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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.

Beer going flat? Molson Coors faces its ‘most challenging’ quarter

Molson Coors Brewing Co., owner of the Coors Light, Keystone and Blue Moon brands, did fine in its recent third quarter. It’s the next quarter the beer maker is nervous about.

Declining consumer demand and high costs in the U.S. and central Europe, along with unfavorable currency swings in Britain and Canada, mean that the fourth quarter will likely “be the most challenging of this year,” Chief Executive Peter Swinburn said in a statement.

Already, the company’s British, Canadian and international units are reporting sliding sales, though profit soared 16% to $139.9 million in the U.S. during the third quarter.

Net income was up slightly to $198.4 million, or $1.09 a share, from $197.4 million, or $1.06 a share a year earlier, a gain of about 1%. Revenue jumped 25.3% to $1.2 billion.

Molson Coors, based in Denver and Montreal, said it sold more than 450 million gallons of beer in the quarter, up almost 31% from a year ago.

Sales to retailers of both Coors Light and Miller Lite grew in the single digits. But sales of the company’s craft and import offerings boomed in a double-digit gain.

“Most of our portfolios are skewed toward mainstream … and we suffer from not having enough exposure to premium,” Swinburn said in a conference call with analysts. “What you will see in all of our innovation activity that we have undertaken over the last couple of years and going forward, we are very much skewed toward premiumizing the portfolio.”

In April, Molson Coors picked up Central European brewer StarBev for $3.54 as it attempts to expand the range of its brands and strengthen its position during supplier

13 Ноя. 2012



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