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E-Malt.com Newsletter 20a
May 12- May 13, 2008
Open!
Click here to get full size Newsletter


Quote of the week

"I don't pay good wages because I have a lot of money; I have a lot of money because I pay good wages."
Robert Bosch
Currency Rates
Base Currency: Euro, EUR
on 13-May-2008

1 EUR = 1.5463 USD
1 EUR = 0.7915 GBP
1 EUR = 1.5568 CAD
1 EUR = 1.6422 AUD
1 EUR = 159.998 JPY
1 EUR = 2.5933 BRL
1 EUR = 36.745 RUB
1 EUR = 10.8208 CNY
Base Currency: US Dollar
on 13-May-2008

1 USD = 0.6468 EUR
1 USD = 0.5118 GBP
1 USD = 1.0068 CAD
1 USD = 1.062 AUD
1 USD = 103.486 JPY
1 USD = 1.6771 BRL
1 USD = 23.763 RUB
1 USD = 6.9978 CNY
Currency Rates Chart

Equities of the Largest Breweries

Equities of the Largest Breweries

Average Market Prices Change trend

May 13, 2008

Type Crop 2007 Crop 2008
2rs Barley nq   €241.0-243.0
6rw Barley nq   €221.0-223.0
2rs Malt €522.0-524.0 €483.5-485.5
6rw Malt €489.0-491.0 €457.5-459.5
Feed Barley €162.0-164.0 nq  

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. Average Malt Prices are theoretical and 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.


Top Industry News

Ireland: Diageo unveils 650 million Euro brewing investment for Ireland to support its global beer business ...Click here
Singapore: Asia Pacific Breweries reports strong attributable net profit growth of 14% for 1H 2008 ...Click here
Georgia: Efes Breweries plans to acquire country’s second largest brewery, wants to become the beer market leader ...Click here
Canada: Plzeňský Prazdroj sales up 10% y/y ...Click here
Turkey: Carlsberg decided to leave the Turkish market because of high taxes ...Click here
Europe: EU malt exports may be 150,000 tonnes higher than last year ...Click here
Europe: EU will have a sufficient supply of malting barley ...Click here
Ukraine: Government distributed the quotas for export of 500.000 tonnes of barley ...Click here
Australia: Good rainfalls enabled barley planting in Western Australia ...Click here
Czech Republic: Hops and hop products from the crop 2007 could for the first time carry the label with logos of ZATECKY CHMEL and European protected designation of origin ...Click here




India: United Breweries plans to launch low alcohol and fruit flavored beers in India ...More Info
Canada: Pyramid Breweries signs Western Canada distributor ...More Info
UK: InBev UK chief staggered by Stella Artois criticism ...More Info
Canada: Russell Beer expands distribution to Manitoba Province ...More Info
USA: Anheuser-Busch spent $820,000 lobbying in 1Q, 2008 ...More Info
Philippine: San Miguel Brewery looks to home market after brewery listing ...More Info
USA: Beer retailers can now take point of purchase to the next level ...More Info
Japan: Asahi Breweries to issue $675 million in convertible bonds ...More Info
UK: Shepherd Neame brewery’s boss slams call to ban drink ads ...More Info
UK: Heineken has launched a new TV and cinema advertising campaign ...More Info
Canada: George H. Croft appointed Brick Brewing Co. Limited President and CEO ...More Info
USA: Butte Creek Brewing releases 'Spring Run' organic pale ale in support of Salmon Restoration in Butte Creek ...More Info
Kenya: East African Breweries to spend Sh5 million on Muthurwa market project ...More Info
Canada: Canadian Wheat Board appoints new director ...More Info
India: Barley futures are likely to open lower on arrival pressure ...More Info
Go to our news database with more than 12716 articles.
Today with the possibility to be translated in 7 different languages!
DE FR SP IT PT RU CN

Brewery News

Ireland: Diageo unveils 650 million Euro brewing investment for Ireland to support its global beer business

Diageo plc is announcing its intention to make a capital investment of €650 million (£520 million) in a new world-class brewing centre of excellence in Ireland to support the growth and development of its global beer business, the company reported in a press release, May 9.

