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Newsletter Summary

Currency rates
Equities of largest breweries
Market prices change trend
Brewery news
Malt news
Barley news
More news
Theoretical malt prices
Malting barley prices
Table of the week
Graph of the week
On These Days
Agenda
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Average market prices
Change trend

14 Dec - 17 Dec, 2006
Crop 2006
2rs Barley €211.0-213.0   0.47
6rw Barley €193.0-195.0   1.02
2rs Malt €402.5-404.5   0.25
6rw Malt €379.5-381.5   0.65
Crop 2007
2rs Barley €166.0-168.0   1.77
6rw Barley €148.0-150.0   1.97
2rs Malt €334.0-336.0   1.03
6rw Malt €311.0-313.0   1.11

Note: Just click on the price link and you will be led to our Market Price History. Average barley market prices are French and are estimated on FOB Creil basis. Average Malt Prices are theoretical and based FOB Antwerp being estimated on French malting barley prices. The changes are compared to last Newsletter's prices. Arrows indicate the direction of the change.


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Other e-malt.com newsletters

Last five newsletters
See this Newsletter!
Newsletter 50a, 2006

See this Newsletter!
Newsletter 49b, 2006

See this Newsletter!
Newsletter 49a, 2006

See this Newsletter!
Newsletter 48b, 2006

See this Newsletter!
Newsletter 48a, 2006



Market price evolutions

The evolution of market prices for barley and malt, which are periodically issued with e-malt.com newsletters are published on e-malt.com site in Market Prices section. Just click here!


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UK Malt Exports by country of destination, 2005-2006

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Canada Beer Sales (1992-2005)

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World Hop Crop

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Belgium Beer Production and Export (1986-2005)

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Asia Beer Production by Countries (2003, 2005)



The graphs are updated from time to time. Just see the updates online on e-malt.com site !


All e-malt.com tables are published in e-malt.com Statistics section. The Statistics section includes Barley statistics, Malt statistics and Beer statistics. The tables related to barley are published in Barley Statistics section, the tables related to malt in Malt Statistics section and the tables related to beer in Beer Statistics section.


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E-malt.com Newsletter 50b
December 14 - December 17, 2006

Quote of the week

"Happiness is good health and a bad memory."
Ingrid Bergman (1917-1982)


Currency Rates
Base Currency: Euro, EUR
on 15-December-2006

1 EUR = 1.3202 USD
1 EUR = 0.6718 GBP
1 EUR = 1.5266 CAD
1 EUR = 1.6823 AUD
1 EUR = 155.188 JPY
1 EUR = 2.8384 BRL
1 EUR = 34.7296 RUB
1 EUR = 10.339 CNY
Base Currency: US Dollar
on 15-December-2006

1 USD = 0.7576 EUR
1 USD = 0.5089 GBP
1 USD = 1.1564 CAD
1 USD = 1.2742 AUD
1 USD = 117.563 JPY
1 USD = 2.1501 BRL
1 USD = 26.3072 RUB
1 USD = 7.8316 CNY

EUR/USD Chart

Equities of the Largest Breweries

Top Industry News
China: Parent to put assets into China Chongqing Brewery... Click here

Russia: “Baltika”, “Vena”, “Yarpivo” and “Pikra” association almost complete... Click here

Japan & China: Kirin to pay $38 mil for 25 pct of China brewery... Click here

The Caribbean & Denmark: Royal Unibrew buys control of 3 Caribbean firms... Click here

Bulgaria: Bulgarian beer sales steady increasing year-on-year... Click here

Romania: Brau Union resumes growth... Click here

EU: Malteurop acquires Sachsenmalz of Germany and Baltic Malt of Poland... Click here

Argentina: Quilmes will invest USD120 mln next year... Click here

Canada: Barley production – 20% decrease estimated... Click here

Belarus: An opened buying tender for 40,000 tonnes of malting barley announced... Click here

More News
Russia: Beer market expected to grow 8-9pct in 2006 ... More Info

Australia: Coopers to export stout to Ireland ... More Info

UK & Japan: Asahi and Shepherd Neame sign new brewing and licensing agreement ... More Info

China: CR Snow announced acquisitions in Shanxi & Inner Mongolia ... More Info

Australia & New Zealand: Lion Nathan to sell Auckland brewery ... More Info

USA: New malting barley developed ... More Info

USA: USDA changes Ukraine's export forecasts for barley ... More Info

Belgium: InBev extends outsourcing agreement for its business and application services with LogicaCMG to Central and Eastern Europe ... More Info

UK: A large-scale brewery in the East Midlands produces its final pint ... More Info

USA: Granite City Food & Brewery opens a new restaurant in Madison, Wisconsin ... More Info

Namibia: Beer sold out in Xmas stampede ... More Info



Brewery News
China: Parent to put assets into China Chongqing Brewery

Chongqing Beer (Group) Co. plans to inject its entire brewery assets into its listed subsidiary Chongqing Brewery Co., the chairman of the state-owned parent said, according to Reuters, December 14.

