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E-Malt.com Newsletter 29a
July 13 - July 15, 2009
Open!
Click here to get full size Newsletter


Quote of the week

"There is more to life than beer alone, but beer makes those other things even better."
Stephen Morris
Currency Rates
Base Currency: Euro, EUR
on 15-July-2009

1 EUR = 1.3975 USD
1 EUR = 0.8587 GBP
1 EUR = 1.6014 CAD
1 EUR = 1.7766 AUD
1 EUR = 130.132 JPY
1 EUR = 2.7636 BRL
1 EUR = 45.28 RUB
1 EUR = 9.5629 CNY
Base Currency: US Dollar
on 15-July-2009

1 USD = 0.7156 EUR
1 USD = 0.6144 GBP
1 USD = 1.1459 CAD
1 USD = 1.2713 AUD
1 USD = 93.1188 JPY
1 USD = 1.9775 BRL
1 USD = 32.4009 RUB
1 USD = 6.8429 CNY
Currency Rates Chart

Equities of the Largest Breweries

Equities of the Largest Breweries

Average Market Prices Change trend

July 15, 2009

Type Crop 2008 Crop 2009
2rs Barley EUR112.0-116.0 EUR129.0-133.0
6rw Barley EUR107.0-111.0 EUR120.0-124.0
2rs Malt EUR328.0-332.0 EUR339.5-343.5
6rw Malt EUR321.0-325.0 EUR327.0-331.0
Feed Barley nq    EUR94.0-98.0

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. The changes are compared to last Newsletter's prices. Arrows indicate the direction of the change.


Top Industry News

World: World beer output increased by 1.6% to 1.82 bln hl in 2008 ...Click here
Japan: Top brewer Kirin confirms merger negotiations with No. 3 brewer Suntory ...Click here
China: Tsingtao Brewery looking forward to a 60-70% increase for H1 net profit ...Click here
Turkey: Brewer Anadolu Efes increases Turkey beer sales volume by 2.3% in H1 2009 ...Click here
China: China Resources Snow Breweries to take full control of a Shenyang-based brewery ...Click here
The Philippines: San Miguel Brewery posts positive results for the first semester of 2009 ...Click here
CIS: Efes Breweries consolidated sales volume falls 4.6% in the first half of this year ...Click here
Canada: Barley production to fall by 25% in 2009/10 – Statistics Canada ...Click here




Belgium: Major Belgian shareholders in AB InBev sell small part of their shares in the brewer ...More Info
Australia: Foster’s to enjoy increased earnings from beer operations – Merrill Lynch ...More Info
The Philippines: San Miguel Brewery expects to complete the purchase of its parent’s international beer unit no later than September ...More Info
Ukraine: Ministry of Agrarian Policy sets maximum and minimum prices for barley in 2009/10 MY ...More Info
Japan: Cheap beer dominates Japan’s first half beer shipments ...More Info
United Kingdom: SABMiller prices EUR1 bln note issue ...More Info
United States: Tradition planted to 46% of North Dakota’s barley acres this year ...More Info
Russia: Kremlin clamping down on beer advertising, brewers and analysts not too worried ...More Info
Poland: Poland’s second-largest brewer to introduce another brand in PET following the success of the Warka beer ...More Info
The Czech Republic: Spring barley production expected to amount to 1.33 mln tons ...More Info
Japan: Kirin surprised itself by the success of its new truly no alcohol beer ...More Info
United Kingdom: Molson Coors to help driving beer lovers monitor their alcohol consumption ...More Info
Australia: Foster’s reduces the number of its beer ad agencies to just two ...More Info
Go to our news database with more than 15409 articles.
Today with the possibility to be translated in 7 different languages!
DE FR SP IT PT RU CN

Brewery News

World: World beer output increased by 1.6% to 1.82 bln hl in 2008

Despite good results at the beginning of the year, the final beer production growth figure was a mere 1.6% in 2008, according to the Barth Report published on July, 15.

In the preceding five years (2003 to 2007), average growth had amounted to 4.8 %.

