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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.

Royal Unibrew sells Solomon Breweries to APB

Royal Unibrew A/S has today received and accepted a conditional offer made to all shareholders of Solomon Breweries Ltd. by Asia Pacific Breweries Limited, Singapore. Asia Pacific Breweries Limited is listed in Singapore and is controlled by Heineken and Fraser & Neave. Royal Unibrew A/S holds approx 35% of the shares in Solomon Breweries Ltd.

The net cash proceeds of the transaction are estimated at approx DKK 30 million, corresponding to the carrying amount of the shares in the associated company. The transaction does not affect the previously announced outlook for 2011 for Royal Unibrew A/S as announced on 9. March 2011.

It is Royal Unibrew A/S’ objective to optimise capital resources by divesting non-strategic assets, and the shareholding in Solomon Breweries Ltd. is considered as such.

The transaction, which is subject to, inter alia, the relevant regulatory and foreign exchange approvals in the Solomon Islands, is expected to be closed before the end of August 2011.

24 мая. 2011



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