"We plan to list all of the group's brewery assets and will launch the plan six months from now," Hua Zheng Xing told Reuters late on Wednesday on the sidelines of a securities industry conference.

Hua said his company had not decided exactly how to inject the assets, but that a share placement might be involved. He added that the listing might double the annual sales of the group's listed entity.

Many large Chinese state-owned groups have listed subsidiaries which own only a fraction of the group's operations. In recent months, a number of these groups have been injecting assets into the subsidiaries in order to raise their market value and secure better access to funding.

British brewer Scottish & Newcastle Plc in 2004 bought a 19.51 percent stake in Chongqing Brewery Co., a major player in southwest China, for 525 million Yuan (now $67 million). The stake has since been diluted to 17.46 percent and would be diluted further by the asset injection, but Scottish & Newcastle would then boost ...
More Info


Russia: “Baltika”, “Vena”, “Yarpivo” and “Pikra” association almost complete

There is one more step to do before the completion of the association between “Baltika”, “Vena”, “Yarpivo” and “Pikra”, Russian Beer Union announced on December 12.

The documents package is prepared for submission to exclude the joined to “Baltika” “Vena”, “Yarpivo” and “Pikra” from the public register. This would be the last stage in the companies’ reorganization and the creation of a new united “Baltika” company. At the same moment, the 3 companies’ stocks’ conversion into “Baltika” shares will be done.

The completion of the association process is expected in the last days of 2006.

The process of association was conducted according to the previously outlined plan.
In March 2006, at an extraordinary meeting the shareholders of “Baltika” approved the process of association with the companies “Vena”, “Yarpivo” and “Pikra”. In spring 2006, an additional share emission, “Baltika” stock redemption and the purchasing of “Vena”, “Yarpivo” and “Pikra” shares was accomplished.

In July 2006, the 3 companies’ shares are exchanged on “Baltika” new shares, and “Baltika” became the majority shareholder of companies “Vena”, “Yarpivo” and “Pikra”.

In August, the shareholders of “Vena”, “Yarpivo” and “Pikra” , with majority of votes, approved the association with “Baltika” and in autumn “Baltika” received the FAS permission to take over ...
More Info


Japan & China: Kirin to pay $38 mil for 25 pct of China brewery

Japan's Kirin Brewery Co. said on Friday, December 15th, it would pay $38 million to take a 25 percent stake in China's Hangzhou Qiandaohu Brewery Co. Ltd, as it steps up its efforts to expand in the world's biggest beer drinking country, Reuters announced on December 15.

The deal gives Kirin, which vies with Asahi Breweries Ltd. for the title of Japan's largest brewery, a base to build its business in the important Yangtze delta area that includes Shanghai and the Zhejiang and Jiangsu provinces.

Faced with a saturated home market, partly because of a shrinking population, Japanese breweries are shifting their focus abroad -- in particular to China whose market is growing at about 7 percent annually.

Kirin, the maker of Ichiban and Kirin Lager beers, said it had also obtained the rights to lift its stake in Hangzhou Qiandaohu, which makes the Cheerday brand of beer, to 49 percent in the future.

Kirin said Hangzhou Qiandaohu, which will likely have brewed some 140,000 kilolitres (37,000 U.S. gallons) this year, was the only beer maker with an annual production capacity of over 100,000 kilolitres in the Yangtze delta area that had not already been snapped up by a foreign brewer.

"The Qiandaohu brand ...
More Info


The Caribbean & Denmark: Royal Unibrew buys control of 3 Caribbean firms

Denmark's second-biggest brewer, Royal Unibrew, said it had bought controlling stakes in two brewers and a bottle recycling plant in the Caribbean to strengthen its position in the region, Reuters announced on December 13.

Unibrew bought 58.4 percent of Dominica Brewery & Beverages Ltd., 91.7 percent of Antigua Brewery Ltd. and 75 percent of Antigua PET Plant Ltd. for a total enterprise value of $26.5 million, it said in a statement on Wednesday.

"The Caribbean is one of our three strategic focus areas, and the purchase of Dominica Brewery & Beverages and Antigua Brewery, which are both market leaders, and Antigua PET Plant will give us capacity to export to several of the English and French-speaking markets in the Caribbean," Unibrew Chief Executive Poul Moller told Reuters.