World beer output has risen by an average of 2.5 % per year in the last 30 years. In the years 2004 to 2007 above-average growth rates of 4.9 %, 3.2%, 5.9% and 5.4% were achieved. The year 2008 closed with an increase of 1.6%, or 28.5 mln hl, to 1.82 bln hl.

Comparing the year 2008 with 2007, of the world’s 169 beer-producing countries 83 recorded an increase in production and 26 countries reported an unchanged level of output, while output fell in the remaining 60 countries.

China is not only the world’s biggest beer producer, but also recorded the world’s biggest growth in output in 2008, with an increase of 17.2 mln hl (to 410.3 mln hl). It was followed by Brazil, with 10.3 mln hl, now ranked fourth among the leading beer nations, behind the USA and Russia.

Europe saw its output decrease by 5.7 mln hl, which was mainly a consequence of the decline in ...More Info


Japan: Top brewer Kirin confirms merger negotiations with No. 3 brewer Suntory

Kirin Holdings Company, Limited confirmed on July, 14 that it is currently at an initial stage of business merger discussions with Suntory Holdings Limited.

Nothing has been resolved or reached an agreement at this stage, Kirin said.

First reports of a merger between Japan’s No.1 and No. 3 brewers respectively appeared earlier this week.

Kirin and privately held Suntory have posted relatively strong earnings in recent years in spite of the sluggishness of the domestic beer and beverage market, which has been hurt by a shrinking population and a weak economy. But the two companies have pushed hard to increase their overseas presence in the face of a gloomy Japanese outlook, making various foreign acquisitions recently, and analysts say a merger could give them more funds in their future international merger-and-acquisition efforts.

Both companies have been busy increasing their international businesses.

Kirin, which holds a 46% stake in Australia's Lion Nathan Ltd. and 48% of the Philippines' San Miguel Brewery Inc., is stepping up efforts to increase its presence in Asia and the South Pacific. It aims to generate about 30% of its revenue outside of Japan by 2015.

Suntory, which bottles and distributes PepsiCo Inc. products in Japan, has already established a presence in ...More Info


China: Tsingtao Brewery looking forward to a 60-70% increase for H1 net profit

Tsingtao Brewery Co Ltd expects its net profit for the first half of 2009 to increase by 60-70 percent year-on-year, Reuters reported on July, 14.

The brewer said efforts to strengthen its plant management and lower costs had helped boost its earnings and sales, giving no further details.

"The earnings growth was driven by the volume growth in beer sales, a better product mix and a decline in raw material costs," Bank of China International analyst Zhao Zongjun wrote in a report.

Zhao said Tsingtao's beer sales were robust in the first six months, and the company benefited from a drop in raw material costs in the second quarter. The cost decline boosted gross margins and market share, Zhao said.

The company posted a profit of 381.13 million yuan ($55.78 million) in the first six months of last year according to Chinese accounting standards.

(US$1=HK$7.8=6.832 yuan)


Turkey: Brewer Anadolu Efes increases Turkey beer sales volume by 2.3% in H1 2009

Turkish brewer Anadolu Efes announced on July, 14 its sales volume figures for the six months period ended 30.06.2009.

Total beer sales volume amounted to 11.3 mln hl, down 1.9% as compared to the first half of 2008, Anadolu Efes said.

In H1 2009, sales volume of the company’s Turkey beer operations reached 4.5 mln hl, recording 2.3% growth over the same period of the previous year. Domestic sales volume growth was also 2.3% in H1 2009 year-on-year.

Volume growth in the second quarter was 1.2%, despite the very strong base of previous year, when beer sales volume grew by 10.3% year on year. Despite the macro economic challenges, as well as higher prices due to excise tax increase, the positive growth rate was achieved through the dynamic performance of the brewer’s initiatives towards further development of on- and off-premise outlets and effective marketing activities.

In line with Anadolu Efes’ strategy to grow the Turkey beer market by satisfying the consumer needs, “Gusta Dark”, a high alcoholic version of the company’s wheat beer “Gusta” was introduced to the market in May 2009. “Gusta Dark” is the first dark wheat beer in Turkey.

