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Newsletter Summary

Currency rates
Equities of largest breweries
Market prices change trend
Brewery news
Barley news
More news
Theoretical malt prices
Malting barley prices
Table of the week
Graph of the week
On These Days
Agenda
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Average market prices
Change trend

19 Oct - 20 Oct 2006
Crop 2006
2rs Barley €174.0-176.0   1.75%
6rw Barley €155.0-157.0   1.96%
2rs Malt €341.5-343.5   1.93%
6rw Malt €317.5-319.5   2.08%
Crop 2007
2rs Barley €155.0-157.0   1.30%
6rw Barley €133.0-135.0   1.52%
2rs Malt €310.5-312.5   0.81%
6rw Malt €282.5-284.5   0.89%

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


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Other e-malt.com newsletters

Last five newsletters
See this Newsletter!
Newsletter 42a, 2006

See this Newsletter!
Newsletter 41b, 2006

See this Newsletter!
Newsletter 41a, 2006

See this Newsletter!
Newsletter 40b, 2006

See this Newsletter!
Newsletter 40a, 2006



Market price evolutions

The evolution of market prices for barley and malt, which are periodically issued with e-malt.com newsletters are published on e-malt.com site in Market Prices section. Just click here!


Available market price evolutions


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Top 10 European Beer Brands (2005)

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Asia Malt Imports

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Africa Beer Production

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The World Malt Export (2004-2005,2005-2006e)

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Canada Barley Exports by Coutry of Destination (2003-2004, 2004-2005)



The graphs are updated from time to time. Just see the updates online on e-malt.com site !


All e-malt.com tables are published in e-malt.com Statistics section. The Statistics section includes Barley statistics, Malt statistics and Beer statistics. The tables related to barley are published in Barley Statistics section, the tables related to malt in Malt Statistics section and the tables related to beer in Beer Statistics section.


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E-malt.com Newsletter 42b
October 19 - October 20, 2006

Quote of the week

"Good people do not need laws to tell them to act responsibly, while bad people will find a way around the laws."
Plato (427-347 B.C.)


Currency Rates
Base Currency: Euro, EUR
on 20-October-2006

1 EUR = 1.2565 USD
1 EUR = 0.6717 GBP
1 EUR = 1.4263 CAD
1 EUR = 1.6614 AUD
1 EUR = 149.077 JPY
1 EUR = 2.6877 BRL
1 EUR = 33.8023 RUB
1 EUR = 9.9489 CNY
Base Currency: US Dollar
on 20-October-2006

1 USD = 0.796 EUR
1 USD = 0.5346 GBP
1 USD = 1.1352 CAD
1 USD = 1.3223 AUD
1 USD = 118.662 JPY
1 USD = 2.1391 BRL
1 USD = 26.903 RUB
1 USD = 7.9183 CNY

EUR/USD Chart

Equities of the Largest Breweries

Top Industry News
Germany & USA: Anheuser-Busch wins Budweiser trademark case versus Bitburger Brauerei... Click here

Romania: Interbrew Efes Brewery and Interbrew Romania will merge to form InBev Romania as of March 2007... Click here

Ecuador: SABMiller announced tender offers for all of the shares in its three Ecuadorian subsidiaries... Click here

Russia: Baltika aims to increase share on Russian beer market to 40%... Click here

Czech Republic: Beer production goes up because of exports while output in Europe drops slightly... Click here

Brazil: FEMSA launches new Sol beer for the mainstream beer drinkers in Brazil... Click here

Russia: Barley exports went down 4.4 times year-on-year in September 06... Click here

EU: Good 2006 beer sales may lead to higher malt demand in domestic and export markets... Click here

More News
UK: InBev plans to restructure UK sales and marketing teams ... More Info

USA: Boston Beer brewery must choose between building an expensive new brewery or to consider the buyout possibility ... More Info

Canada: Sapporo is laying out plans to expand Sleeman Breweries’ production outside Canada to Japan and USA ... More Info

Paraguay: Anheuser-Busch inked distribution agreement for Budweiser beer with Bebidas des Paraguay ... More Info

Australia: Foster's denies accusations made by Lion Nathan regarding its cricket tournament ambush marketing ... More Info

Czech Republic: Medical study shows moderate intake of beer suppresses vascular diseases ... More Info

Dominican Republic: New AmBev brewery was inaugurated by the Dominican President Fernandez ... More Info

UK: Carlsberg UK will launch new Denmark-made brews family range in the specialty beer sector ... More Info

World: Malt barley quality specifications may be downgraded to meet some of the shortfall ... More Info

UK: The Maltsters Association of Great Britain appealed to farmers to keep growing malting barley ... More Info

Netherlands: Heineken and Krups introduce BeerTender compatible with DraughtKeg ... More Info