Aside from Britain and Africa, the Caribbean is the third market in which Unibrew sells its profitable malt beer, Moller said.

Both Dominica Brewery & Beverages and Antigua Brewery currently produce Unibrew's Vitamalt brand on licence.

Unibrew, a distant second after top Danish brewer Carlsberg, said the access to new local brands would provide an opportunity for increased profitability through synergies in purchasing, production, sales and marketing.

The share purchases are subject to a number of conditions, including approval ...
More Info


Bulgaria: Bulgarian beer sales steady increasing year-on-year

Sales of beer in Bulgaria since the beginning of 2006 have driven by 30.6% year-on-year basis, local brewers said, according to Novinite, December 14.

A total of 242,111 million hectoliters of beer has been consumed in Bulgaria for January-November 2006, data shows revealing a sustainable trend for more beer drinking this year.

However, with winter coming and temperatures dropping consumption has logically dropped by some 29%. Bulgarians still get accustomed to dark ale, preferred in Western countries during wintertime, the Union of Brewers explained.

Zagorka, Kamenitza and Carlsberg enjoyed the strongest upward record of sales for the reported period.

Less than a month before end-year, local brewers stay upbeat the annual increase in beer sales would reach some 10-12%.


Romania: Brau Union resumes growth

Edwin Botterman, chairman of Brau Union, the leader of the domestic beer market, says the company will brew more than 4.1 million hectolitres of beer this year, 17% more in terms of volume than last year, hence resuming the upward trend witnessed until 2004, Ziarul Financiar published on December 15.

Last year, Brau Union reported 1.4% lower sales after it restructured its brand portfolio. Still, the company's turnover went up by 20% to 158.6 million euros. "By 2009, we are will reach annual production of 5 million hectolitres," stated Botterman.

Part of the investment programme of around 85 million euros, Brau Union announced for the next three years, is also related to the expansion of production capacities.

Malt News
EU: Malteurop acquires Sachsenmalz of Germany and Baltic Malt of Poland

Group MALTEUROP announced on December 14th,2006 the take-over of the two malting companies, following the insolvency process of Friedrich Weissheimer Malzfabrik KG. By these acquisitions, MALTEUROP strengthens on its development in the European Union.

- SACHSENMALZ operates a 60,000-tonne malting plant in Heidenau, near Dresden (Saxony, Germany) ;
- BALTIC MALT owns a 65,000-tonne malting unit, with direct sea access in the port of Gdansk, Poland.

While actively contributing to the consolidation process of the malting industry, MALTEUROP enlarges and strengthens its sustainable supply solutions offer to its customers, European and international brewers.

Daniel HUVET, Managing Director, International Division, declared : “We are very pleased to have reached this agreement and to integrate the two businesses in the MALTEUROP European structure. We look forward to cooperating with the farming communities of the two areas to further develop a sustainable production of quality malting barley around the two plants. We are convinced that the expertise of the local staff and management, with the support of Group MALTEUROP, will expand on the two businesses and provide our customers in the regions with a high level of quality and services.”

Pending regulatory approvals, the acquisition of SACHSENMALZ and BALTIC MALT will take up the MALTEUROP malt production to over 1,200,000 ...
More Info


Argentina: Quilmes will invest USD120 mln next year

Cerveceria y Malteria Quilmes, the country's biggest brewer, announced on December 13 a $150 million investment through 2007 for the construction of a plant of production in Tucumán and another of bottling in the province of Buenos Aires to enlarge its production capacity and to improve its chain of commercialization. This investment is a part of USD250 million investment for 2005/2007

This news was announced by the general manager of Cerveceria y Malteria Quilmes, Néstor del Campo, at the inauguration of a malting in Tres Arroyos, in the south of the province of Buenos Aires.

The company's malt plant in the Buenos Aires province duplicated production this year with a $28 million investment, said Mariano Botas, manager of Institutional Relations. The production increased from 95 up to 201 thousand tonnes per year, of which 50% will be exported to Chile, Bolivia, Uruguay, Paraguay and especially in Brazil.

Barley News
Canada: Barley production – 20% decrease estimated

For 2006-07, the production of barley in Canada is estimated to decrease by 20%, due to lower area and yields, resulting in a 16% decrease in supply, Agriculture and Agri-Food Canada published on December 13.

Exports are forecast to fall by 23%, as higher malting barley exports only partly offset lower feed barley exports. Despite lower exports and domestic use, carry-out stocks are forecast to fall sharply.

