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Flash Summary
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E-Malt.com Flash 31b
August 04 - August 07, 2016
Quote of the Week
There is more to life than beer alone, but beer makes those other things even better.
Stephen Morris
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Currency Rates
Base Currency: Euro
on August 05, 2016 |
Base Currency: US Dollar
on August 05, 2016 |
| |
1 EUR = 1.1136 USD
1 EUR = 0.8460 GBP
1 EUR = 1.4536 CAD
1 EUR = 1.4604 AUD
1 EUR = 112.6600 JPY
1 EUR = 3.5894 BRL
1 EUR = 73.9232 RUB
1 EUR = 7.3961 CNY
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1 USD = 0.8977 EUR
1 USD = 0.7552 GBP
1 USD = 1.3052 CAD
1 USD = 1.3131 AUD
1 USD = 101.2300 JPY
1 USD = 3.2239 BRL
1 USD = 66.3941 RUB
1 USD = 6.6384 CNY
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Currency Rates Chart
Equities of the Largest Breweries
Average Market Prices Change Trend
| August 05, 2016 |
| Type |
Crop 2016 |
| EUR |
% |
| 2rs Barley |
191.50-193.50 |  1.05% |
| 6rw Barley |
173.00-175.00 |  |
| 2rs Malt |
388.50-390.50 | 0.64% |
| 6rw Malt |
366.00-368.00 | |
| Feed Barley |
137.00-139.00 |  0.72% |
Note: Just click
here
and you will be led to our Market Price History. These are average French barley market prices estimated on FOB Creil basis. The theoretical average malt prices are 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.
World: AB InBev executives to dominate leadership positions after merger with SABMiller
...Click here
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Japan: Kirin Holdings cuts sales forecast for the year on increased competition
...Click here
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China: China’s largest brewers failing to cope with growing demand for more sophisticated beers
...Click here
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Japan: Suntory Holdings reports significant increase in first-half net income
...Click here
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Brazil: Heineken completes expansion and modernization of Ponta Grossa brewery
...Click here
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Canada: Molson Coors officially announces new brewery in Chilliwack, British Columbia
...Click here
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World: Global hops output this year expected to be at least 100,000 tonnes
...Click here
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USA: Diageo to broaden investments in beer and change the name of its US business
...Click here
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Nigeria: Heineken warns many Nigerians are trading down to other brands due to difficult economic situation
...Click here
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Jamaica: Red Stripe to employ more people as it prepares to resume export to the US
...Click here
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Vietnam: The Vietnam Brewery Limited Company officially changes its name to Heineken Vietnam Brewery Limited Company
...Click here
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World: The Scotch Whisky Association worried about the post-Brexit future of whisky exports to emerging markets
...Click here
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Graph of the week
Table of the week
World Barley Trade
Prices Evolution
Barley Prices
Theoretical Malt Prices
Scientific Digest
HOPS DO NOT NECESSARILY
NEED TO TOUCH BEER FOR
DRY HOPPING PURPOSES
ABSTRACT
A German research team that came up with the idea of
extracting hop aroma into beer by applying a combined
desorption/absorption process. The process-dependent
mass transfer was predicted using two different
approaches: a thermodynamic approach, and response
surface modelling. The methods offer the following
advantages: no beer losses, no clarification steps
needed, potential reuse of hops for bittering. Using
response surface methodology was clearly superior
as compared to calculating the mass transfer using
thermodynamic approximations.
Klie, R.: Feasibility and Optimization of a Novel Desorption/ Absorption Process for
Transferring Hop Volatiles into Beer, poster presentation at the Trends in Brewing Conference,
April 2016, Ghent.