This proposal would result in the rejuvenation of the historic St. James’s Gate brewery and the construction, close to Dublin, of a new state of the art brewery, which would produce all beer types. It follows a comprehensive assessment of all brewing operations in Ireland, which was undertaken over the past 12 months. The assessment identified the optimum strategy to deliver the global competitiveness necessary for future growth and sustained success.

Commenting on the announcement, Paul Walsh, Chief Executive of Diageo plc, said, “This will be the single biggest capital investment made by Diageo in its supply infrastructure since the company’s creation 10 years ago and will enhance the cost competitiveness of our global beer operations. It represents a major vote of confidence in our beer business and in Ireland as a global brewing centre of excellence for our company.

“This proposal will support the long-term success and growth of Guinness around the world, as well as ...More Info


Singapore: Asia Pacific Breweries reports strong attributable net profit growth of 14% for 1H 2008

Asia Pacific Breweries Ltd (APB) closed its first half of the financial year ended 31 March 2008 on a strong note, according to company’s press release, May 9. Versus the corresponding period last year, Group Profit before Interest and Taxation (PBIT) grew 14% or S$20.4 million to S$169.0 million. Excluding translation difference and gestation losses*, PBIT rose organically by 19% to S$179.5 million.

Attributable Net Profit before Exceptional Items (APBE) stood at S$90.4 million which is 14% or S$11.2 million higher than the same corresponding period last year. Without taking into account translation difference and gestation losses*, APBE grew organically by 20% to S$96.8 million.

Group revenue for the same period increased by 14% to S$1.06 billion.

Earnings per share before exceptional items rose from 30.7 cents to 35.0 cents.

The Directors have recommended an interim dividend of 14 cents per share, 1 tier tax exempt, to be paid on 10 June 2008.

Mr Koh Poh Tiong, Chief Executive Officer, APB said, "Our results were very satisfactory and demonstrated the resilience of our core business in the face of pressures from severe competition and significant increases in raw material prices. As a cluster, IndoChina (Cambodia, Vietnam and Laos) continued to be the star performer, accounting ...More Info


Georgia: Efes Breweries plans to acquire country’s second largest brewery, wants to become the beer market leader

Efes Breweries International (EBI) plans to purchase another big Georgian Brewery, the media reported May 12. In February, 2008 Efes has already bought the largest beer producer in the country, Lomisi Brewery. Now it is going to buy the second largest brewery, Kazbeghi. The negotiations started two months ago.

The Kazbeghi’s owner, Goghi Topadze said the parties haven’t reached an agreement yet, and the negotiations stopped. But they can continue if the Turkish company improves the conditions of the deal.

According to the experts, if Efes Breweries acquires Kazbeghi, it will become the beer market leader.


Canada: Plzeňský Prazdroj sales up 10% y/y

Czech brewery Plzeňský Prazdroj has raised sales of its Pilsner Urquell beer in Canada by dozens of percent in the past few months thanks to the World Ice Hockey Championship the country is hosting, according to Czech Business Weekly, May 12.

Prazdroj has exported 21,000 hectoliters of beer to Canada in the past 12 months, a growth of 10 percent year-on-year.


Turkey: Carlsberg decided to leave the Turkish market because of high taxes

Worn out by the high taxes imposed by the government on the beer sector, Danish brewer Carlsberg Breweries decided to leave the Turkish market in which it operates under the name Tuborg Carlsberg, Turkish Daily News reported May 10.

Carlsberg lauched negotiations with CBC Group, its partner in Romania and Israel, and signed a letter of intent to sell its 95.65 percent stake at Türk Tuborg that has been posting losses for the past seven years. Besides the 35 percent private consumption tax and the 18 percent value added tax in the country, the competition that emerged with the emergence of two new market actors played a role for the Danish brewer's sale decision.

