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E-Malt.com Newsletter 34a
August 18 - August 20, 2014
Quote of the Week
"If you can't do great things, do small things in a great way."
Napoleon Hill
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Currency Rates
Base Currency: US Dollar
on August 20, 2014 |
Base Currency: Canadian Dollar
on August 20, 2014 |
| |
1 USD = 0.7495 EUR
1 USD = 0.5999 GBP
1 USD = 1.0910 CAD
1 USD = 1.0724 AUD
1 USD = 102.7010 JPY
1 USD = 2.2605 BRL
1 USD = 36.1459 RUB
1 USD = 6.1521 CNY
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1 CAD = 0.9168 USD
1 CAD = 0.5499 GBP
1 CAD = 0.6871 EUR
1 CAD = 0.9832 AUD
1 CAD = 94.1543 JPY
1 CAD = 2.0724 BRL
1 CAD = 33.1380 RUB
1 CAD = 5.6401 CNY
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Currency Rates Chart
Equities of the Largest Breweries
Canada & USA: Canada’s barley crop sharply down this year, US acreage at record low
...Click here
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Canada: Molson Coors Brewing and Heineken expand marketing partnership in Canada
...Click here
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USA, IN: Sun King Brewing Co. to build a second production facility in central Indiana
...Click here
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USA, SC: Legal Remedy Brewing to build new brewery in Rock Hill
...Click here
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USA, TX: Big Bend Brewing setting sights on regional distribution
...Click here
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USA, WA: Fremont Brewing regarded as one of Seattle’s best craft breweries
...Click here
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USA, NY: Double Barrel Brewing Co. becomes Eastwood Brewing Co.
...Click here
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USA, NE: Bosque Brewing Co. to open second location this year
...Click here
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USA, VT & MA: Switchback Brewing Company brings its flagship ale to Western Massachusetts
...Click here
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USA, SC: Swamp Cabbage Brewing Co. opens its doors to the public in Columbia
...Click here
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World: Heineken’s H1 net profit registers 1.3% drop
...Click here
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World: Malt markets much better than in the past few years
...Click here
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World: Carlsberg reports first-half results and warns of possible fall in full-year profits due to the Ukraine crisis
...Click here
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EU: Experts project large surplus of winter malting barley this year
...Click here
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India: UB Group boss Vijay Mallya may have to quit the board if declared wilful defaulter
...Click here
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New Zealand: Demand for New Zealand’s craft beer expected to triple over the next decade
...Click here
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Turkey: Alcohol consumption amounted to 1.127 bln litres in 2012
...Click here
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India: Telangana and Andhra Pradesh may increase retail prices of beer
...Click here
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Namibia: SABMiller’s new plant in Okahandja rolls first bottles off its production line
...Click here
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Graph of the Week
Table of the Week
EU Malt Exports
Prices Evolution
Barley Prices
Canadian Malting and Feed Barley Prices
US Malting and Feed Barley Prices
French Malting and Feed Barley Prices
Theoretical Malt Prices
Canadian Malt Prices
US Malt Prices
Theoretical EU Malt Prices
Scientific Digest
The bitterness of humulinones and hulupones
ABSTRACT
Literature tells us that two oxidation products, namely,
humulinones (from alpha-acids) and hulupones (from betaacids)
have a prominent bitter taste. A study by US
researchers assessed their bitterness intensity compared to
that of iso-alpha acids with a trained sensory panel. They
found that iso-alpha-acids are more bitter than hulupones
and that hulupones are more bitter than humulinones. At a
concentration level of 20 ppm in a lager beer base, the
bitterness intensity of iso-alpha-acids was approximately
1.4 times that of hulupones and 1.9 times that of
humulinones. Though not as intensly bitter as iso-alpha
acids, they may contribute to the total beer bitterness.