Denmark: Carlsberg A/S starts open international idea competition for a development plan for Carlsberg in Copenhagen ... More Info

Russia: Baltika appoints first foreigner for the position of Vice President ... More Info

USA: Anheuser-Busch is foresaw to return to slow growth and to post constructive results on improved pricing ... More Info

Australia: Boutique brewer Little World Beverages saw its market value soared to $94 million which renewed speculations about a buyout by major co-owner Lion Nathan ... More Info

Ukraine: The State Customs Service does not accept licences for barley exports ... More Info

UK: Reports say Greene King intends to sale up to 150 of its pub businesses ... More Info

South Africa: Malting barley crop forecasts stay at 256,860 t ... More Info

Canada: Molson Coors opens new head office in Calgary ... More Info

UK: Green King IPA inked four-year sponsorship deal with England Rugby ... More Info

USA: Sierra Nevada brewery uses fuel created from a beer waste to ensure energy self-sufficiency ... More Info

Tanzania: Tanzania Breweries was advised by Premier Minister to contract local barley producers ... More Info

Canada: Western Barley Growers Association calls on CWB executives to resign ... More Info



Brewery News
Germany & USA: Anheuser-Busch wins Budweiser trademark case versus Bitburger Brauerei

Europe's second-highest court dismissed October 19 a case taken by German brewer Bitburger Brauerei against U.S. rival Budweiser over the right to use the word "Bud" as a trademark, Reuters communicated October 19.

The German company, which brews Bitburger Beer, took the case to the Court of First Instance in a bid to overturn a decision in 2004 by Germany's Office for Harmonisation in the Internal Market in which it found in favour of the U.S. brewer.

Bitburger Brauerei based its opposition on the existence of its own national trademark "BIT" and the earlier figurative trademarks "BIT" and "Bitte ein Bit", which it said were close to the word "Bud".

"The Court of First Instance concludes that, considered as a whole, the marks at issue are not similar and there is no likelihood of confusion," the court said in a statement.

Bitburger has two months to appeal the decision to the Luxembourg-based European Court of Justice, Europe's highest court.


Romania: Interbrew Efes Brewery and Interbrew Romania will merge to form InBev Romania as of March 2007

By March 2007, Interbrew Romania, the local branch of the world leader InBev, will have completed its merger with Interbrew Efes Brewery, which was bought out in its entirety by InBev this year, Ziarul Financiar posted October 19. After the merger is complete, Interbrew Romania will be re-branded as InBev Romania.

"So far, Interbrew Efes Brewery and Interbrew Romania have been two separate companies, but as of March 2007, they will merge to form InBev Romania," said Liviu Irimia, marketing manager of Interbrew.

In May this year, InBev paid €20.8 million euros to Efes Breweries International to acquire 49.99% in their Ploiesti-based subsidiary, Interbrew Efes Brewery. Thus, InBev reached a 100% stake in Interbrew Efes Brewery. The beer plant in Ploiesti has a production capacity of 1.8 million hectolitres a year. After a 36% increase in sales in the first half, Interbrew representatives revised estimates on this year's total sales upwards.

"The progression of the beer market as a whole has exceeded our expectations, increasing by 17-18% against a 5-6% estimate. At the beginning of the year, we set out to grow both in volume and in value by over 10%. Having exceeded our target in the first six months ...
More Info


Ecuador: SABMiller announced tender offers for all of the shares in its three Ecuadorian subsidiaries

SABMiller PLC, the British brewer of beers such as Pilsner Urquell, said October 18 it offered to buy the shares it does not already own in three Ecuadorean businesses for a total of $88 million, Associated Press released October 18.

The company will pay $36.25 per share for the stock of all three businesses, SABMiller said in a statement.

SABMiller already owns 92.06 percent of Compania de Cervezas Nacionales C.A.; 72.34 percent of Cerveceria Andina S.A. and 92.19 percent of privately owned Agrilsa Agricola e Industrial S.A.

CCN is Ecuador's largest brewing business, and is located in Guayaquil. Andina is Ecuador's second largest brewing business and is located in Quito. Both companies produce SABMiller's full portfolio of Ecuadorean beers, including Pilsner, the country's leading lager.

SABMiller plans to merge the operations of CCN and Andina with operations in Guayaquil and Quito.


Russia: Baltika aims to increase share on Russian beer market to 40%

Baltika Breweries is planning to acquire a roughly 40% share of the Russian beer market, Grigory Kharenko, Baltika manager for work with investors, said at a conference, Interfax communicated October 18.

The company currently has a 36% share on the beer market and the company's strategic goal is to increase that figure to 40%, he said.

Baltika, which was founded in 1990 and is one of Russia's largest beer producers, has breweries in St. Petersburg, Tula, Rostov-on-Don, Samara and Khabarovsk. Baltic Beverages Holding owns more than 80% of shares in Baltika.


