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E-Malt.com Newsletter 31a
July 29 - July 31, 2019
Quote of the Week
It takes beer to make thirst worthwhile.
German proverb
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Currency Rates
Base Currency: US Dollar
on July 31, 2019 |
Base Currency: Canadian Dollar
on July 31, 2019 |
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1 USD = 0.8970 EUR
1 USD = 0.8219 GBP
1 USD = 1.3166 CAD
1 USD = 1.4520 AUD
1 USD = 108.6300 JPY
1 USD = 3.7839 BRL
1 USD = 63.4169 RUB
1 USD = 6.8837 CNY
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1 CAD = 0.7594 USD
1 CAD = 0.6242 GBP
1 CAD = 0.6812 EUR
1 CAD = 1.1027 AUD
1 CAD = 82.4900 JPY
1 CAD = 2.8736 BRL
1 CAD = 48.1597 RUB
1 CAD = 5.2275 CNY
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Currency Rates Chart
Equities of the Largest Breweries
Canada: Barley exports in August-April total 1.75 mln tonnes
...Click here
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USA: Boston Beer’s second-quarter net revenue increases by 16.6%
...Click here
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USA, IN: Black Acre Brewing Co. getting ready to open second location in Zionsville
...Click here
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USA, GA: Indio Brewing Co. officially opens in Sugar Hill
...Click here
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USA, TX: Pegasus City to open new brewery in downtown Dallas
...Click here
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USA, CO: Odell Brewing to open second Denver pilot brewery
...Click here
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USA, MI: Ramshackle Brewing Company launches in Jonesville
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USA, TX: Big Bend Brewing Co.’s comeback fall through
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USA, SC: Conquest Brewing Company announces decision to close down
...Click here
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World: Heineken reports higher beer volumes but operating profit misses analysts’ estimates
...Click here
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World: Molson Coors reports soft quarter, announces changes in leadership
...Click here
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South Korea: Oriental Brewery denies reports of AB InBev’s plan to sell stake
...Click here
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Ireland: Sales of low- and non-alcoholic beer jump 60% last year
...Click here
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World: Global hop crop almost the same in 2018 as in 2017
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UK: Demand for non-alcoholic beer continues to rise
...Click here
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India: AB InBev banned from selling its products in New Delhi for evading local taxes
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UK: Craft brewing boom keeps specialist barley in demand
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Australia: Australian beer turning Japanese in a mature market
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Graph of the Week
Table of the Week
World Hops Area and Production 2016 - 2018
Prices Evolution
Barley Prices
Theoretical Malt Prices
These Days in Business History
29 July
1914 - 1st transcontinental phone link made between New York City & San Francisco
1952 - 1st nonstop transpacific flight by a jet
1956 - Jacques Cousteau's Calypso anchors in 7,500 m of water (record)
30 July
1863 - Henry Ford, car manufacturer was born
1897 - German chemist named Felix Hoffman synthesizes a stable form of acetylsalicylic acid in a laboratory in Berlin. The head of Bayer's pharmacological institute, Heinrich Dreser, soon names the product "aspirin," and it becomes the best-selling drug of all time
1928 - George Eastman demonstrates 1st color movie
1962 - The Trans-Canada Highway, the largest national highway in the world, is officially opened
31 July
1790 - 1st US patent granted, to Samuel Hopkins for a potash process
1809 - 1st practical US railroad track (wooden, for horse-drawn cars), Philadelphia
1925 - Unemployment Insurance Act passed in England
Agenda
July 2019:
29 - 02 August: 57th Congress of the International Hop Growers' Convention (Ljubljana, Zalec - Savinja Valley, Slovenia)
August 2019:
02 - 04: The 23rd International Berlin Beer Festival (Berlin, Germany)
06 - 10: The Great British Beer Festival 2019 (London, UK)
07 - 10: VIETFOOD & BEVERAGE - PROPACK 2019 (Ho Chi Minh City, Vietnam)
09 - 10: Beervana 2019 (Wellington, New Zealand)
26 - 31: Copa Cervezas de America 2019 (Valparaiso, Chile)
September 2019:
04 - 08: Mondial de la Biere 2019 (Rio de Janeiro, Brazil)
17 - 19: 10th Iberoamerican VLB Symposium Brewing & Filling Technology 2019 (Guadalajara, Mexico)
21 - 06 October: Oktoberfest 2019 (Munich, Germany)
26 - 27: Sea Brew 2019 (Bangkok, Thailand)
26 - 28: Stockholm Beer & Whisky Festival 2019 (Stockholm, Sweden)
October 2019:
03 - 05: Stockholm Beer & Whisky Festival 2019 (Stockholm, Sweden)
03 - 05: The Great American Beer Festival 2019 (Denver, USA)
November 2019:
12 - 14: Brau Beviale 2019 (Nuremberg, Germany)
27 - 29: Drink Japan 2019 (Makuhari Messe, Japan)
December 2019:
05 - 07: Drink Technology India 2019 (New Delhi, India)
More events are available on site e-malt.com
News Articles
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USA: YTD beer sales in money terms up 3.5%
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Year-to-date beer category dollar sales are up 3.5 percent in the US, to nearly $19.5 billion, in off-premise retailers tracked by market research firm IRI.
