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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.

The Chinese continue to consume more import beer

In February 2016 the volume of beer imports to China amounted to 20.95 million litres. This is by 50.7% more than last February.

In January-February 2016 beer delivery from abroad increased by 29.7% to 51.59 million litres. 39.79 million litres were imported to China for the same period of last year.

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This rate of imports indicates a demand growth for foreign brands of beer, for which product quality is guaranteed. With income growth, the Chinese tend to get a quality and delicious product for their money, so they give preference to imported products. In turn, the population with low income due to the downturn in the economy is more tend to save than waste money. This entails a decline in sales of cheap beer.

The tendency to increase the volume of foreign delivery is maintained for the third consecutive year.

21 Мар. 2016

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