The international beer operations of Anadolu Efes are conducted by Efes Breweries International ...More Info


China: China Resources Snow Breweries to take full control of a Shenyang-based brewery

China Resources Enterprise Ltd. said on July, 15 that its brewery unit will buy the remaining shares it doesn't own in a Shenyang-based brewery for CNY48 million to consolidate its production facilities, Dow Jones reported on the same day.

The blue-chip conglomerate said in a statement China Resources Snow Breweries (China) Investment Co. will buy a 20% stake in Shenyang Huarunchuangye Beer Co., which it will pay for in cash.

Upon completion of the transaction, China Resources will fully own the beer company via its unit.

Shenyang Brewery, which sells and produces beer under the CR Snow brand, has an annual production capacity of 120,000 kiloliters. Its sales of beer fell to 117,000 kiloliters in 2008 from 135,000 kiloliters in 2007.

Completion of the deal is subject to approval from mainland regulatory authorities, the firm said.


The Philippines: San Miguel Brewery posts positive results for the first semester of 2009

San Miguel Brewery Inc. (SMB), the brewery unit of San Miguel Corporation (SMC), announced on July, 15 that its first semester 2009 net sales revenue rose 4.2% year on year to P24.8 billion.

SMB sales volumes reached 86.0 million cases.

Operating income amounted to P7.6 billion in the first semester, a 6% increase from of the previous year, while net income after tax grew by 4% to P4.86 billion for the semester. Earnings growth was driven by continued cost management efforts and more stable raw material prices.

The SMB Inc. Board of Directors approved cash dividends of P0.11 centavos per share to all shareholders of record as of July 28, 2009 payable on August 10, 2009.

San Miguel Brewery Inc. held its first-ever stockholders meeting on July, 15. Earlier this year, the brewery completed a record-breaking P38.8 billion bond offering—the largest ever debt offering by a corporate issuer in the Philippines. Proceeds from the bond offering were used to purchase the domestic beer brands and brewery land assets from San Miguel Corporation.

San Miguel Corporation currently holds 51% of San Miguel Brewery after selling 43.3% to partner Kirin Holdings of Japan for almost P59 billion.

Kirin has had a long partnership with SMC, but ...More Info


CIS: Efes Breweries consolidated sales volume falls 4.6% in the first half of this year

Efes Breweries International N.V. (EBI) announced on July, 13 its sales volume figures for the six month period ended 30.06.2009.

In the first half of 2009, the Netherlands-based subsidiary of the Turkish Anadolu Efes registered a consolidated sales volume of 6.7 mln hl, indicating a decline of 4.6% compared to the same period in 2008.

Organic sales volume (excluding 1) January – February 2009 sales volume of JSC Lomisi in Georgia, which EBI acquired in February 2008 and started full consolidation starting from March 1st 2008, 2) the sales volume of Efes Serbia, which is excluded from EBI’s financials after the end of H1 2008) declined by 2.8% in the period.

Second quarter sales volume was down by 4.8% (6.7 mln hl) compared to a year ago due to the continued effects of a sharp economic slowdown in the region combined with the strong base of last year, when sales volume was up by 10.7%.

In Russia, H1 2009 sales volume was 5.3 mln hl, indicating a decline of 5.3% over the same period of the previous year. The downward trend in the Russian beer market, resulting from the deteriorating consumer demand as a result of the global financial crisis, continued in the second ...More Info


Barley News

Canada: Barley production to fall by 25% in 2009/10 – Statistics Canada

Statistics Canada’s (STC) June seeded area survey indicates that for 2009-10 Canadian farmers have reduced the areas seeded to barley, Agriculture and Agri-Food Canada reported on July, 10.

For 2009-10, barley seeded area decreased slightly to 3.6 mln ha, the lowest level since 1967, with a sharper decline expected for harvested area (3.1 mln ha) as more farmers than usual graze or cut their crops for green feed.

