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E-Malt.com Newsletter 36b
September 05 - September 08, 2019
Quote of the Week
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Anne Frank
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Currency Rates
Base Currency: US Dollar
on September 06, 2019 |
Base Currency: Canadian Dollar
on September 06, 2019 |
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1 USD = 0.9058 EUR
1 USD = 0.8133 GBP
1 USD = 1.3220 CAD
1 USD = 1.4670 AUD
1 USD = 106.7500 JPY
1 USD = 4.0934 BRL
1 USD = 66.0783 RUB
1 USD = 7.1434 CNY
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1 CAD = 0.7563 USD
1 CAD = 0.6151 GBP
1 CAD = 0.6851 EUR
1 CAD = 1.1095 AUD
1 CAD = 80.7400 JPY
1 CAD = 3.0959 BRL
1 CAD = 49.9760 RUB
1 CAD = 5.4027 CNY
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Currency Rates Chart
Equities of the Largest Breweries
Canada: Only 5-10% of barley crop harvested so far due to continuing rains
...Click here
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USA: North Dakota barley crop a challenge for maltsters this year
...Click here
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USA: Millennials consume more alcohol because they have kids – Constellation Brands CFO
...Click here
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USA, FL: Motorworks Brewing to open new space in downtown Orlando
...Click here
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USA, MN: Forbidden Barrel Brewing now open in Worthington
...Click here
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USA, TX: Viva Brewery to open next year in San Antonio
...Click here
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USA, MI: Arvon Brewing Co. moving operations to Grand Rapids
...Click here
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USA, ME: Waterman Beach Brewing getting started in South Thomaston
...Click here
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USA: Court bars AB InBev from claiming its products have ‘no corn syrup’
...Click here
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Australia: Hop suppliers have to adapt fast to changing beer industry requirements
...Click here
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Japan: Japan’s fourth-largest brewer Orion Breweries considers developing craft beer products
...Click here
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UK: Brexit opens way for alcohol tax overhaul - report
...Click here
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South Africa: Competition Tribunal conditionally approves SAB and Diageo licensing agreement
...Click here
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EU: All beer bottles and cans to show ingredients and energy values on labels by 2022
...Click here
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India: AB InBev already incurring losses due to ban on its beer sales in New Delhi
...Click here
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UK: Michelob Ultra coming to UK on-trade in draught and bottle format
...Click here
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Nigeria: Nigerian Breweries react to report exposing its protection of former CEO suspected of corruption
...Click here
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Graph of the Week
Table of the Week
German Malt Production, Export, Import, and Consumption
Prices Evolution
Barley Prices
Theoretical Malt Prices
These Days in Business History
05 September
1888 - George Eastman patents 1st roll-film camera and registers "Kodak"
1957 - Ford Motor Co introduces Edsel
1958 - 1st color video recording on magnetic tape presented, Charlotte NC
1997 - Mother Teresa (Agnes Gonxha Bojaxhiu) dies of cardiac arrest at 87; Nobel (1979)
06 September
1620 - The Pilgrims sail from Plymouth, England, on the Mayflower to settle in North America
1819 - Thomas Blanchard patents lathe
1853 - Women's Right's Convention met (New York City)
07 September
1822 - Brazil declares independence from Portugal (National Day)
1912 - David Packard, co-founder of Hewlett-Packard Co., is born in Pueblo, Colo
1923 - Interpol forms in Vienna
08 September
1923 - Alexandra Kollontai of Russia becomes 1st woman ambassador
1990 - Real-estate developer Minoru Isutani buys the Pebble Beach golf resort for $841 million. By March, 1992, Isutani sold Pebble Beach for $500 million-a $341 million loss in less than a year-and-a-half, "probably the most disastrous real-estate deal known to man"
Agenda
September 2019:
04 - 08: Mondial de la Biere 2019 (Rio de Janeiro, Brazil)
17 - 19: 10th Iberoamerican VLB Symposium Brewing & Filling Technology 2019 (Guadalajara, Mexico)
21 - 06 October: Oktoberfest 2019 (Munich, Germany)
26 - 27: Sea Brew 2019 (Bangkok, Thailand)
26 - 28: Stockholm Beer & Whisky Festival 2019 (Stockholm, Sweden)
October 2019:
03 - 05: Stockholm Beer & Whisky Festival 2019 (Stockholm, Sweden)
03 - 05: The Great American Beer Festival 2019 (Denver, USA)
29 - 13 November: World Beer Cup 2020 (USA)
November 2019:
12 - 14: Brau Beviale 2019 (Nuremberg, Germany)
27 - 29: Drink Japan 2019 (Makuhari Messe, Japan)
December 2019:
05 - 07: Drink Technology India 2019 (New Delhi, India)
News Articles
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Canada: Only 5-10% of barley crop harvested so far due to continuing rains
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Rains continue to plague the prairie harvest. Persistent rains which appear every two to three days in most of the Western regions are causing delays in the harvest. The only regions that have completed the barley harvest are southern Alberta and most of Manitoba. The weather pattern has been one of cool temperatures which are not permitting the fields to dry out. This will lead to more feed grains being produced, CMBTC said on September 5.
