Dmitry Nekrasov’s Philosophy — on the Past, Present and Future of Ukrainian Brewing IndustryA meeting with Dmitry Nekrasov always turns into a training course: “Introduction to brewing business“. We are talking to a clever “playing trainer“ a person that can be called a godfather of the Ukrainian craft. He has a dozen of successful projects to his name. Dmitry told us about craft beer in Ukraine, on market cycles, on specifity of operating in retail and HoReCa, on union of Ukrainian brewers and certainly, how a brewery of his own, First Dnipro Brewery is doing.
The market of import beer in Russia: review and databasesThe market of import beer is rapidly growing and changing. But while in the past years it was growing due to brands variety, in 2019 major and affordable brands from TOP-10 were developing actively. It seems that the fact of a brand origin from far abroad counties, even if it is not well known but has moderate price and good distribution provides for million liters of sales in the territory of Russia. Among distributors AB InBev Efes was far behind, yet the role of Baltika and suppliers of the second row got more important. The boom of German brands was followed by stagnation of import from other traditional regions (and Belarus) instead the supplies from Mexico, Lithuania and Asian countries grew considerably.
Russia: Positions of Brewing CompaniesThe review contains an analysis of interim performance of brewers in the first half of 2019. There are rather dynamic changes behind a modest industry growth. Baltika is again experiencing a stage of volumes and market share slid due to competition with AB InBev Efes. Because of the price competition and presence expansion in the modern trade company #2. has come close to the leading position. At the same time sales of Heineken Russia have continued growing which makes the premium part of the portfolio heavier. The market premiumization trend had been also confirmed by import brands. MBC and Zavod Trekhsosenskiy have been the most successful among federal market players. The market share of independent regional brewers and Ochakovo have continued falling as they are being squeezed out by the market leaders at their competitive fields.
Ukrainian beer market 2019: companies and brandsIn 2019 beer production and market have been still fluctuating about zero point. However, the past season was successful for brewers judging by the sales profitability. The price mix has improved due to rapid general market premiumization, as well as its particular aspect, the growth of import beer sales. By the season end AB InBev Efes improved its positions considerably. It turned out that consumers had not forgot Efes brands that had to leave the market, but started to recover rapidly. Against the stagnating market that meant sales decline of other companies, in the first place Carlsberg Group that most of all beneficiated from Efes exiting the market. PPB turned out to be stable to branding activity of its competitor and Obolon kept the same volumes and at the moment it is the absolute leader of the economy segment. The share growth of independent producers took place thanks to leading craft breweries, that so far do not have a big market weight, but they are rapidly gaining it.
Brewing industry in Kazakhstan 2019During the first half of 2019, the majority of Kazakh brewers made their contribution into positive dynamics. Yet it was companies of the lower division, not the two transnational leaders that raised their production and sales. The shares of draft beer and aluminum can which is rapidly squeezing glass bottle out of the market, have been growing. The price segmentation has remained stable despite the substantial rise of retail prices and fluctuations of brand market shares, while the borders between segments have become blurred. The main events in the industry have been: the announced revision of the beer excise policy, launch of BeerKhan brand in the strong beer segment, and most important – purchasing assets of Shymkentbeer by Arasan.
The trend of complication of Russian beer market is going on and in several directions at the same time. The range has got wider, the import and small segments are growing, namely craft beer, alcohol-free beer and special flavor beer. At the same time, all ex-mega brands and light lagers by Russian brewers are experiencing a decline of their shares. AB InBev Efes, Heineken, MBC and Pivzavod Trekhsosenskiy have exceeded the market, Carlsberg was developing slower than the market and Ochakovo as well as some other mid-sized breweries have been cutting down their volumes. To a big extent brewers’ performance was connected to their ability to reach agreement with networks, sacrifice their margin and enter new markets. Craft brewers are facing a serious danger of producers’ registration introduction – de facto licensing. ...
Craft brewer Gipsy Hill Brewing to accompany GEA at BeerX
Centrifuges for ambitious brewers
Because consistent quality and resource efficiency are essential for craft brewers in today's competitive marketplace, GEA has set itself the goal of finding technologically and economically viable solutions. “With the Plug & Win centrifuge, we are focusing on craft brewers who plan to raise their production to a professional level,” says Peter Swift, Head of Separation Sales at GEA in the U.K. “Customers in this segment want to brew more, but above all, better beer. We are convinced that our centrifuge will enable them to take this step.” GEA has geared its Plug & Win, which separates beer from unwanted solids such as yeast and trub, to directly address the practical needs of craft brewers: The centrifuge is extremely powerful, easy on space, out-of-the-box ready for operation and very easy to use.
“It has to be the best”
Gipsy Hill Brewing in South London was exactly in this situation. Their beer had become so popular that they had the opportunity to increase their brewing capacity. At the same time, they wanted to brew more efficiently while maintaining complete control over the production process, including consistency. An earlier investment in inexpensive, and completely unsuitable equipment, taught the young entrepreneurs to be demanding in their choice of technology. “We learned the hard way and are no longer willing to compromise,” recalls co-founder Sam McMeekin. “Our work ethic and mantra have always been about quality with regards to taste – and now this applies to our equipment as well.” For Gipsy Hill, it’s a clear choice: “If it comes in contact with our beer, affects quality and you use it every day, it has to be the best.”
Access to high-tech through leasing
Many craft brewers are having a similar experience to Gipsy Hill; demands are high, but finances limited, says Swift. “Investing in top technology can be quite a stretch for small breweries. And although many of them are not aware of it, GEA offers a leasing option.” Gipsy Hill took advantage of this offer, discussed their business plan in detail with GEA, and left with a GEA Plug & Win 50. “This allows us to address a very important need for breweries. Instead of tying up their capital with a purchase, the agreed lease rate enables them to keep costs under control during use.”
“We shaved four days off our production process per tank”
With a centrifuge, beer clarification and turbidity can be adjusted very precisely, and above all, reproduced. It accelerates the entire brewing process, because separated beer requires less time to clarify and mature in the storage tanks, allowing brewers to get the most out of their tank capacity. “If it had taken you 30 days to make beer, with a centrifuge it will probably take you only 25 days – or less,” reckons John Taylor, production manager at Gipsy Hill. “This centrifuge allowed us to shave four days off our production process per tank.”A separator operates very efficiently and extracts the residual beer from the yeast. Craft brewers are able to produce 20 to 30 percent faster using this method, and process even more batches in a row – with consistently high quality and taste.
Clarifying instead of filtering
When adjusted for the finest level of clarification, a separator can even replace filtration. Because many craft beers have a naturally higher malt and hop content compared to a pilsner or a lager, many of them are quite simply unfilterable. However, if the separator operates at a low flow rate, it significantly reduces the yeast content and can have a positive impact on protein content. Low molecular weight proteins, which flocculate in the beer during prolonged storage, remain, lending Indian pale ales the cloudiness that enthusiasts really crave.
“We needed intuitive equipment that allows us to keep the team small and to deliver a premium product without having to resort to shift brewing,” says McMeekin. The Plug & Win provides a host of advantages such as easy centrifuge handling and quick installation. “The separator is a real plug-and-play solution and was set up within a single day.” Gipsy Hill is very satisfied: “Not everyone here is an experienced brewer, so user-friendliness is that much more important. GEA was incredibly accommodating with the training. We picked everything up so quickly that we took the reins after just two days and the GEA engineers came back a few weeks later to work through any questions that had arisen.”
Come enjoy a Gipsy Hill beer at the GEA stand at BeerX.
GEA at SIBA BeerX UK, Liverpool, United Kingdom
March 13-14, 2019, stand 141
12 Мар. 2019