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4-2017

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.

Diageo Tops Rivals to Buy Ethiopian Brewer for $225 Million, Agency Says

Diageo Plc (DGE), the world’s largest distiller, agreed to buy Ethiopia’s state-owned Meta Abo Brewery for $225 million after outbidding SABMiller Plc (SAB) and Heineken NV. (HEIA)

Diageo, which makes Guinness stout, will expand Meta Abo and introduce new products, Wondafrash Assefa, a spokesman for Ethiopia’s Private and Public Enterprises Supervising Agency, said today by phone from Addis Ababa. SABMiller, the world’s second-biggest brewer by volume, bid $190 million for the asset, and Heineken offered $188 million, he said.

Nigel Fairbrass, a spokesman for SABMiller, confirmed that the brewer had bid for the asset. A spokesman for Heineken declined to comment.

Diageo, the London-based maker of spirits including Johnnie Walker whisky and Smirnoff vodka, is among consumer-goods companies seeking sales growth in emerging markets to offset weaker demand in western Europe and the U.S. Africa is attractive as consumers have increasing disposable income, Nick Blazquez, head of Diageo’s Africa unit, said in April.

Meta Abo is the last of Ethiopia’s state-owned brewing assets to be sold. Heineken, the world’s third-largest brewer, bought two beermakers in the country for about $160 million in May.

3 Окт. 2011

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