At this juncture, only 5-10% of the barley crop has been harvested, with some of the barley harvested at high moisture levels (15-20%), which will have to be dried down with farm dryers. Farm dryers will be an asset this fall. The changing weather patterns of the last few years have promoted the addition of grain dryers on many farms throughout the prairies.
The barley trade is getting nervous as there does not appear to be a change in the wet cool weather pattern for the next few weeks. Note that the projected barley harvest in Western Canada is for 10 million tonnes and the anticipated production of selectable malting barley was estimated at up to 4 million tonnes. With 1 million tonnes required
...More info on site
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USA: North Dakota barley crop a challenge for maltsters this year
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The crop in North Dakota is in one word a mess, especially in the southeast corner, CMBTC reported on September 5.
All the barley in this region is chitted/sprouted and has DON levels of 0.5-2 parts per million (PPM), industry sources report.
Maltsters have been adept at malting chitted barley and barley with vomitoxin, however to malt barley that is both chitted and has vomitoxin is another issue and can only result in extremely variable malt barley. Malting this year’s barley crop from North Dakota will be a very challenging endeavour, the CMBTC experts said.
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USA: Millennials consume more alcohol because they have kids – Constellation Brands CFO
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Beer and wine producer Constellation Brands is seeing an uptick in the millennial generation’s consumption of alcohol and, according to a company executive, that’s in part thanks to one specific reason, CNBC reported on September 5.
“When you said the millennials are drinking more, I’m like: That’s because they have kids,” Barclays analyst Lauren Lieberman said.
Lieberman made the comment somewhat jokingly during a discussion with Constellation Brands CFO David Klein, who was speaking with Lieberman at the Barclays Global Consumer Staples Conference on September 4.
“Well, I think that’s exactly the answer,” Klein responded.
He cited Constellation’s research on millennials to back up his broader thesis: The company found that in 2013, millennials consumed about 24 alcoholic drinks per month. By this year, that number has climbed to about 29 per month – with about 77% of all millennials in the U.S. consuming alcohol, according to Klein.
“What we don’t know though is will we see that same thing with Gen Z as they age, will they — will life get more stressful for them and they drink a little more? But it’s too early to tell, but we definitely have seen that with millennials,” Klein said.
Klein added that Generation Z, ages 21 to
...More info on site
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USA, FL: Motorworks Brewing to open new space in downtown Orlando
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Motorworks Brewing has just announced that they’ll be opening a new space in downtown Orlando, the Bungalower reported on September 2.
The Bradenton-based brewery will be moving into the freshly vacated Orange County Brewing property located at 131 N. Orange Avenue.
The new taproom will feature 30 draft beers with a seven-barrel brewhouse. The downtown annex will focus on a string of unique pilot brews in addition to Motorwork’s current selection, including their Pulp Friction Grapefruit IPA. They’ll also offer wine and coffee products. The owners will be expanding their coffee roastery operation to Orlando and will serve packaged beers to go and will re-activate the wood-fired pizza oven that’s already located on-site.
An exact opening date is yet to be announced. The new ownership team is hoping for a quick turnaround on the interior with an opening this fall.