Read more
Source: Barth Innovations
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These Days in Business History
04 August
1693 - Dom Perignon invents champagne
1790 - Congress enacts Alexander Hamilton's plan to fund the public debt and giving birth to the American securities markets
1930 - Michael J. Cullen opens his first King Kullen store. He calls it a "supermarket," one of the nation's first - and it is a smash hit, as people drive from miles around for the new shopping experience
2007 - NASA's Phoenix spaceship is launched
05 August
1914 - 1st traffic light installed (Euclid Ave & E 105th St, Cleveland)
1926 - 1st talkie movie "Don Juan" at Warner Theatre, NY
1930 - Birth of Neil Armstrong , X-15 pilot, 1st Moonwalker (Gemini 8, Apollo 11)
1991 - Soichiro Hondo CEO & founder (Honda), dies of liver cancer at 84
06 August
1661 - Holland sells Brazil to Portugal for 8 million guilders
1945 - Hiroshima Peace Day-atom bomb dropped on Hiroshima by "Enola Gay"
1990 - UN Security Council votes 13-0 (2 abstentions Cuba & Yemen) to place economic sanctions against Iraq
07 August
1888 - Theophilus Van Kannel of Philadelphia patents revolving door
1928 - The dollar shrinks, literally: the US Treasury unveiled a new version of the note that was one third smaller than its predecessor
1955 - Tokyo Telecommunications Engineering, the precursor to Sony, sells its first transistor radios in Japan
1959 - Explorer 6 transmits 1st TV photo of Earth from space
Agenda
August 2016:
05-07: The 20th International Berlin Beer Festival (Berlin, Germany)
09-13: The Great British Beer Festival 2016 (London, UK)
10-13: Vietfood & Beverage - ProPack 2016 (Ho Chi Minh, Vietnam)
13-17: World Brewing Congress 2016 (Denver, USA)
September 2016:
08-10: Irish Craft Beer Festival 2016 (Dublin, Ireland)
14-15: Food and Drink Technology Africa 2016 (Johannesburg, South Africa)
19-03 October: Oktoberfest 2016 (Munich, Germany)
24-25: Whisky Live Paris 2016 (Paris, France)
26-28: VLB Ibero-American VLB Symposium 2016 (Santiago de Chile, Chile)
28-30: Beer and Soft Drinks Industry - 2016 (Kyiv, Ukraine)
29-01 October: Stockholm Beer & Whisky Festival 2016 (Stockholm, Sweden)
October 2016:
06-08: Stockholm Beer & Whisky Festival 2016 (Stockholm, Sweden)
06-08: Great American Beer Festival 2016 (Denver, USA)
08-10: Brouwplus 2016 (Antwerp, Belgium)
11-14: China Brew, China Beverage 2016 (Shanghai, China)
21-23: The Finest Spirits & Beer Convention 2016 (Bochum, Germany)
November 2016:
08-10: Brau Beviale 2016 (Nuremberg, Germany)
09-12: Vietfood & Beverage - ProPack 2016 (Hanoi, Vietnam)
December 2016:
15-17: drink technology India 2016 (Mumbai, India)
More events are available on site e-malt.com
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Brewery News
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World: AB InBev executives to dominate leadership positions after merger with SABMiller
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Anheuser-Busch InBev NV executives will dominate leadership positions after taking over rival brewer SABMiller PLC, filling all but one position on an expanded executive management board, The Wall Street Journal reported.
Under a new structure announced on August 4, AB InBev said it would expand its executive management board to 20 people from 17 by adding geographic zones covering Africa, Australia and Colombia.
SABMiller’s Mauricio Leyva, currently the managing director of African subsidiary SAB Ltd., will lead AB InBev’s Middle Americas business from Mexico City and become the only SABMiller member of the combined brewer’s executive management board.
AB InBev’s dominance of leadership positions at the combined brewer fits its practice of placing its executives in a position to quickly install the Belgian brewer’s goal-oriented, cost-conscious culture after a takeover. It took a similar approach after buying Anheuser-Busch Cos. in 2008 and Grupo Modelo in 2013.
The world’s largest brewer said it would continue to be headquartered in Leuven, Belgium, and its global management team, including Chief Executive Carlos Brito and Chief Financial Officer Felipe Dutra, would continue to be based in New York. It will add zone headquarters in Johannesburg, Melbourne and Bogotá.