Read more
Source: Barth Innovations
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These Days in Business History
August 18
1904 Max Factor Jr was born, CEO (Max Factor Cosmetics)
1937 1st FM radio construction permit issued (W1X0J (WGTR) in Boston MA)
1952 Patrick Swayze was born in Houston Texas, actor/dancer
1960 1st photograph bounced off a satellite, Cedar Rapids, Iowa
August 19
1897 1st electric taxi's drive in London
1888 1st beauty contest (Spa, Belgium), 18 year old West Indian wins
1946 Bill Clinton was born, the 42nd US President. (Former Little Rock Attorney)
August 20
1741 Alaska discovered by Danish explorer Vitus Bering
1896 Dial telephone patented
1960 USSR recovers 2 dogs, 1st living organisms to return from space
Agenda
News Articles
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Canada & USA: Canada’s barley crop sharply down this year, US acreage at record low
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Statistics Canada forecasts a crop of 7.3 mln tons of barley, quite a bit less than the 10.25 mln tons of last year. Reports
...More info on site
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Canada: Molson Coors Brewing and Heineken expand marketing partnership in Canada
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Molson Coors Brewing Company and Heineken N.V. announced on August 18 that they have expanded their marketing partnership in Canada, whereby Molson Coors Canada will assume responsibility for distributing five additional Heineken brands in Canada.
The new, multi-year agreement further strengthens the existing Molson Coors and Heineken relationship, which has developed over the past two decades. In addition to Heineken, Murphy’s, Newcastle and Strongbow, Molson Coors Canada will assume the rights to market and sell Dos Equis, Sol, Tecate, Birra Moretti and Desperados. Beginning on January 1, 2015, Molson Coors Canada will have the rights to market and distribute these brands on behalf of Heineken.
“We are excited that Heineken has chosen us to take on the stewardship of their full portfolio of brands in Canada. As we work to grow our share in the above premium segment, this new agreement represents an important win for our business and complements nicely our existing portfolio of leading Canadian beer brands,” said Stewart Glendinning, chief executive officer and president of Molson Coors Canada. “We have had a valued partnership with Heineken in Canada for many years and, as always, we will remain focused on building the Heineken portfolio of brands through strong marketing support,
...More info on site
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USA, IN: Sun King Brewing Co. to build a second production facility in central Indiana
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Craft beer maker Sun King Brewing Co. announced plans on August 18 to build a second production facility and tasting room in central Indiana.
Sun King said it would spend about $9 million for the new brewery near Interstate 69 in the northern Indianapolis suburb of Fishers, while keeping open its current brewery in downtown Indianapolis.
Sun King President Omar Robinson said the new Fishers brewery will help it keep up with demand. The facility will have a large canning line, indoor tap room and outdoor beer garden.
"This brewery will have a whole different feel," Robinson said. "We'll have enough room outside to do some pretty cool events, like an Oktoberfest, with room for 3,000 people outside, plus food trucks and Sun King beer trucks."
The Fishers Town Council is considering a $2.5 million development agreement with Sun King that calls for capturing property taxes generated by the brewery for 25 years to pay for infrastructure improvements and help offset project costs, the Indianapolis Business Journal reported.
"Their ideas are pretty extraordinary, and they fit well with our young, entrepreneurial vision for Fishers," Town Manager Scott Fadness said.
The new brewery is expected to open next summer with at least 20 workers, Sun King said.
Founded
...More info on site
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USA, SC: Legal Remedy Brewing to build new brewery in Rock Hill
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Rock Hill will be home to York County’s first commercial craft brewery.
Legal Remedy Brewing, now on sale in Fort Mill, will build an 8,000-square-foot restaurant and brewery in Rock Hill’s Riverwalk development, The Herald Online reported on August 15.
Bill Neurohr of Legal Remedy Brewing sent The Herald details about the new business and its recent launch into the craft beer scene. The company obtained its federal and state licenses necessary for brewing beer earlier this year.
Legal Remedy – with its tagline “Justice never tasted so good” – debuted its first two beers at Baxter Village’s Fish Market Bar and Grill on Friday during a special launch event.
Early next year, Legal Remedy will expand into Rock Hill. Construction on the custom-built facility in Riverwalk will start soon.
Legal Remedy expects to operate a 17-barrel brewing system and open with a tasting area and full-service restaurant.
The brewing operation got its start in 2009 when a group of friends in Fort Mill aimed to turn their passion for great beer into a potential business, according to the news release from Neurohr. Since then, the hobby has blossomed.