Orange County Brewers closed their downtown location last month.
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USA, MN: Forbidden Barrel Brewing now open in Worthington
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When Worthington, Minnesota, was settled in 1872 by professor and Prohibitionist Ransom Humiston and A.P. Miller, it was meant to be a town free of alcohol. But then, as the town residents tell the tale, Civil War veterans moved to town with a thirst for beer. Next thing you know, Humiston is destroying a keg of the veterans’ beer during the town’s very first Fourth of July celebration. They gave the keg a soldier’s burial before another one was tapped, The Growler reported on September 3.
“That name [of the brewery] is in that story,” says Brent Droll, co-owner and head brewer of the Forbidden Barrel Brewing. Though the town is no longer flirting with temperance, Droll is both worried and excited to open what will be Worthington’s first brewpub at the end of August.
“It’s great. It feels great,” Droll says. “It’s scary at the same time. In a rural community, there’s not always a lot of options for people to go on an evening when they want to go, sit back, and relax. We saw a need for that here and fill that void. But it’s scary to be the first one to do it in this general area.”
While the
...More info on site
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USA, TX: Viva Brewery to open next year in San Antonio
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The idea for Viva Brewery was created by some buds in a garage in San Antonio, Texas, and the city’s culture and tradition is its inspiration. Cofounders Michael Johnson and Bobby Jones started brewing beer in Johnson’s garage in 2018 with the mission of producing high-quality yet approachable craft beer for celebrations big and small. The duo is on the path to open their own microbrewery on San Antonio’s East side, the Craft Brewing Business reported on September 3.
Viva Brewery’s San Antonio brewery and taproom will open in 2020 at 533 Delaware Street.
“We’re really excited to share our passion with the city of San Antonio and its community that means so much to us,” said Johnson. “I still remember our brew days that turned into brew nights, where friends and friends of friends all gathered in our driveway to taste Viva.”
Johnson and Jones met as neighbors and are both raising their families in San Antonio. After developing the brand and deciding to take the next step in the launch of Viva Brewery, not only as neighbors but as partners, each took on roles within the organization: Jones is dubbed “the brains of the operation” and Johnson the “chief cook and
...More info on site
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USA, MI: Arvon Brewing Co. moving operations to Grand Rapids
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A brewery with a focus on IPAs is coming to Grand Rapids, MLive.com reported on September 3.
Arvon Brewing Co. is moving its operations from Grandville to 1006 S. Division Ave., with plans to open its new brewery and taproom in the city by year’s end, says business manager and co-founder Brett Bristol.
While it won’t have a full restaurant, Arvon will feature local food trucks and vendors during open hours. The plan is to have 12 rotating taps, with half devoted to IPAs and the rest devoted to sours, stouts and others.
Tentative taproom hours are 3 to 9 p.m. Thursdays and Fridays, and 1 to 9 p.m. on Saturdays, Bristol said.
The move from Grandville to Grand Rapids is necessitated by growing demand for their beers that can’t be fulfilled in their current 700-square-foot production facility, according to Bristol. The Grand Rapids space is about 5,000 square feet, with half of that slated for the taproom.
“It’s been a constant growth phase for us, and this is just the next leap in that growth to try and meet the demand that’s out there,” Bristol said. “The current demand we have is about twice what we can produce.”
Arvon brews about 600 barrels a year
...More info on site
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USA, ME: Waterman Beach Brewing getting started in South Thomaston
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It may be the end of the summer season for tourists to Maine, but Waterman Beach Brewing is just getting started, PenBayPilot.com reported on September 3.
General Manager Heath Curtis just opened the oceanfront brewery for Labor Day weekend to an enthusiastic crowd of locals, visitors and fans of Waterman’s Beach Lobster. But first, a little back story, so it all makes sense.
Three years ago, Waterman’s Beach Lobster, a family-owned lobster pound, announced it was closing for good after 30 years in the business. Curtis’s mother, Sandy Manahan, and his aunt Lorri Cousens had been running the shack after Curtis’s grandmother had started the business, but in 2016, the family had decided it was time to retire. However, they didn’t want to sell the property in order to keep the family name and its brand intact.
