer to surpass 2 million barrels of traditional beer within the next few years, the association reported. The loss of the company's production in craft brewing industry statistics would inaccurately reflect on the craft brewing industry's market share, it said. Additional members of the Brewers Association also are on a similar growth trajectory to approach the 2 million barrel threshold, it said.
The craft brewed beer market share is approximately 5 percent of the U.S. beer industry. The association has a stated mission of helping America's craft brewers achieve more than 5 percent market share by 2013.
9 Фев. 2011



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