In 2012, Legal Remedy entered its first beer creation into Fort Mill’s “Beertopia” festival, hosted by the Grapevine,
...More info on site
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USA, TX: Big Bend Brewing setting sights on regional distribution
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Big Bend Brewing Co. is a relatively new kid on the craft beer block, but yet the small time brewery just outside of small town Alpine is setting its sights on regional distribution, Midland Reporter Telegram reported on August 15.
In a few years, Big Bend Brewing Co. plans to sell its chilled and canned beers in El Paso, Midland, Odessa, Lubbock, Big Spring and San Angelo, essentially all remaining West Texas markets.
“Our whole goal is to conquer West Texas,” said Richard Fallon, general manager of Big Bend Brewing Co.
The company first plans to move into El Paso, as it’s the largest West Texas city by population. Midland would be next because of its proximity to surrounding West Texas cities. But in a sign of humility, Fallon said the company wants to establish itself in West Texas first before testing the waters in bigger markets such as Dallas and Austin.
With Big Bend Brewing Co. taps already in place in El Paso and Midland bars and restaurants, and the lack of microbreweries in the cities, the company’s beers may have an easier time transitioning into a regional product rather than a statewide one.
It is still a monumental task for a brewery that
...More info on site
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USA, WA: Fremont Brewing regarded as one of Seattle’s best craft breweries
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Fremont Brewing founder Matt Lincecum likens his company’s own creation narrative to the story of Stone Soup, Brewbound reported on August 15.
As the old folktale goes, a hungry traveler possessing nothing but a small pebble convinces a group of villagers to provide all of the essential ingredients, including the pot, needed to make a delicious soup.
In the Fremont version of the story, Lincecum – a thirsty entrepreneur with just $10,000 in the bank – sets out convince a well-known real estate developer to lease space to his startup craft brewery in the middle of a recession.
It works. Now holding the keys to an empty warehouse, Lincecum starts looking for investors who will fill his new space with brewing equipment and all the ingredients needed to make a delicious batch of beer.
He succeeds and nine months later, in August of 2009, Fremont Brewing kegs its first beer.
Five years later, the company is now regarded as one of the best craft breweries in Seattle and expanding as a result. Through Aug. 5, Fremont’s Interurban IPA is the 12th best-selling U.S. craft beer in a can, according IRI, a Chicago-based market research firm.
But this time around, Lincecum has more than $10,000 to play
...More info on site
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USA, NY: Double Barrel Brewing Co. becomes Eastwood Brewing Co.
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A small, less-than-1-year-old craft brewery behind the Sacred Melody Plaza in Eastwood officially rolled out its new name from Double Barrel Brewing Co. to Eastwood Brewing Co. via Facebook last weekend, syracuse.com reported on August 18.
Owner-brewer Pete Kirkgasser made the change after hearing from the Firestone Walker Brewing Co. of California. That brewery, founded in 1996 in Paso Robles, has a trademark for a beer called Double Barrel Ale. Firestone Walker previously forced a brewery called Double Barrel in Cincinnati to change its name.
"We're in a transition now," Kirkgasser said. The new name is first appearing on new growlers (half-gallon to-go jugs). Kirkgasser will be changing the brewery's sign and ordering new T-shirts, too.
Kirkgasser opened his brewery just before Thanksgiving last year at 108 Walter Drive. He knew he might have a problem with the name.
After getting a cease-and-desist letter from Firestone Walker's lawyer, he started talking to the brewery's owners. They, too, had once been struggling to start up a small craft brewery.
He also consulted with local lawyer Brendan Palfreyman of the Harris Beach firm, who is developing brewery trademark issues as part of his practice.
Kirkgasser said the talks with Firestone Walker have been friendly, which was confirmed by
...More info on site
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USA, NE: Bosque Brewing Co. to open second location this year
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Bosque Brewing Co. has established itself as a heavy hitter in the Albuquerque brewery scene since opening in 2012, Albuquerque Business First reported on August 18.
The partners behind the operation will open a second location in Nob Hill by the end of the year.
They are now in the process of building out a 3,000-square-foot space on the southeast corner of Girard Boulevard and Central Avenue, adjacent to Mannies Restaurant. The building was formerly a Hollywood Video, and Bosque Brewing is taking approximately half the total space of that building and is installing a wraparound patio.
