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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.

China. In 1Q2016, the sales of Tsingtao Brewery fell to 5.34%, while net profit increased by 2.47%

In the first quarter of 2016, the situation in the Chinese beer market did not significantly improved, but the competition became even more intense. Even in such conditions Tsingtao Brewery Co., Ltd. continues to explore the domestic market and introduce new and more effective methods of marketing to expand its presence in the regions of the country.

Beer sales of Tsingtao Brewery in the first quarter of 2016 fell by 5.34% compared to the same period of 2015 and amounted to 1.95 billion litres, 1.06 billion litres of which accounted for main brand “Tsingtao”. 1.14 billion litres of “Tsingtao” beer was sold during the first quarter of 2015.

The brand “Tsingtao” plays an essential role in the company’s activities. Now Tsingtao Brewery improves product structure and seeks to take high-end beer niche in the Chinese market. 0.49 billion litres of high value-added beer in cans and bottles were sold during the specified period , which is 2% less than last year.

In the first quarter of 2016, the operating income of Tsingtao Brewery Co., Ltd. fell by 4.4% to 6.862 billion yuan, while net profit, on the contrary, rose to 534 million yuan, which is 2.47% more than over the same period last year.

27 Апр. 2016



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