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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.

India. Spanish beer giant Mahou SA eying launch of San Miguel beer in Indian market

Spanish beer giant Mahou SA is eying a potential launch of San Miguel beer to boost its presence in the Indian market. Mahou, which owns he trademark in Europe, has had early discussions with San Miguel Corporation (SMC) of Philippines in this regard.

The Manila-based food and beverage giant holds the rights or San Miguel in India.

Mahou had acquired San Miguel Fabricas de Cerveza SA as part of a consolidation move to create the largest brewing group in Spain. Mahou entered India three years ago through a joint venture with Arian Breweries in Rajasthan, and later took full control of the company, making a significant step in its international expansion.

spanish-beer-giant-mahou-sa-eying-launch-of-san-miguel-beer-in-indian-market

Mahou managing director Alberto Rodriguez Toquero said the company and SMC have discussed possibilities of working together to make San Miguel a bigger international brand. These discussions have covered possible cooperation in India, where Mahou operates its first international subsidiary, he added. "We may not make money in India for long, but we believe it's a great market for the next generation of Mahou shareholders," Toquero said.

The privately held Mahou's reported revenue and ebitda are 1.2-billion euros and 254-million euros, respectively. The largest Spanish beer maker fetches 14% of its revenue from overseas markets, which has doubled in the last five years. In 1890, the family of Casimiro Mahou established the first brewery in Madrid and went on to make Mahou surname one of most influential independent brewers in Europe. The 125-year-old, Madridbased brewer introduced the eponymous flagship brand which is available across 11 markets in India.

The Economic Times

17 Дек. 2015

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