Czech Republic: Beer production goes up because of exports while output in Europe drops slightly

Beer output in the Czech Republic, Russia and Poland has been growing for the past three years, while in Europe it has slightly fallen, Jan Vesely, head of the Czech Beer and Malt Association and member of the Brewers of Europe association, has said, Prague Monitor posted October 19.

In Russia and Poland, the growth is a result of substituting vodka with beer, while in the Czech Republic beer output rises thanks to exports.

"[Beer] consumption in the Czech Republic drops by around 1 percent a year, but output grows steadily thanks to exports," Vesely said.

The year-on-year growth rate of Czech beer exports reached double-digit figures in the past three years, and the Czech Republic is a country with the fastest-growing beer exports in Europe, Vesely said, adding the trend will continue in this year.

As regards volume of exports, the Czech Republic ranks ninth, overtaking the US and closely trailing Ireland and France.

Exports of big Czech breweries as well as small brewers are growing. Some small brewers see a year-on-year growth in exports of up to 80 percent, Vesely said.

Czech beer exports rose by 20 percent year-on-year to 3.1 million hectolitres last year. This year, exports will increase by 15 percent, said ...
More Info


Brazil: FEMSA launches new Sol beer for the mainstream beer drinkers in Brazil

Mexican brewer FEMSA launched October 18 a beer for "everyday drinkers" in Brazil, where its marquee mainstream brand Kaiser - recently inherited in an acquisition - has long been overshadowed by brews made by homegrown giant AmBev, Reuters communicated October 18.

Though it shares the same name as FEMSA's well-known niche premium beer Sol, the new Sol is made with an entirely different recipe geared for what the company refers to as Brazil's mainstream beer market.

"This is a beer that is designed for everyday beer drinkers in Brazil," Ricardo Morici, the marketing director of FEMSA's Brazilian unit, said at an event at a popular bar in Sao Paulo to unveil the brand.

FEMSA, which will still sell the premium version of Sol in Brazil at upscale bars and restaurants, is betting on the new brand to expand its reach in the world's fourth-largest beer market.

It also hopes the new brand will help it woo consumers away from archrival AmBev, which makes Brazil's three best-selling beers - Skol, Brahma and Antarctica - and commands a whopping 68.5 percent of the country's beer market.

"This beer was born to be a leader," said Eduardo Fischer, who devised the advertising campaign to promote the ...
More Info

Barley News
Russia: Barley exports went down 4.4 times year-on-year in September 06

Russian barley exports totalled 38,400 tonnes in September 2006, down four times from August and 4.4 times from September 2005, AgriMarket.Info released October 18. The largest buyers of Russian barley were Israel (14,300 tonnes), Italy (9,400 tonnes) and Georgia (3,400 tonnes).

The average export price for barley totalled US$/t 107 in September. Barley export of three summer months was at the level of 291,500 t against 639,500 t at the beginning of 2005/06 MY. At the same time in September Russia imported 10,000 t of barley.


EU: Good 2006 beer sales may lead to higher malt demand in domestic and export markets

Referring to the seemingly provocative balance sheet of this year’s malting barley supply and demand in the EU which forecasts that the usage for beer will reach 5.32 million t, analysts stipulated October 02 that it is even possible that this demand picture is too conservative. This year malting barley production estimate was said to amount for 7.61 million t while total needs were quoted to reach 8.17 million t.

Beer sales in 2006 were extraordinarily good so far and may lead to a higher malt demand in domestic and export markets. And experts have calculated that the low extract of this year's malt will necessitate an additional 1 – 200,000 tons of malt for beer production in the EU.


Malting barley prices. French barley prices.
Nominal prices.

EURO = USD 1.2565 October 20, 2006 
 Crop year   2006   2007 
 Parity   FOB Creil   FOB Creil 
 Position   July 2006   July 2007 
Type   Variety  EURO  USD  EURO  USD 
2RS  Scarlett  177.00  222.50  158.00  198.50 
2RS  Prestige  176.00  221.50  157.00  197.50 
2RS  Cellar  175.00  220.00  156.00  196.50 
2RS  Sebastien  174.00  219.00  155.00  195.00 
2RS  Astoria  174.00  219.00  155.00  195.00 
2RS  Cork   173.00  217.50  154.00  193.50 
6RW  Esterel   156.00  196.50  134.00  168.50 