Production is expected to fall by about 25% to 8.8 mln metric tons as dry growing conditions cut yields. Total supply is forecast to fall by 19% to 10.9 mln metric tons. Domestic feed use is projected to decrease while exports remain unchanged at 2.3 mln.

Carry-out stocks are forecast to fall by 29% to 1.5 mln metric tons. The off-board price for barley is forecast to remain steady while the PRO for malting barley (Sel CW 2-Row) is C$251/t.

Scientific Digest

Disc Stack Centrifuge Operating Parameters and Their Impact on Yeast Physiology

Paul H. Chlup, Dominic Bernard and Graham G. Stewart

Abstract:
J. Inst. Brew. 114(1), 45–61, 2008
Hydrodynamic stresses imposed on brewing cells of Saccharomyces cerevisiae during beer processing can have a detrimental impact on beer quality. The use of centrifuges has become an efficient way to increase brewery throughput as they decrease clarification times and improve fermenter and tank conditioning efficiency. The effect of a disc stack centrifuge on yeast and beer physical stability has been investigated. In this study, a commercial ale yeast strain has been subjected to different operating conditions during centrifugation. Cell viability and intracellular pH decreased due to processing conditions encountered during yeast cropping with a centrifuge. A relationship has been established that yeast cell wall mannan, an unfilterable haze constituent, as a function of G-force and centrifugation cycles, is released from the cell wall while concurrently, particle sizes between 0.5-2.8 µm and beer haze increased. Furthermore, yeast intracellular glycogen and trehalose levels were depleted as a result of centrifugation.
Key words: beer haze, centrifuge, flow cytometry, g-force, glycogen, intracellular pH, stress, trehalose, yeast. Load full article, 17 pages, 1.29 MB , PDF file

Barley Prices

French Malting Barley Prices. Nominal prices
EURO = USD 1.3975 July 15, 2009 
 Crop year   2008   2009 
 Parity   FOB Creil   FOB Creil 
 Position   July 2008   July 2009 
Type   Variety  EURO  USD  EURO  USD 
2RS  Scarlett  116.00  162.50  133.00  186.00 
2RS  Prestige  115.00  161.00  132.00  184.50 
2RS  Cellar  114.00  159.50  131.00  183.50 
2RS  Sebastien  113.00  158.00  130.00  182.00 
2RS  Tipple  113.00  158.00  130.00  182.00 
2RS  Henley  113.00  158.00  130.00  182.00 
6RW  Esterel   109.00  152.50  122.00  170.50 

French Feed Barley Prices. Nominal prices
EURO = USD 1.3975 July 15,2009
Crop year 2009
Parity FOB Creil
Position July 2009
Type EURO USD
Feed Barley 96.00 134.16


Theoretical Malt Prices

EURO = USD 1.3975 July 15,2009 
Crop year  2008 
Parity  FOB Antwerp 
Position  July 2009 - Sept 2009 
Conditioning  Bulk   In bags  Bulk containers Bags, containers
Malting barley variety  EURO USD EURO  USD EURO USD  EURO  USD
2RS  Scarlett  332.50  464.50  363.50  508.00  356.00  497.50  370.50  517.50 
2RS  Prestige  331.50  463.00  362.50  506.50  354.50  495.50  369.00  515.50 
2RS  Cellar  330.00  461.00  361.50  504.50  353.50  494.00  367.50  514.00 
2RS  Sebastien  329.00  459.50  360.00  503.00  352.50  492.50  366.50  512.00 
2RS  Tipple  329.00  459.50  360.00  503.00  352.50  492.50  366.50  512.00 
2RS  Henley  329.00  459.50  360.00  503.00  352.50  492.50  366.50  512.00 
2RS   Average price  330.00  461.00  361.50  504.50  353.50  494.00  367.50  514.00 
6RW  Esterel   323.00  452.50  355.00  496.00  347.50  485.50  361.50  505.50 
Asia Malt 70/30  328.00  458.50  359.50  502.00  351.50  491.50  366.00  511.50 
**  Asia Malt 50/50  327.00  457.00  358.00  500.50  350.50  489.50  364.50  509.50 