“The negotiations concerning our sale transaction are ongoing. However, there is not a definite agreement at present,� said Güven Erdal, Tuborg Carlsberg's Ankara representative. “Our stance concerning the private consumption tax was expressed many times. It is obvious that the tax creates a heavy burden for producers”.

Handover:

Türk Tuborg, which currently ranks second in Turkey's $1.6 billion beer market following Efes Pilsen, started its operations with Yaşar Group in 1967. During the 2001 economic crisis in Turkey, Yaşar sold 47.7 percent shares of the firm to Carlsberg. Having paid ...More Info


Malt News

Europe: EU malt exports may be 150,000 tonnes higher than last year

With two months to go in the crop year 2007/08 EU maltsters booked export licences for 1.565 versus 1.500 Mill. tons last year, analysts have recently reported. If the same pace of exports continued, the total of the year may reach 1.85 to 1.9 Mill. tons, 100 – 150,000 tons up from last year, but a long way down from numbers like 2.3 – 2.4 Mill. tons of a few years ago.

Nevertheless the EU malting industry is completely sold out for 2008, because of the known capacity closures of past years. Another reason of smaller exports to third countries has been the accession of 10 countries to the EU in 2004 and two more in 2007, which changed their statistical status from exports (and imports) to domestic business.

Amongst the large exporting countries Germany has regained much ground lost during temporary shut-down of the Weissheimer plants. France fixed only 313,000 tons of export licences, far behind the pace of last year; it is possible that licences for French exports are fixed in another member state Belgium.


Barley News

Europe: EU will have a sufficient supply of malting barley

Planting of spring barley is finished in the EU except for small areas in Scotland and Sweden and all of Central Finland, analysts have recently reported.

Weather had turned warmer and dry enough to permit a very fast progress of seeding in Central Europe, Denmark, South Sweden, the Baltic countries and Scotland. At this moment crop prospects are very good.

In the traditional malting barley countries acreage of spring barley had dropped much during the past years, but at the same time the share of malting barley varieties has increased so that the EU will have a sufficient supply of malting barley, correct weather till harvest provided. Spring barley in Finland, Poland and Spain is principally feed barley, nevertheless supplies of domestic malting barley are abundant in Finland, however, normally tight in Spain and short of needs in Poland.


Ukraine: Government distributed the quotas for export of 500.000 tonnes of barley

The Ukrainian Government distributed the quotas for export of 500.000 tonnes of barley, according to AgriMarket, May 12.

According to the report of the Economic Department of the Ministry of Economics of Ukraine, they distributed quotas for wheat and barley export for the period till July 1, 2008.

As for the barley export quota, the main grain volume is allowed for the export by companies Nibulon (195.400 tonnes) and Serna (126.800 tonnes). In total, the quota for barley export (500.000 tonnes) was distributed among 31 companies.

Let us remind that according to the resolution by the Cabinet of Ministers No 418 dd. April 23, 2008, the export quota for barley - from 400.000 tonnes to 900.000 tonnes.


Australia: Good rainfalls enabled barley planting in Western Australia

Good rainfalls enabled barley planting in Western Australia, early prospects are good, according to analysts, May 2.

In the south and east there are pockets of sufficient precipitation, but also areas, which are too dry to commence seeding.

ABARE’s crop forecast is 9 Mill. tons vs. 5,915 Mill. in 2007/08, but this figure will depend on regular rainfalls, with six months remaining till the beginning of harvest.


Hops News

Czech Republic: Hops and hop products from the crop 2007 could for the first time carry the label with logos of ZATECKY CHMEL and European protected designation of origin

Following the successful registration of the European protected designation of origin „ZATECKY CHMEL“ (Saaz hops) in May 2007 hops and hop products from the crop 2007 could for the first time carry the label with logos of ZATECKY CHMEL and European protected designation of origin, Hop Growers Union of Czech Republic has recently reported.