The average off-Board feed barley price is projected to rise by C$35/t. The CWB PRO for No. 1 CW feed barley is C$177/t for Pool A and C$175/t for Pool B, up C$47/t and C$44/t, respectively, from 2005-06. The PRO for SS2R malting barley is C$203/t vs. C$171/t for 2005-06, due to lower exportable supplies from major competitors and strong import demand from China and the US.


Belarus: An opened buying tender for 40,000 tonnes of malting barley announced

Trading House "Belgospischeprom" set an opened buying tender for 40,000 tonnes of malting barley of the first class which meets the requirements of GOST 5060-86, informed tender department of TH.

Deadline of the tender is December, 29, 2006.

It should be mentioned that because of problems with barley quality of this year harvest organizations of the Republic could not make Government order concerning malting barley. Only 52,000 tonnes were prepared from 150,000 tonnes.


Malting barley prices. French barley prices.
Nominal prices.

EURO = USD 1.3202 December 15, 2006 
 Crop year   2006   2007 
 Parity   FOB Creil   FOB Creil 
 Position   July 2006   July 2007 
Type   Variety  EURO  USD  EURO  USD 
2RS  Scarlett  214.00  282.50  169.00  223.50 
2RS  Prestige  213.00  281.50  168.00  222.00 
2RS  Cellar  212.00  280.00  167.00  220.50 
2RS  Sebastien  211.00  278.50  166.00  219.50 
2RS  Astoria  211.00  278.50  166.00  219.50 
2RS  Cork   210.00  277.50  165.00  218.00 
6RW  Esterel   194.00  256.50  149.00  197.00 

Prices for Danish malting barley are available on site www.e-malt.com/MarketPrices

Theoretical malt prices.
  EURO = USD 1.3202 December 15, 2006 
Crop year  2006 
Parity  FOB Antwerp 
Position  Dec 2006-Sept 2007 
Conditioning  Bulk   In bags  Bulk containers Bags, containers
Malting barley variety  EURO  USD  EURO  USD  EURO  USD  EURO  USD 
2RS  Scarlett  406.00  536.00  420.50  555.00  420.50  555.00  435.00  574.00 
2RS  Prestige  405.00  534.50  419.00  553.50  419.00  553.50  433.50  572.50 
2RS  Cellar  403.50  532.50  418.00  551.50  418.00  551.50  432.50  570.50 
2RS  Sebastien  402.50  531.00  416.50  550.00  416.50  550.00  431.00  569.00 
2RS  Astoria  402.50  531.00  416.50  550.00  416.50  550.00  431.00  569.00 
2RS  Cork   401.00  529.50  415.50  548.50  415.50  548.50  430.00  567.50 
2RS   Average price  403.50  532.50  417.50  551.50  417.50  551.50  432.00  570.50 
6RW  Esterel   380.50  503.50  395.50  522.50  396.00  522.50  410.50  541.50 
Asia Malt 70/30  396.50  523.50  411.00  542.50  411.00  542.50  425.50  561.50 
**  Asia Malt 50/50  392.50  518.00  406.50  537.00  406.50  537.00  421.00  556.00 

* - 70/30 = 70% Average two Rows Spring and 30% Six Rows Winter
** - 50/50 = 50% Average two Rows Spring and 50% Six Rows Winter

Theoretical malt prices for crop 2007 are available on site www.e-malt.com/MarketPrices