EURO = USD 1.3975 July 15, 2009
Crop year 2009
Parity FOB Antwerp
Position Oct 2009 - Sep 2010
Conditioning Bulk In bags Bulk containers Bags, containers
Malting barley variety EURO USD EURO USD EURO USD EURO USD
2RS  Scarlett  343.50  480.00  375.00  523.50  367.00  513.00  381.50  533.00 
2RS  Prestige  342.50  478.50  373.50  522.00  366.00  511.50  380.00  531.50 
2RS  Cellar  341.50  476.50  372.50  520.50  364.50  509.50  379.00  529.50 
2RS  Sebastien  340.00  475.00  371.00  518.50  363.50  508.00  377.50  527.50 
2RS  Tipple  340.00  475.00  371.00  518.50  363.50  508.00  377.50  527.50 
2RS  Henley  340.00  475.00  371.00  518.50  363.50  508.00  377.50  527.50 
2RS   Average price  341.50  476.50  372.50  520.50  364.50  509.50  379.00  529.50 
6RW  Esterel   329.00  461.50  361.50  505.00  353.50  494.00  368.00  514.00 
Asia Malt 70/30  338.00  472.00  369.00  515.50  361.50  505.00  375.50  525.00 
**  Asia Malt 50/50  335.50  469.00  367.00  512.50  359.00  502.00  373.50  521.50 

NB: Prices published are theoretical malt prices including financial cost, THC (for bulk and bags container) and all administrative costs. This prices may fluctuate according to the quantity per delivery and technical specifications.

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

Prices Evolution

Prices evolution

Table of the Week

EU - 27 BARLEY CROP FORECAST - 2009

  Total 2009f thereof Spring Barley
 Country Area (thousand ha) Yield (100 kg/ha) Production (thousand tons) Area (thousand ha) Yield (100 kg/ha) Production (thousand tons)
Austria 181 44 796 94 37 348
Belgium/Lux. 65 75 488 8 65 49
Bulgaria 210 33 693 17 22 37
Cyprus 50 15 75 - - -
Czech Rep. 490 43 2102 355 42 1473
Denmark 591 51 3014 447 49 2190
Estonia 140 20 281 138 20 276
Finland 607 34 2033 607 34 2033
France 1793 69 12282 540 57 3078
Germany 1905 60 11495 450 49 2183
Greece 200 19 380 - - -
Hungary 321 30 948 126 24 299
Ireland 184 66 1216 170 65 1105
Italy 345 36 1242 - - -
Latvia 138 21 288 130 20 260
Lithuania 362 26 922 340 25 850
Malta 1 27 3 - - -
Netherlands 45 61 274 40 60 240
Poland 1214 31 3788 950 30 2803
Portugal 39 18 70 - - -
Romania 499 28 1417 179 21 376
Slovakia 209 34 717 190 34 646
Slovenia 20 40 79 2 35 7
Spain 3016 24 7200 2466 25 6150
Sweden 368 43 1565 350 42 1465
UK 1075 59 6361 650 55 3569
TOTAL
EU - 27
14068 43 59730 8249 36 29437
Source: Coceral, 2nd June 2009.
Coceral statistics of EU-27 Barley Crop 2008 is available on www.e-malt.com
Graph of the Week


Source: IGC

These Days in Business History
July 13
1568 - Dean of St. Paul's Cathedral perfects a way to bottle beer.
1852 - Wells, Fargo & Co. is founded by Henry Wells and William G. Fargo.
1898 - Guglielmo Marconi patents radio.

July 14
1850 - 1st public demonstration of ice made by refrigeration.
1857 - Maytag invented the washing machine.
1959 - 1st atomic powered cruiser, Long Beach, Quincy Massachusetts.

July 15
1783 - 1st steamboat, Pyroscaphe, 1st run in France.
1869 - Margarine is patented in France by Hippolyte Mege Mouries of Paris.
1954 - The first commercial jet transport airplane built in US is tested (Boeing 707).

Agenda