The European protected designation of origin „ZATECKY CHMEL“ (Saaz hops) was used for the first time in the processing season 2007/2008 on the hop products from Zatec

Many merchant companies used the opportunity in the last hop processing season and so for the first time in history the hop products from the Saaz variety grown in the Saaz hop growing region were delivered to the breweries with a unique label. In 2007 it was possible to place this label on hops grown in the Czech Republic in 138 villages with an acreage of 3642 ha. The majority of these hops were delivered to Japan.

The label with the logos of protected designation of origin was first introduced to the public during the Zatec hop festival – on the 1st Septemer 2007 by the minister of Agriculture of the Czech Republic Mr. Petr Gandalovic, the vice prime minister for European ...More Info

Scientific Digest

The Yeast Vacuole – A Scanning Electron Microscopy Study During High Gravity Wort Fermentations

Patricia L. Pratt, James H. Bryce and Graham G. Stewart

Abstract
J. Inst. Brew. 113(1), 55–60, 2007 The yeast vacuole has been shown to exhibit morphological responses to environmental conditions when exposed to worts of different gravity during fermentation. Marked effects of high gravity wort (20° Plato) on yeast morphology compared to more conventional wort gravity (12° Plato) were observed. High gravity worts caused vacuolar enlargement compared to conventional gravity wort. These results suggested that yeast cells experienced severe alterations with the vacuolar tonoplast when exposed to high osmotic pressure and elevated levels of ethanol. Key words: High gravity wort, ethanol, morphology, osmotic pressure, vacuole, yeast stress. ... Load full article, 6 pages, 1972 Kb, PDF file

Barley Prices

French Malting Barley Prices. Nominal prices
EURO = USD 1.5463 May 13, 2008 
 Crop year   2007   2008 
 Parity   FOB Creil   FOB Creil 
 Position   July 2007   July 2008 
Type   Variety  EURO  USD  EURO  USD 
2RS  Scarlett  nq  nq  244.00  377.50 
2RS  Prestige  nq  nq  243.00  376.00 
2RS  Cellar  nq  nq  242.00  374.50 
2RS  Sebastien  nq  nq  241.00  373.00 
2RS  Astoria  nq  nq  241.00  373.00 
2RS  Cork   nq  nq  241.00  373.00 
6RW  Esterel   nq  nq  222.00  343.50 

French Feed Barley Prices. Nominal prices
EURO = USD 1.5463 May 13, 2008
Crop year 2007
Parity FOB Creil
Position July 2007
Type EURO USD
Feed Barley 163.00 252.00

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

Theoretical Malt Prices

EURO = USD 1.5463 May 13, 2008
Crop year  2007 
Parity  FOB Antwerp 
Position  May 2008 - Sep 2008 
Conditioning  Bulk   In bags  Bulk containers Bags, containers
Malting barley variety  EURO  USD  EURO  USD  EURO  USD  EURO  USD 
2RS  Scarlett  525.50  812.50  549.50  849.50  541.00  836.50  555.50  858.50 
2RS  Prestige  524.50  810.50  548.00  847.50  540.00  835.00  554.00  856.50 
2RS  Cellar  523.00  809.00  547.00  845.50  538.50  833.00  553.00  855.00 
2RS  Sebastien  522.00  807.00  545.50  843.50  537.50  831.00  551.50  853.00 
2RS  Astoria  522.00  807.00  545.50  843.50  537.50  831.00  551.50  853.00 
2RS  Cork   522.00  807.00  545.50  843.50  537.50  831.00  551.50  853.00 
2RS   Average price  523.00  809.00  547.00  845.50  538.50  833.00  553.00  855.00 
6RW  Esterel   490.00  759.50  515.00  796.00  506.50  783.50  521.00  805.50 
Asia Malt 70/30  513.50  794.00  537.50  830.50  529.00  818.00  543.50  840.00 
**  Asia Malt 50/50  507.00  784.00  531.00  820.50  522.50  808.00  537.00  830.00 