Bosque’s director of operations, Gabe Jensen, said the interior will seat almost 100 and the patio will accommodate close to 50.
Anthony Anella, an architect and owner of Tony Anella Design, is designing the space. He is also the owner and landlord of the building.
Part of the catalyst for Bosque’s expansion has been the success at its original location in the Cunado Shopping Center at 8900 San Mateo Blvd. NE. And the reception patrons have had to its beer and head brewer, John Bullard, who came from Blue Corn Brewery and Chama River Brewing Co., has been glowing. Bullard and his crew produce about 1,400 barrels a
...More info on site
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USA, VT & MA: Switchback Brewing Company brings its flagship ale to Western Massachusetts
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After experiencing great success in neighboring states, Switchback Brewing Company has appointed Williams Distributing in Chicopee, MA to bring their flagship unfiltered ale, Switchback Ale to Western Massachusetts. For years fans of the beer had to travel to New Hampshire or Vermont just to get a pint of Vermont’s favorite unfiltered ale. Now fans of the beer can find Switchback Ale on tap closer to home, Brewbound reported on August 18.
Switchback Brewing Company, known for their unfiltered ales, currently has distribution in Vermont, New Hampshire, parts of Upstate New York, Maine and now Western Massachusetts.
“We’ve been getting phone calls from fans, bars and restaurants in Massachusetts for years wanting to know when they will be able to get our beer,” owner Bill Cherry notes. “We always want to be sure we are ready to supply a new territory without shortages. It has taken constant expansion of our facility over the years to get to this point. Finally, we are comfortable that we can reliably deliver the quantity of beer necessary to Western Massachusetts, and confident that our slower growth model assures the highest standard of quality. Although a long time coming, we are very excited to
...More info on site
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USA, SC: Swamp Cabbage Brewing Co. opens its doors to the public in Columbia
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Swamp Cabbage Brewing Co., which recently launched its line of drinks, opened its 921 Brookwood Drive, Columbia brewery on August 17 for public visits, tours and tastings, ColaDaily.com reported.
Swamp Cabbage is owned and operated by brothers Doug and Ed Boyd.
The brewery will be open on a regular basis with hours still to be determined. The hours will be extended for big events, including the University of South Carolina’s first football game of the year Aug. 28. when Swamp Cabbage will open at noon.
“It all depends on what kind of crowd we get,” Doug said.
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World: Heineken’s H1 net profit registers 1.3% drop
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Heineken NV on August 20 reported a 1.3% drop in net profit for the first six months of the year as currency movements and
...More info on site
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World: Malt markets much better than in the past few years
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Malt markets are much better than in the past few years, an industry report said on August 1.
Most industries all over the world
...More info on site
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World: Carlsberg reports first-half results and warns of possible fall in full-year profits due to the Ukraine crisis
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The Danish brewer Carlsberg warned on August 20 that profits are now likely to fall in 2014 due to the Ukraine crisis as tensions
...More info on site
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EU: Experts project large surplus of winter malting barley this year
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As per August 18, almost 95% of the spring barley harvest in France had been completed. What is left will have to be considered
...More info on site
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World: Grain market prices dropped sharply in July
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Market prices dropped sharply at the grain exchanges and in physical markets in July, an industry report said at the beginning of August. Surpluses
...More info on site
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India: UB Group boss Vijay Mallya may have to quit the board if declared wilful defaulter
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A wilful defaulter tag may force UB Group boss Vijay Mallya to quit the boards of India's largest alcoholic beverage companies, dealing a big blow to the tycoon whose jet-setting lifestyle once won him many young admirers, The Times of India reported on August 18.
Mallya, 58, chairs the board of United Spirits Ltd (USL) and United Breweries Ltd (UBL), the market leading liquor and beer makers, in which Diageo Plc and Heineken are the major shareholders. At USL - which he sold to Diageo in a $3 billion deal - a new board of directors is digging into the company's past money trails.
Three lenders — State Bank of India, Punjab National Bank and United Bank of India — have sought to slap the 'wilful defaulter' tag on Mallya. He has already challenged United Bank of India's move in the court and may follow suit with the other two.