Curtis, a scallop fisherman, and self-described “avid beer drinker” had renewed plans for the space, along with his brothers, Todd Curtis and Josh Faulkingham.
“Everybody loves a good beer, so I got to thinking, why not build a brewery on the property?” he said. “It was a joint interest for the whole family. And what a great place for it. The vision took off from there.”
The
...More info on site
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USA: Court bars AB InBev from claiming its products have ‘no corn syrup’
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A federal judge issued a preliminary injunction against Anheuser-Busch InBev that prevents the beer giant from claiming its products have “no corn syrup,” delivering a win for rival MillerCoors, CNBC reported on September 4.
A U.S. subsidiary of Molson Coors Brewing, MillerCoors, sued its St. Louis-based competitor earlier this year for a corn syrup ad campaign that began airing during the Super Bowl for its Bud Light beer. MillerCoors alleged that AB InBev singled out corn syrup for criticism because it would confuse and mislead consumers about its own use of the ingredient, in addition to misusing MillerCoors’ trademarks in its ads.
MillerCoors contends that while the beer brand uses corn syrup in the brewing process, there is no corn syrup in the actual beers it sells. It also argues that consumers can easily confuse high fructose corn syrup, which has been associated with the obesity epidemic, with the potentially more benign corn syrup it uses in brewing.
According to the ruling in U.S. District Court for the Western District of Wisconsin, a “reasonable jury could find that the implicit message of the [Bud Light] packaging is that other beers contain corn syrup.”
In light of the limited number of light beer brands, the
...More info on site
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 Russia: Barley malt export up 41% in 2018/19
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Russia’s barley malt exports increased by 41% in crop year 2018/19, Profibeer reported on September 5 citing data by Rosstat.
The nation exported a total
...More info on site
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Australia: Hop suppliers have to adapt fast to changing beer industry requirements
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Pressures on the industry due to the growing demand for different varieties of hops mean suppliers have to adapt fast, Owen Johnston, sales and
...More info on site
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Japan: Japan’s fourth-largest brewer Orion Breweries considers developing craft beer products
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Okinawa’s Orion Breweries Ltd. is considering developing craft beer products, the new head of the company was quoted as saying by The Japan Times
...More info on site
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UK: Brexit opens way for alcohol tax overhaul - report
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Brexit opens the way for a major overhaul of the tax on alcohol which could help British pubs and tackle problem drinking, Sky News reported on September 6.
Alcohol duty was an area where a break with Brussels could bring about "positive changes", said a report by the Social Market Foundation (SMF).
The study came as the popular British pub brand Wetherspoon's cut the cost of a pint of beer in its pubs by an average of 20p, with the firm claiming it was an example of how prices can come down if Britain leaves the customs union with the EU.
The chain's Brexit-backing boss Tim Martin said leaving the bloc on 31 October would allow the Government to end "protectionist tariffs".
In its report, the SMF pointed out EU-wide rules had a direct impact on the current system of alcohol taxation, including the way in which excise duty is calculated, and so acted as an obstacle to reform.
With an eye on Brexit, one of the changes proposed by the report includes a move to charge more tax on supermarket alcohol than alcohol sold in pubs
The introduction of a "pub relief" would help support the struggling licensed trade while making drinking at home or
...More info on site
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South Africa: Competition Tribunal conditionally approves SAB and Diageo licensing agreement
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The Competition Tribunal of South Africa has conditionally approved South African Breweries’ (SAB) acquisition of licensing agreements with Diageo South Africa (Diageo SA), the
...More info on site
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EU: All beer bottles and cans to show ingredients and energy values on labels by 2022
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The Brewers of Europe and its members have signed a memorandum of understanding (MoU) and committed, through a Brewers’ Ambition, to labelling ingredients and energy values on all beer bottles and cans in the EU by 2022, the trade association announced on September 5.
The ambitious targets were voluntarily agreed with the European Commission and adopted by the General Assembly of The Brewers of Europe in June.
