The Russian Beer Union has forecast the growth of the Russian beer market at 4%-6% in 2006 despite positive trends seen over the first eight months of the year, Interfax cited on September 25 the union saying in a release. However, BBH estimated that instead of annual growth rates of 5-6 per cent, the market will only rise by 3-5 per cent in the future.

Beer output grew 7.1% in Russia in January-August and amounted to 68.5 hectoliters, the Federal State Statistics Service (Rosstat) said. Regional markets accounted for the lion's share of growth, the union said.

The Russian Brewers' Union was set up in September 1999. It unites companies that have a combined 90% share of the Russian beer market. Russia produced 89.2 hectoliters of beer in 2005, up 6% from 2004.

Beijing Yanjing Brewery Co Ltd might invite the brewing giant, Heineken, to become a strategic investor, the official Xinhua news agency reported on September 25, citing a company official. Yanjing is one of China's largest beer producers.

According to the source, Yanjing board secretary Liu Xiangyu said: “There is no specific timetable for the discussions (on a potential strategic investor). He added though that Heineken was one of the firm's being considered as a strategic partner.

Heineken currently owns 21% of Shenzhen-based brewer Kingway. The Dutch company is keen on buying stakes in Chinese brewers after local media reported earlier this month that Yanjing planned to issue new shares to Belgian brewer InBev via a private placement and to invite it to become a strategic investor.

In coming days Mexico will issue a resolution against Femsa, likely ordering the bottler and brewer to stop monopolistic sales practices, the head of the anti-trust watchdog said on September 25, according to Reuters.

Eduardo Perez Motta told Reuters in an interview the decision on Femsa, which produces Sol and Tecate beer and Coke products, will be posted in the next two or three weeks and was unlikely to include a fine.

In August, the watchdog warned rival brewer Modelo, maker of Corona beer, for monopolistic sales practices. Modelo was not fined but was ordered to end exclusivity contracts with stores, in which the brewer usually asks store owners not to sell rival brands.

"It is very probable that it will be very similar to the resolution for Modelo," Perez Motta said of the upcoming decision on Femsa.

Femsa, was not immediately available for comment.

Reports that The International Malting Co. has a new owner aren't exactly true. But changes may be in the works, according to an attorney for Lesaffre and IMC.

The International Malting Co., the Milwaukee-based company that owns the malt plant and similar operations in other states, has two owners: The Lesaffre International Corp. and Archer Daniels Midland, the U.S. agri-giant based in Decatur, Ill. The two are each half owners, although Lesaffre is the managing partner.

"That's been the case throughout this project," said Chris Kaltenbach, an attorney for Lesaffre and IMC. "There are discussions on-going among the shareholders about changing that structure. But nothing has been agreed upon or finalized."

Earlier this month E-Malt.com said that ADM is buying out Lesaffre, leaving the France-based company to focus on its yeast business.

Recent local talk has ADM undertaking an expansion of some sort at the Great Falls plant. Expansion would be good economic news and likely more meaningful than a change of ownership alone.

According to a press report, Groupe Soufflet, the world’s leading malster, is planning to close its malting plant in Ebersmunster on September 30 2006. This a malting plant of 17,000 tonnes per annum of production capacity.

Groupe Soufflet attributed the closure to the excessive competition that is due to the global overcapacity and a dramatic increase of energy prices.

Market experts hope that the malting barley trade will resume, when harvesting is finished and the malting barley Supply & Demand becomes clear to all market partners, according to a report published on September 1.

Experts commented: “It must be feared that price levels will remain very high for a long time. In view of farmers' long-standing unhappiness with malting barley revenues and price expectations for grains for ethanol production, the outlook for malting barley supplies in 2007 can hardly be described as optimistic.

The inventory of hops held by growers, dealers, and brewers of the USA on September 1, 2006, totalled 49.0 million pounds, 18 percent less than the September 1, 2005 stocks of 60.0 million pounds and 25 percent below September 1, 2004, the National Agricultural Statistics Service (NASS), Agricultural Statistics Board, U.S. Department of Agriculture released on September 19.

This is the lowest September 1 inventory since 2000 when stocks were 48.0 million pounds.

Stocks held by brewers, at 35.0 million pounds, were up 2.0 million pounds from September 1, 2005 and 1.0 million pounds above September 1, 2004. Stocks held by growers and dealers on September 1, 2006, were 14.0 million pounds, 48 percent less than the stocks on hand last year and 55 percent under two years ago.