USL has not filed audited financial results for the last financial year and the first quarter this year as the board is uncertain on how to treat the transactions with UB Holdings Ltd, the Bangalore-headquartered parent of Mallya's empire, which is stuttering under the weight of the grounded Kingfisher Airlines. The ill-fated airline
...More info on site
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New Zealand: Demand for New Zealand’s craft beer expected to triple over the next decade
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New Zealand could become a "superpower" of the global craft beer market, with demand for Kiwi brews expected to triple over the next decade, partly as a result of increasing Asian demand, according to research by ANZ.
John Bennett, ANZ's general manager of the central region for commercial and agri, said Asia's fast-growing middle classes were beginning to develop a taste for boutique beer.
The potential for New Zealand exporters in countries such as China was huge, he said, but brewers and local hops growers would have to lift production significantly in order to fully grasp the opportunity.
"These consumers are increasingly looking for premium products that are authentic, high-quality and were made by a craftsman, not a factory production line," Bennett said. "The challenge for craft brewers is to grow production quickly and without compromising quality or uniqueness."
New Zealand craft breweries currently exporting to Asian markets include Blenheim-based Moa and the Kapiti Coast's Tuatara.
Most of this country's hops is grown in the Nelson region.
ANZ said craft beer was the fastest-growing segment of the local brewing industry, with output increasing at about 25 per cent a year.
Bennett said the United States - where demand for craft products had been growing at about 10
...More info on site
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Japan: Brewers fighting for spot at izakaya pubs
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Japan’s beer companies are fighting fiercely for a spot at izakaya pubs, where brand placement can play a role in billboard advertisements and directly affect a brewer’s share in the national market, The Japan News reported on August 19.
Competition is especially heating up in areas where beer brewing companies have relocated their head offices. Brewers are in a heated race to win franchise contracts with izakaya chains, and in some cases, locking out rivals in the process.
At a local izakaya pub in Nakano Ward, Tokyo, that has been in business for more than 10 years, beer dispensers and bottles were quietly switched this spring to make way for products from Kirin Co.
“In the past, our pub offered only products of Asahi Breweries Ltd.,” an employee of the izakaya said. “But we decided to make a deal with Kirin, too.”
The change was prompted by Kirin’s relocation of its headquarters to Nakano Ward last year. In the ward and nearby areas, Asahi and Sapporo Breweries Ltd. had been holding high market shares.
After Kirin moved its offices, Kirin President Yoshinori Isozaki personally made sales calls as the company head, and the brand’s local presence has grown.
For beer brewers, the areas where their head
...More info on site
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Cuba: Cuba hit by severe beer shortage
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Cuba has been hit by a severe beer shortage during one of its hottest summers on record, sparking hoarding and driving thirsty drinkers to pay greatly inflated prices, Enca.com reported on August 17.
A sharp fall in production at the island's main brewery, Bucanero, at the beginning of the year has trickled its way down the supply chain at the worst possible time: the third-hottest summer since 1951.
That has caused many consumers and the communist country's newly legalized private restaurants, or "paladares," to stock all they can.
Bucanero makes four brands of beer: Bucanero, Cristal, Cacique and Mayabe. The company has a virtual monopoly in Cuba, though some imported beers are also available, albeit at a large mark-up.
"It was an odyssey to find beers for a going-away party Tuesday," one Chilean expatriate said.
"I covered half of Havana going to supermarkets, gas stations and liquor stores before I finally had to buy them at a restaurant" - where he had to pay 15 percent higher prices, he said.
Cuban media said the problem was caused by delayed imports of malted barley in the first four months of the year.
That hit production at Bucanero, a joint venture between the Cuban state and brewing giant Anheuser-Busch
...More info on site
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Turkey: Alcohol consumption amounted to 1.127 bln litres in 2012
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Turks consumed 1.127 billion litres of alcohol in 2012, according to a recent response by the Health Ministry to a series of parliamentary questions, which also highlighted that overall consumption fell by 10 percent last year, Hurriyet Daily News reported on August 19.
The amount of absolute alcohol consumed per person annually stands at around 1.55 litres, which is well below the European average of 10 litres.