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

Theoretical malt prices.
  EURO = USD 1.2565 October 20, 2006 
Crop year  2006 
Parity  FOB Antwerp 
Position  Oct 2006-Sept 2007 
Conditioning  Bulk   In bags  Bulk containers Bags, containers
Malting barley variety  EURO  USD  EURO  USD  EURO  USD  EURO  USD 
2RS  Scarlett  345.50  434.00  359.50  452.00  359.50  452.00  374.00  470.00 
2RS  Prestige  344.00  432.50  358.50  450.50  358.50  450.50  373.00  468.50 
2RS  Cellar  343.00  431.00  357.50  448.50  357.50  449.00  371.50  467.00 
2RS  Sebastien  341.50  429.50  356.00  447.50  356.00  447.50  370.50  465.50 
2RS  Astoria  341.50  429.50  356.00  447.50  356.00  447.50  370.50  465.50 
2RS  Cork   340.50  427.50  354.50  445.50  355.00  445.50  369.50  464.00 
2RS   Average price  342.50  430.50  357.00  448.50  357.00  448.50  371.50  466.50 
6RW  Esterel   318.50  401.50  334.00  419.50  334.00  419.50  348.50  437.50 
Asia Malt 70/30  335.50  422.00  350.00  439.50  350.00  440.00  364.50  458.00 
**  Asia Malt 50/50  331.00  416.00  345.50  434.00  345.50  434.00  360.00  452.50 

* - 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 2007 are available on site www.e-malt.com/MarketPrices

Table of the week

EU Malt Export Licence Fixations

(in tonnes) 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 July 01, 2006 -
September 26, 2006  
 France   701,134  661,772  774,761  674,140  648,338  160,751 
 Germany   468,314  408,063  422,047  295,876  236,735  44,756 
 Belgium   296,368  287,850  317,292  418,344  551,396  122,845 
 U.K. 350,621  294,995  443,501  201,892  190,862  40,370 
 Finland   91,890  100,758  114,165  64,986  79,357  20,311 
 Denmark    96,812  94,791  90,452  74,743  68,809  15,860 
 Sweden   101,000  76,916  78,369  88,840  96,100  28,650 
 Netherlands   51,310  66,219  80,703  49,128  92,383  12,588 
 Ireland   35,145  31,140  38,900  56,924  7,001 
 Austria   8,840  8,620  60,211  16,954  38,932  10,893 
 Spain   2,400  5,640  10,000 
 Greece   1,744  1,306  979  130 
 Portugal   221  85  695  850  1,088 
 Italy  
 Czech Republic       34,340  82,062  77,036  8,687 
 Poland       7,604  32,084  167 
 Hungary       2,830  85,792  16,865  1,263 
 Slovakia       1,000  76,916  75,863  11,942 
 Latvia      54 
 Total EU   2,205,799  2,038,157  2,477,849  2,219,661  2,180,986  478,917 

  Total Wheat malt, tonnes  
Total 2001 - 2002    12,805 
Total 2002 - 2003    30,908 
Total 2003 - 2004    15,768 
Total 2004 - 2005    8,162 
Total 2005 - 2006   4,693 
July 01, 2006 - September 26, 2006   1,260 
   
  Total Roasted malt, tonnes  
Total 2001 - 2002    23,480 
Total 2002 - 2003    23,603 
Total 2003 - 2004    24,438 
Total 2004 - 2005    27,212 
Total 2005 - 2006   23,257 
July 01, 2005 - September 26, 2006   5,558 
Newsletter SummaryTop
Graph of the week

Source: USDA, October 2006
These Days in Business History
October 20
1928 magnate/multi-millionaire Ken Morrison was born, executive chairman of the Wm Morrison Supermarkets plc, the fourth
largest chain of supermarkets in the United Kingdom

October 21
1492 Columbus' discovers America (Oct 12, 1492 Julian calender)

October 22
1897 World's 1st car dealer opens in London

October 23
1814 1st plastic surgery is performed (England)
1824 1st steam locomotive is introduced
Agenda
October 2006:
International Beer Summit 2006, Japan.
World Beer Festival, USA
Food And Beverages, Novi Sad Fair, Serbia & Montenegro.
MBAA Brewing and Malting Science Course
Lighthouse International Beer Festival, USA.
Belgian Beer Festival. website:www.beerfestival.be
Belgian Beer Fest - Sunday Brunch, USA.
World Food Ukraine / Ingredients Ukraine International Food and Drinks Exhibition


November 2006:
Balkan Food & Drinks 2006, Bulgaria.
World Food Kazakhstan - 2006
Food & Drinks 2006, Georgia.
EBC SYMPOSIUM ON DRINKABILITY, UK.
InterDrink - 2006, Moscow
PeterFOOD - 2006, Saint-Petersburg
Americas Food & Beverage Show
IHGC meetings Germany
Interfood & Drink, Bulgaria
BRAU Beviale European Trade Fair for the Beverage Industry
Interfood Georgia - 2006
Foodapest - 2006, Budapest
International Forum 'Drinks Industry'
InterFood Tajikistan - 2006


December 2006:
12th OBER Kerstbierfestival , Belgium



More events are available on site e-malt.com
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