Base Currency: Euro, EUR on 25-August-2004 1 EUR = 1.2086 USD 1 EUR = 0.6746 GBP 1 EUR = 1.5793 CAD 1 EUR = 1.7174 AUD 1 EUR = 132.48 JPY 1 EUR = 3.5738 BRL 1 EUR = 35.3274 RUB	Base Currency: US Dollar on 25-August-2004 1 USD = 0.8277 EUR 1 USD = 0.5532 GBP 1 USD = 1.3067 CAD 1 USD = 1.421 AUD 1 USD = 109.65 JPY 1 USD = 2.957 BRL 1 USD = 29.23 RUB
EUR/USD Chart

UK: Interbrew launches L1m Leffe campaign . Interbrew UK is launching its first UK advertising campaign for the Belgian speciality beer Leffe. The company said the campaign will "highlight the unique nature of the Leffe drinking occasion". The three-month press campaign will communicate the message “Savour Life. Savour Leffe” to drinkers aged 30-plus. Phil Rumbol, marketing director of Interbrew UK, said: “Savouring is a key part of the attraction of speciality beer and we are illustrating that in a visually appealing way. “There is huge growth potential for speciality beers which have seen sales growth of 175% between 2000 and 2004. They can become the flagship of the UK beer market and have a major role to play in improving the image of beer. “This campaign will raise the profile of the brand among a key audience and make more people aware of the very special nature of the Leffe drinking experience.” The L1m campaign, which consists of four executions, will run until October primarily in the politics and City pages in the weekend supplements of a range of newspapers and magazines. The media schedule includes The Economist, The Spectator, Time, Newsweek, Private Eye, The Week, The Times, The Daily Telegraph, The Guardian, The Independent, The Scotsman and The Glasgow Herald. The ad campaign is part of Interbrew UK’s L7 million investment in its speciality beer portfolio during 2004.

BELGIUM: Interbrew and Philips team up to bring the great taste of draught beer into the home. Two companies together develop PerfectDraft®, available this fall. Brussels, Amsterdam, 23 August 2004 - Interbrew (INTB - Euronext) and Royal Philips Electronics (NYSE: PHG, AEX: PHI), leading players in their respective categories, today announced the development of PerfectDraft®, a result of their global partnership. PerfectDraft® is an exciting new system which combines a high-quality appliance and consumer-preferred beer brands in light metal kegs, delivering the great taste of draught beer in the comfort of one's own home. Bringing the great taste of draught beer into the home is a consumer need Interbrew clearly identified. Starting this fall, consumers in Belgium can experience perfect draught beer in their homes, enjoying a delicious glass of their preferred beer freshly drawn from PerfectDraft®. This system has been developed jointly by Interbrew, a leading global company in the brewing industry, and by Philips, whose previous successful partnerships, based on extensive research on changing consumer behavior, have brought new experiences to peoples' homes. ...more info

RUSSIA: The Dutch brewer Heineken is to invest US$100m in its Russian operations, according to a report from the East European news agency Interfax. The report quoted Heineken NV chairman Roland Pirmez who said the money would be used over the next three years in the two breweries that Heineken has recently acquired in Russia. Heineken recently said it had acquired Central European Brewing Company, which controls 78% of the Chikhan brewery and 100% of the Volga brewery. The deal made Heineken the third biggest brewer in Russia. It is hoped the investment will increase the company's production output in Russia, helping it increase its market share from 7% to 9%, the report said.

CARLSBERG: Lars Fellman, currently Senior Vice President and chairman of the Board of Directors of Carlsberg UK has also been appointed CEO (Chief Executive Officer) of Carlsberg UK from 23 August 2004. Furthermore, he keeps his responsibilities for the Carlsberg businesses in Switzerland, Italy and Portugal. As CEO Lars Fellman’s primary focus will be to strengthen the operational performance of Carlsberg UK and the position of the Carlsberg brand which has developed very positively over the last few years. Lars Fellman joined Carlsberg in 1993 and has held several management positions within the Group. The present CEO of Carlsberg UK Colin Povey will be leaving the company by mutual agreement on the same date. He has been CEO since 2001 and has made an important contribution in leading the business during a period of structural changes and growth.

Malt News

UK: IAN MacLeod Distillers, the drinks maker and bottler, is poised to release a new Glengoyne single malt whisky product on to the global drinks market. The move is the result of a L50,000 investment and part of the distiller's plans to transform itself into a maker of high-quality single malt brands. The new whisky, whose name is under wraps, is to be rolled out on the UK market on September 10 – with launches in continental Europe and the US to follow before Christmas – as part of the Whisky Live festival, the annual public celebration of Scotland's greatest export. Ian MacLeod, whose other brands include London Hill gin and Isle of Skye whisky, acquired Langs whisky brands and Glengoyne distillery, just north of Glasgow, last year for around L7.2m from drinks giant Edrington – but has until recently been coy about its ambitions for the plant... more info

AUSTRALIA: Australian malt exports in July/June 2003/04 were 507.000 tons vs. 527.000 tons in the year before. Exports were lower to Malaysia, Philippines, Singapore and South Korea and better to Vietnam and – surprisingly – to Japan.