The signing ceremony was attended by The European Commissioner for Health and Food Safety Vytenis Andriukaitis who said:
I am delighted to be part of today’s event. I want to take this opportunity to congratulate you for your commitments to alcohol labelling. And I also want to encourage you to continue being a pioneer around this issue in the wider alcohol sector. Consumers have a right to know more. Many of them want more details on what their drinks contain and what it means for their health. They want this information to be clear and transparent – a recurrent message we receive in all our public health and food safety work.
In the last four years brewers have been voluntarily rolling out ingredients and energy labelling in full accordance with Regulation (EU) 1169/20111, setting ambitious
...More info on site
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India: AB InBev already incurring losses due to ban on its beer sales in New Delhi
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Anheuser-Busch InBev will face a “substantial adverse impact” on its business in New Delhi and is already incurring losses due a ban on its beer sales in the city amid allegations of tax evasion, it said in a court filing seen by Reuters.
The ban could be a major setback for AB InBev, which is also battling a separate antitrust probe in India linked to alleged beer price fixing by SABMiller, which it acquired in 2016 for around $100 billion, and other firms, industry executives say.
Local authorities in July barred AB InBev, the world’s largest brewer, from selling all its beer brands in New Delhi for three years on allegations of evading local taxes. AB InBev has denied the allegations.
An Indian court on September 3 rejected a request from the brewer to put the ban on hold, saying it must first complete the appeals process before the state authorities.
Describing the ban as “irrational and perverse”, the company said it would “face substantial adverse impact on its business operations and livelihood in Delhi and is in fact incurring losses due to black listing”.
It did not disclose any specific loss figure.
“Apart from loss of goodwill and reputation, the domestic beer business of the
...More info on site
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UK: Michelob Ultra coming to UK on-trade in draught and bottle format
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Budweiser Brewing Group UK&I, part of AB InBev, is launching its Michelob Ultra brand in draught and bottle format to the UK on-trade, the Bar Magazine reported on September 5.
Michelob Ultra is a premium 3.5% ABV light beer, containing 125 calories per pint. The UK launch responds directly to the trend for leading an active lifestyle and demand for reduced-calorie and lower-alcohol options.
Michelob Ultra’s UK debut is supported by a national multimedia advertising campaign, involving print, digital and out-of-home media, which will focus on the beer’s “light qualities and functional benefits”.
The campaign will raise awareness of the brand, its availability in the UK and encourage consumers to try a Michelob Ultra. Sampling and large-scale brand partnerships have also driven support of the brand launch in the UK.
Tim Deeks, marketing manager, Michelob Ultra, said: “Drinking beer can sometimes seem at odds with living an active life, but it doesn’t have to be.
“Michelob Ultra signals an exciting new option for venues who want to respond to the increasing consumer demand for products that complement a balanced lifestyle.
“Low and no-alcohol beer is increasingly in demand in the on-trade, so it’s important for venues to have a variety of products to meet varying palettes.
...More info on site
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Nigeria: Nigerian Breweries react to report exposing its protection of former CEO suspected of corruption
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Nigerian Breweries Plc on September 4 reacted to an investigative report which exposed how the company protected Nico Vervelde, its Dutch Chief Executive Officer suspected of corruption, Premium Times reported.
The company reacted in a disclosure notice signed by Sade Morgan, the Corporate Affairs Director at Heineken.
The notice was sent to the Nigerian Stock Exchange on September 4.
The company’s reaction is coming against the backdrop of Premium Times’ publication of an investigative piece by journalists Olivier van Beemen and Femke van Zeijl which detailed corrupt practices in the company.
The report, titled ‘How Nigerian Breweries protected its Dutch CEO suspected of corruption’, was presented to the Nigerian audience for the first time.
The journalists recently won De Tegel, the most prestigious award for journalism in the Netherlands, for their revelations about high-end corruption at Nigerian Breweries, a subsidiary of the multinational Heineken.
In May 2017, Premium Times reported that Mr Vervelde resigned as the MD of the company to take up another appointment at the Heineken Group. He was promptly replaced with Johan Doyer.
The latest report has now exposed the details of the resignation. Based on almost a year of investigation both in Nigeria and the Netherlands, the report revealed how the company’s former
...More info on site
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