The company said it would keep SABMiller’s offices in Woking, U.K.,
...More info on site
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Japan: Kirin Holdings cuts sales forecast for the year on increased competition
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Kirin Holdings Co. cut its sales forecast for the year on increased competition even as the second-biggest Japanese brewer raised profit projections by a
...More info on site
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China: China’s largest brewers failing to cope with growing demand for more sophisticated beers
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Chinese breweries have a bigger problem than the looming merger of AB InBev and SABMiller. The ground is shifting as consumers are increasingly prepared
...More info on site
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Japan: Suntory Holdings reports significant increase in first-half net income
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Japan’s Suntory Holdings Limited said on August 5 it registered a 35.633 bln yen net income attributable to owners of parent company in the
...More info on site
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Brazil: Heineken completes expansion and modernization of Ponta Grossa brewery
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World’s third-largest brewer Heineken announced on August 3 the completion of a R$400 mln investment project aimed at expansion and modernization of its production
...More info on site
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Canada: Molson Coors officially announces new brewery in Chilliwack, British Columbia
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After announcing late last year its Burrard Street facility in Vancouver would be closing, Molson Coors now says it will build a new brewery on a 36-acre site at Highway One and Vedder Road in the Fraser Valley, Chilliwack, British Columbia, News 1130 reported on August 4.
It will open in late 2018 or early 2019, at which time the Burrard brewery will cease operations.
Chilliwack Mayor Sharon Gaetz says this is a big deal and once the company announced it was leaving Vancouver, she wanted her city to be first in line.
“We love welcoming investment and CEPCO worked really hard this November to bring them in. They talked to them about our low taxes and the way that the city works with business. We have low development cost charges and are business friendly.”
Gaetz adds water quality was another factor in the company’s decision to move and there are obvious benefits to brewing in the city, including job creation.
Vice-President of Corporate Affairs at Molson Coors Gavin Thompson says it was important to stay in the province. “BC is great because you’re right on the US border but you’re also right along a coastline and you have great access into Western Canadian markets,
...More info on site
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USA: Diageo to broaden investments in beer and change the name of its US business
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Diageo PLC on August 5 said it plans to broaden its investment in beer in the U.S. and change the name of the business there, signalling a shift in the world’s largest spirits maker’s approach to American beer, The Wall Street Journal reported.
Diageo said it is changing the name of its beer business to Diageo Beer Co. USA from Diageo-Guinness USA to signal its “commitment to the broad category of premium beer.” The company will ramp up investments in Irish beers Smithwick and Harp, which have struggled in the U.S., resulting in falling beer sales last year.
Diageo’s U.S. beer portfolio, which includes alcopop Smirnoff Ice, logged a 3% drop in volumes in fiscal 2016. Beer net sales fell 3% driven by a decline in Smithwick and Harp. Diageo reported flat net sales for Guinness in the U.S., blaming “a crowded craft beer segment.”
Beer makes up about 20% of Diageo’s global sales but its biggest business is in Africa, where it sees the drink as a vehicle through which to sell its spirits brands.
In the U.S., the company has historically plowed its money into Guinness and Smirnoff ice, which make up the vast majority of the Diageo-Guinness business. On August 5
...More info on site
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Nigeria: Heineken warns many Nigerians are trading down to other brands due to difficult economic situation
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Heineken has said that consumers are “still drinking beer” in Nigeria, but warned that many are trading down to other brands due to the economic situation of the country, as the country recovers from a major currency devaluation, Nigeria Today reported on August 3.
Nigeria is said to account for about half of Heineken’s sales in Africa and the Middle East, but Heineken says a move to value brands is increasingly putting pressure on its margins.
It says however, its overall beer volumes in the country increased in the first-half of the year.
Heineken CFO Laurence Debroux said on August 2, “As for consumers in Nigeria, the good news is that they keep drinking beer.”
He also added, “After a first half of 2015 where we were a bit worried about the volumes, now this is back, but [consumers are] definitely trading down to more value and lower mainstream brands, which are actually flying in volumes.”
