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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.

Heineken Says Brandhouse Joint Venture ‘Makes Absolute Sense’

Heineken NV (HEIA)’s drinkmaking and sales joint venture with Diageo Plc (DGE) in South Africa “makes absolute sense” as a selected project to boost growth, Chief Financial Officer Rene Hooft Graafland said today.

Distributing beer, premixed drinks and spirits together through the Brandhouse venture is pragmatic, and partnering with Diageo, owner of the Guinness beer brand, is useful in other African countries, Hooft Graafland said in a webcast.

“In a number of markets, Guinness is a very strong addition to our portfolio,” though the Dutch brewer usually wouldn’t favor combining beer and spirits distribution, Hooft Graafland said during his presentation at a Deutsche Bank consumer conference in Paris. “But there are special circumstances where we help each other.”

Brandhouse said in April that it controls about 14 percent of the South African beer market, up from 12 percent. Amsterdam- based Heineken, the world’s third-largest brewer, and London- based Diageo, the biggest distiller, could team up to buy Brazilian brewer Primo Schincariol Industria de Cervejas & Refrigerantes SA, Valor Economico reported in May, without saying where it got the information.

16 Июн. 2011



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