Barley News

SCOTTISH: Spectacular landslides and floods make headlines, but it is persistent rain and humidity that is devastating Britain’s grain, oilseed and vegetable harvests. With more rain forecast to sweep in from the Atlantic, farmers are now facing the worst harvest weather since 1985. Thousands of acres of oilseed rape have been written off from York to Aberdeen because seed has sprouted in the pods making it virtually useless. Quality of the Scottish barley crop, most of it usually used to make beer and whisky, is deteriorating in the field and most wheat has turned black. Scotland’s vegetable growers are managing to maintain quality supplies to supermarkets, but only at the expense of huge wastage when selecting and packing on-farm. But as farmers face the brunt of the weather, lost crops and soaring costs to salvage and dry what they can, consumers are unlikely to notice any price increases. Most of Europe, where harvest is over, produced good quality crops at low prices which can be imported for malting, distilling and bread-making. This is one of the worst years we’ve had to cope with - ALISTAIR EWAN And supermarkets will import vegetables and fruit if home growers buckle under the pressure of harvesting in wet weather. Alistair Ewan, managing director of East of Scotland Growers, Britain’s biggest broccoli growers, said yesterday: "I’ve been in vegetable production since 1976 and this is one of the very worst years we’ve had to cope with. It is diabolical." Yields down, costs up, returns static, do not help: "We are maintaining top quality supplies to our customers - but at great expense." Martin Cessford, a grain and specialist vegetable grower near Montrose, had hoped to be harvesting baby beetroot for pickling, but said yesterday: "As I speak, we’re trying to pull a combine out of the mud. We can’t even venture into the beetroot with the harvester. "We’re a fortnight behind in trying to get daffodil bulbs planted, our spray programme is way behind, our oilseed rape is a disaster, we’ve had more than three inches of rain this week - and the price we get is on the floor." For grain growers, prices were already low at about L60 a tonne while soaring fuel costs make drying wet grain expensive if and when it can be harvested.

Theoretical malt prices.

* - 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 2003 are not quoted.

Malting barley prices. French barley prices.

Nominal prices.

EURO = USD 1.2086 August 25, 2004
Crop year		2003		2004
Parity		FOB Creil		FOB Creil
Position		July 2003		July 2004
Type	Variety	EURO	USD	EURO	USD
2RS	Scarlett	nq	nq	112.00	136.00
2RS	Prestige	nq	nq	111.00	135.00
2RS	Cellar	nq	nq	111.50	135.50
2RS	Aspen	nq	nq	110.50	134.50
2RS	Optic	nq	nq	110.50	134.50
2RS	Astoria	nq	nq	110.00	133.50
2RS	Cork	nq	nq	110.00	133.50
6RW	Esterel	nq	nq	101.00	123.00

nq - Not quoted

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

Table of the week

USA crop prospects
Crop prospects have improved in the West, the USDA estimates barley crop as follows:

(in 1000 tons)	2003	2004
North Dakota	2,587	1,961
Idaho	1,035	1,258
Montana	688	866
TOTAL USA	6,011	5,737

Graph of the week

Agenda

August 2004:
Great British Beer Festival;
Worcester Beer and Cider Festival;
BeerTek China Beer and Brewing Technology Exhibition;
Peterborough Beer Festival 2004;
FOODWORLD Food and Beverage Exhibition;
TecnoBebida Latin America International Exhibition of Technologies for the Beverage Industry;

September 2004:
6th BELGIAN BEER WEEKEND;
China Brew 2004 / China Beverage 2004;
International Brewery and Soft Drinks Industry Exhibition;
FOOD & BEVERAGE PROCESSING & PACKAGING INDONESIA 2004;
Pivoindustria International Beer Industry Exhibition;
National Beer Wholesalers Show 2004;
PAN ASIAN FOOD & BEVERAGE TRADE SHOW 2004;
Barley Malt Quality Evaluation Short Course;
EUROMALT BARLEY SEMINAR 2004;
bevex Beverage Trade Fair;
InterBev 2004;
YUGOSLAVIA INTERNATIONAL FAIR OF FOOD & BEVERAGES 2004;
BevExpo 2004;
Great American Beer Festival;
OCTOBERFEST Famous German Beer Festival;

October 2004:
OCTOBERFEST Famous German Beer Festival;
Great American Beer Festival;
bevex Beverage Trade Fair. Germany;
Great Welsh Beer & Cider Festival;
ST. PETERSBURG FOOD SALON 2004;
Beer Fair. Spain;
Expo Bebidas Beverage Exhibition. Mexico;
EXPOALIMENTOS Y BEBIDAS 2004. Panama;
Fall Eastern PA Breweriana;
Knoxville Brewer's Jam - A Memorial to Tom Rutledge;
INTERPRODTECH Food and Beverages Processing Exhibition. Russia;
Alko and Drinks Show Alcoholic Beverages and Non-alcoholic Drinks Exhibition. Russia;
WORLD FOOD KAZAKHSTAN 2004;
PAN ASIAN FOOD & BEVERAGE TRADE SHOW 2004. Canada;

More events are available on site e-malt.com