Nigeria has been hit by an economic downturn fuelled by a drop in oil prices.
Last month, the government introduced a flexible exchange rate that resulted in a 40% devaluation of the Naira.
Heineken said this week it has taken a EUR24 mln hit from the devaluation, however, it is now
...More info on site
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Jamaica: Red Stripe to employ more people as it prepares to resume export to the US
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Red Stripe will be employing 30 more people as it prepares to resume its export of the world-famous lager beer to the United States next month, and plans to employ another 300 when it completes a major upgrade of its brewery on Spanish Town Road in Kingston, Jamaica Observer reported on August 4.
Managing Director Ricardo Nuncio told Cabinet ministers Audley Shaw and Karl Samuda, who toured the Spanish Town Road brewery with a host of press personnel on August 3, that the company — a subsidiary of Dutch brewing company Heineken International — would resume brewing for the foreign market in mid-August.
“We should be ready to start shipping the product to the US market as of the first week of September. That is now a reality. It is going to happen in the first week of September,” Nuncio told his guests during lunch in the company’s recreational room, which followed the tour.
D&G had been manufacturing Red Stripe at the local brewery since 1938, but in 2012 then parent Diageo decided to shift production of the product to Latrobe, Pennsylvania, in the United States, to service its US consumers.
The move led to a few beer drinkers taking the company to court,
...More info on site
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Vietnam: The Vietnam Brewery Limited Company officially changes its name to Heineken Vietnam Brewery Limited Company
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The Vietnam Brewery Limited Company (VBL) officially changed its name to Heineken Vietnam Brewery Limited Company (Heineken Vietnam Brewery) and released a new logo on August 1, VietNamNet Bridge reported.
There are no changes to the shareholding structure between the two stakeholders in the joint venture. The Saigon Trading Group (Satra) continues to hold 40 per cent while Heineken Asia Pacific partner still holds 60 per cent.
“The new image of Heineken Vietnam Brewery will be introduced in the Asia Pacific region and no changes will be made to management and organizational structure,” said Ms. Le Minh Trang, Chairman of Heineken Vietnam Brewery and General Director of Satra.
The company will preserve its business and production models as well as the property rights on its all brands, which include Heineken, Tiger, Larue, BGI, Bivina, Desperados, Affligem and Strongbow Cider.
According to Mr. Leo Evers, Managing Director of Heineken Vietnam Brewery, products under the old brand name will continue to be distributed and their quality will remain unchanged.
With annual profit averaging around $186 million and State budget contributions $573 million, many have asked whether Heineken has its eyes on Satra’s shareholding in the joint venture, with its first step being to change the brewery’s name.
In
...More info on site
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Hops News
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World: Global hops output this year expected to be at least 100,000 tonnes
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Forecasts for global hops output this year are for amounting to at least 100,000 tonnes, HVG said on August 3.
In all growing regions
...More info on site
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Whisky News
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World: The Scotch Whisky Association worried about the post-Brexit future of whisky exports to emerging markets
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The Scotch Whisky Association (SWA) has warned that trade tariffs on exports to emerging markets such as Korea, South Africa and Colombia could rise as a result of the Brexit vote, The Spirits Business reported on August 3.
Such countries currently have Free Trade Agreements (FTAs) with the EU that mean no or very low tariffs on whisky, and after completing a post-referendum consultation with its membership, the SWA has warned that unless there are transitional arrangements Scotch will lose out on “significant tariff reductions”.
The SWA said the UK “will eventually need to negotiate its own FTAs or rely, as the EU largely does with most countries, on WTO (World Trade Organisation) rules”, adding that that this process would “take a major upgrade of capacity within the UK Government” and could not be actioned quickly.
The body called for a trade policy that was “as open and free trading as possible”, and urged the government for clarity on future trading arrangements as soon as possible.
The SWA added that the UK must develop its own network of trade agreements with non-EU countries over the medium term.
David Frost, SWA chief executive, said: “Scotch Whisky is one of the UK’s most successful exports. We are
...More info on site
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