EURO = USD 1.5463 May 13, 2008 
Crop year  2008 
Parity  FOB Antwerp 
Position  Oct 2008 - Sept 2009 
Conditioning  Bulk   In bags  Bulk containers Bags, containers
Malting barley variety  EURO USD EURO  USD EURO USD  EURO  USD
2RS  Scarlett  486.50  752.50  510.50  789.00  502.50  776.50  516.50  798.50 
2RS  Prestige  485.50  750.50  509.00  787.50  501.00  774.50  515.50  796.50 
2RS  Cellar  484.50  748.50  508.00  785.50  500.00  772.50  514.00  794.50 
2RS  Sebastien  483.00  747.00  506.50  783.50  498.50  771.00  512.50  792.50 
2RS  Astoria  483.00  747.00  506.50  783.50  498.50  771.00  512.50  792.50 
2RS  Cork   483.00  747.00  506.50  783.50  498.50  771.00  512.50  792.50 
2RS   Average price  484.50  748.50  508.00  785.50  500.00  772.50  514.00  794.50 
6RW  Esterel   458.50  710.50  483.50  747.50  475.50  734.50  489.50  756.50 
Asia Malt 70/30  477.00  737.50  500.50  774.00  492.50  761.50  506.50  783.50 
**  Asia Malt 50/50  472.00  729.50  495.50  766.50  487.50  753.50  501.50  775.50 

NB: Prices published are theoretical malt prices including financial cost, THC (for bulk and bags container) and all administrative costs. This prices may fluctuate according to the quantity per delivery and technical specifications.

* - 70/30 = 70% Average two Rows Spring and 30% Six Rows Winter
** - 50/50 = 50% Average two Rows Spring and 50% Six Rows Winter

Table of the Week

EU Malt Export Licence Fixations as of April 29, 2008

(in tonnes) 2004-2005 2005-2006 2006-2007 July 01, 2007 -
April 29, 2008  
 France   674,140  648,338  460,829  312,846 
 Germany   295,876  236,735  239,633  320,265 
 Belgium   418,344  551,396  531,606  458,786 
 Bulgaria   1,270  2,220 
 U.K. 201,892  190,862  114,156  99,076 
 Finland   64,986  79,357  70,783  56,527 
 Denmark    74,743  68,809  72,374  90,860 
 Sweden   78,369  96,100  90,550  94,700 
 Netherlands   49,128  92,383  78,754  79,756 
 Ireland   56,924  7,001  2,250 
 Italy  181  2,747 
 Austria   16,954  38,932  22,743  6,438 
 Spain  
 Romania   500 
 Portugal   850  1,088  992  374 
 Czech Republic   82,062  77,036  41,769  21,414 
 Poland   167-  2,025 
 Hungary   85,792  16,865  5,474  2,496 
 Slovakia   76,916  75,863  23,157  12,430 
 Lithuania  54  172  1,565 
 Total EU   2,219,661  2,180,986  1,756,691  1,565,025 

  Total Wheat malt, tonnes  
Total 2004 - 2005  8,162 
Total 2005 - 2006  4,693 
Total 2006 - 2007  5,404 
July 01, 2007 - April 29, 2008  6,539 
   
  Total Roasted malt, tonnes  
Total 2004 - 2005  27,212 
Total 2005 - 2006  23,257 
Total 2006 - 2007  30,084 
July 01, 2007 - April 29, 2008  23,554 
Graph of the Week



These Days in Business History
May 12
1916 Einstein's Theory of General Relativity presented
1949 1st Polaroid camera sold $89.95 in New York City
1975 Israel signs an agreement with European Economic Market

May 13
1842 1st edition of London Illustrated News
1862 Adolphe Nicole of Switzerland patents chronograph
1884 Institute for Electrical and Electronics Engineers (IEEE) forms

May 14
1872 Metropolitan Gas Company lamps lit for 1st time
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Agenda