The Western Marmara region topped a list of alcohol consumers at 20 percent, followed by the Aegean region and Istanbul.
The low-alcoholic drink beer is the most commonly consumed alcoholic drink in terms of volume, taking a 90 percent share in sum, while wine and rakı followed with annual respective volumes of 56.4 million and 44.6 million tons.
Some 23 percent of Turkish men consume alcohol, but only 4 percent of women do so.
Some 49.3 out of 90 liras paid for a liter of rakı goes to taxes, the ministry said.
Turks pay 4.43 liras in taxes for a litre of beer, which sells for 8.4 liras.
The tax rate is relatively lower in wine, with just 9.63 of 40 liras going to tax. When it comes to sparkling wine, tax jumps to 45.6 liras for
...More info on site
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Estonia: Microbrewery boom sweeping over Estonia
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A microbrewery boom is sweeping over Estonia. Over the past 12 months, half a dozen microbreweries have popped up, craft brews have appeared on the menus of restaurants and a new beer house has been established in Tallinn's Old Town, The Helsinki Times reported on August 17.
"At the turn of the year, restaurants started to suddenly offer the brews of Estonian microbreweries," says Miikka Kulmala, a game programmer based in Tallinn. Mass-produced beers taste like bad water, he characterises, while sipping a pint of Aotearoa Sauvin, an amber ale brewed by the local microbrewery Hopster, in a pub in the Old Town.
The share of microbreweries of the Estonian beer market remains below one per cent, but the demand is surging. "We have no time for marketing, only for fulfilling orders. Rimi [a major Baltic retailer] is interested in our beers, [and] Finnish retailers have made enquiries. My head is spinning," describes Enn Parel, a co-founder of Põhjala Brewery.
The next competitor to venture into the budding craft beer market in Estonia will be Finland's Sori Brewing. "When we started to plan setting up a microbrewery two years ago, there was not a single similar [brewery] in Estonia. All of the sudden,
...More info on site
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India: Telangana and Andhra Pradesh may increase retail prices of beer
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Beer price rise is in the offing as the governments of Telangana and Andhra Pradesh are contemplating demands from breweries to revise retail prices keeping in view increased production costs. The move, if implemented, would also bring in additional revenue to the exchequer in both states, The Times of India reported on August 17.
According to breweries' owners, proposals were sent to the governments to increase the basic price of a 12-bottle case of strong beer from the present Rs 235 to Rs 296, which in turn would escalate MRP by Rs 10 per bottle. Currently, consumers pay Rs 95 for 650 ml strong beer and Rs 85 for lager beer, which accounts for only 30% of the consumption.
Manufacturers say the demand to increase prices was made last June when contracts expired. Though the contract was extended for a year, prices were not increased. When the extension expired this June, the demand to increase prices surfaced again. Manufacturers said the last price revision was in 2010.
Data obtained from manufactures show six breweries in Telangana produce 42 lakh cases of beer while one in AP produces eight lakh cases. Owing to large number of breweries in Telangana, it is AP's prime supplier
...More info on site
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Namibia: SABMiller’s new plant in Okahandja rolls first bottles off its production line
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SABMiller Namibia last week started rolling its first bottles off the production line at the company's new 260 000-hectolitre brewery in Okahandja, All Africa reported on August 18.
Since breaking new ground on 28 May last year, engineers and brewing staff had been working to get the brewery online in preparation for the first bottling run.
"The start is part of our brewery ramp-up plan that will eventually see the brewery bottle more than 12 000 bottles per hour," said Bogart Butler, technical manager of the brewery. "This is an exciting time and we hope to commence full-scale operations soon."
MD of SABMiller Namibia, Cobus Bruwer said the plant was built at an estimated investment of N$420 million.
According to Bruwer, one of SABMiller's priorities is sustainable development and the start of production at the brewery within the allocated timeframe shows the commitment of the business to develop opportunities like this within Namibia.
The brand new bottling system consists of an intricate line of various automated systems ensuring exceptional quality control and hygiene.
"From the moment that the de-palletizer loads bottles onto the line, through the world-class bottle sterilisation process, bottle scanner and actual filling, labelling and packing, the system employs the latest technology to ensure
...More info on site
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