Table of the week

Europe Barley Crop Estimate 2005 and Forecast 2006

Country Year BARLEY  thereof SPRING BARLEY 
    Area
1000 ha
Yield
100kg/ha
Production
1000 t
Area
1000 ha
Yield
100kg/ha
Production
1000 t
Austria  2006  206  44.0  906  142  41.3  586 
2005  192  45.9  881  119  41.8  498 
Belgium/Lux.  2006  58  75.0  435  66.0  56 
2005  50  71.6  358  64.0  32 
Denmark  2006  677  48.1  3 253  519  45.5  2 361 
2005  705  53.9  3 800  566  52.3  2 961 
Finland  2006  564  32.0  1 805  564  32.0  1 805 
2005  594  35.0  2 079       
France  2006  1 662  62.7  10 421  493  57.1  2 815 
2005  1 606  65.0  10 439  545  58.4  3 183 
Germany  2006  2 031  59.1  12 007  548  46.8  2 563 
2005  1 947  59.7  11 614  602  46.4  2 795 
Greece  2006  170  18.0  306       
2005  150  20.0  300       
Ireland  2006  150  58.8  882  135  57.0  770 
2005  153  55.8  854  140  54.0  756 
Italy  2006  325  37.5  1 219       
2005  320  37.5  1 200       
Netherlands  2006  44  61.2  269  41  60.7  249 
2005  53  63.6  338  50  63.3  317 
Portugal  2006  41  23.0  94       
2005  34  7.0  24       
Spain  2006  3 136  25.8  8 100  2 370  26.2  6 200 
2005  3 200  13.9  4 449  2 310  14.4  3 324 
Sweden  2006  305  36.5  1 112  299  36.3  1 085 
2005  371  33.1  1 593  366  42.7  1 562 
U.K.  2006  880  59.1  5 201  498  52.2  2 600 
2005  941  58.9  5 545  558  54.9  3 065 
TOTAL EU-15  2006  10 249  44.9  46 010  5 618  37.5  21 090 
2005  10 316  42.1  43 474  5 261  35.2  18 493 
Cyprus  2006  50  22  50       
2005  50  22.0  110       
Czech Rep.  2006  529  37.1  1 963  426  37.0  1 576 
2005  522  42.1  2 196  397  41.5  1 646 
Estonia  2006  125  21.0  263  123  21.0  258 
2005  142  25.8  366  141  25.8  364 
Hungary  2006  300  38.0  1 140  122  37.7  436 
2005  324  26.4  1 227  151  35.0  519 
Latvia  2006  142  20.0  284  140  20.0  280 
2005  149  18.6  277  146  18.6  272 
Lithuania  2006  305  23.2  708  295  23.0  679 
2005  349  27.2  949  342  27.0  923 
Malta  2006  26.0       
2005  27.5       
Poland  2006  1 225  26.8  3 283  1 070  26.0  2 782 
2005  1 110  30.8  3 420  960  30.0  2 880 
Slovakia  2006  186  36.7  683  167  37.0  618 
2005  206  38.8  800  172  37.2  640 
Slovenia  2006  17  36.0  61       
2005  15  39.6  61       
TOTAL new 10 members  2006  2 880  29.3  8 436  2 343  28.3  6 628 
2005  2 868  32.8  9 409  2 309  31.4  7 243 
TOTAL EU-25  2006  13 129  41.5  54 446  7 961  34.8  27 719 
2005  13 184  40.1  52 883  7 570  34.0  25 736 
Romania  2006  330  21.9  723  200  19.3  386 
2005  391  24.5  958  165  21.0  347 
Bulgaria  2006  210  24.5  515  25  20.0  50 
2005  242  25.6  620  30  22.0  66 
Serbia  2006  115  38.3  440  45  31.0  140 
2005  140  32.3  452  70  27.5  193 
Croatia  2006  59  32.5  192       
2005  45  31.0  140       
Bosnia  2006  20  25.0  50       
2005  20  25.0  50       
Macedonia  2006  35  25.0  88       
2005  55  25.0  138       
Albania  2006  10  30.0  30       
2005  10  30.0  30       
TOTAL Non EU  2006  779  26.1  2 037  270  21.3  576 
2005  903  26.4  2 387  265  22.8  606 
TOTAL EUROPE 31  2006  13 908  40.6  56 483  8 231  34.4  28 294 
2005  14 087  39.2  55 270  7 835  33.6  26 341 
Source: COCERAL, 8 December 2006
Newsletter SummaryTop
Graph of the week


These Days in Business History
December 14
1911 South Pole 1st reached, by Norwegian Roald Amundsen
1960 Organization for Economic Cooperation & Development (OECD) forms
1967 DNA created in a test tube

December 15
1792 1st life insurance policy issued in US (Philadelphia)
1832 Alexandre-Gustave Eiffel, French engineer is born (built Eiffel Tour in Paris).
1854 1st street-cleaning machine in U.S. 1st used in Philadelphia
1877 Thomas Edison patents phonograph
1886 For the first time, total daily trading volume on the New York Stock Exchange exceeds 1 million shares.

December 16
1834 Léon Walras French economist is born
1905 "Variety", covering all phases of show business, 1st published
1908 1st credit union in US forms (Manchester NH)

December 17
1964 Largest newspaper-Sunday NY Times at 946 pages
1770 Ludwig Von Beethoven, composer is born in Bonn, Germany
1895 George Brownell patents a machine to make paper twine (Mass)
1924 1st U.S. diesel electric locomotive enters service, Bronx, New York
Agenda
December 2006:
12th OBER Kerstbierfestival , Belgium

January 2007:
2007 Barley Improvement Conference, USA.
IFBM (The French Institute for Brewing and Malting) Advanced Course In Malting Technology


February 2007:
Singapore international beer festival.

March 2007:
Beer Day, Iceland.
WorldFoodUzbekistan - 2007.
World Barley Malt & Beer Conference.




More events are available on site e-malt.com
Copyright © E-Malt s.a. 2006