According the Chicago-based firm, three segments — imports (+5.9), flavored malt beverages (+27.7 percent) and domestic super premiums (+12.6 percent) — have achieved nine-figure sales growth through July 14 in its multi-outlet and convenience store universe. In fact, dollar sales of FMBs, including popular hard seltzers, have nearly reached $1.9 billion this year.
Category-wide trends were even stronger during the four weeks ending July 14, due to the important July 4 holiday. In that time, sales grew 5.7 percent, to more than $3.4 billion, and volume sales increased 2.3 percent. In that four-week period, FMB sales increased 38.2 percent.
Portfolio-wide dollar sales for Mark Anthony Brands, which makes the top-selling hard seltzer brand, White Claw, grew 57.2 percent, to more than $624 million. Those numbers accelerated over the last four weeks, growing 70.5 percent, with more than $152 million in dollar sales.
Through mid-July, dollar sales of White Claw’s variety pack increased 267.5 percent, while sales of its Black Cherry flavor increased nearly 269 percent. Those two offerings alone have accounted for more than $214 million in off-premise retail
...More info on site
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Canada: Barley exports in August-April total 1.75 mln tonnes
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Canada’s barley exports in August-April 2018/19 were 1.75 mln tonnes, of which 1.27 mln tonnes to China and 0.3 mln tonnes to Japan, H. M. Gauger GmbH said in their July report.
As per StatsCan June survey, barley plantings are 7.4 mln ha vs. 7.15 mln ha last year. The largest barley provinces are Alberta with 3.5 mln and Saskatchewan with 3.15 mln ha.
IGC forecasts a crop of 9.3 mln tonnes vs. 8.4 mln in 2018. Recent rains saved the Prairies barley crop from a disaster, but parts of Alberta and Saskatchewan are still dry and need rainfalls to continue.
The Lethbridge feed markets were tight all year long, drove feed barley prices up to around C$290 and needed large imports of U.S. corn. As corn prices look firm for the campaign to come, barley will be in good demand, likely to increase price levels for maltsters and exporters, the Gauger analysts believe.
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USA: Boston Beer’s second-quarter net revenue increases by 16.6%
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The Boston Beer Company, Inc. reported second quarter 2019 net revenue of $318.4 million, an increase of $45.3 million or 16.6%, from the same period last year. Net income for the second quarter was $27.9 million, or $2.36 per diluted share, an increase of $4.3 million or $0.38 per diluted share from the second quarter of 2018. This increase was primarily due to increased revenue, partially offset by lower gross margins and increases in advertising, promotional and selling expenses.
Net revenue for the 26-week period ended June 29, 2019 was $570.1 million, an increase of $106.5 million, or 23.0%, from the comparable 26-week period in 2018. Earnings per diluted share for the 26-week period ended June 29, 2019 were $4.38, an increase of $1.62 from the comparable 26-week period in 2018.
In the second quarter and the 26-week period ended June 29, 2019, the company recorded a tax benefit of $0.02 per diluted share and $0.17 per diluted share, respectively, resulting from the Accounting Standard "Employee Share-Based Payment Accounting" ("ASU 2016-09").
On July 3, 2019, the company completed its merger with the Dogfish Head Brewery for a total consideration consisting of $173.0 million in cash and 429,292 shares of restricted
...More info on site
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USA, IN: Black Acre Brewing Co. getting ready to open second location in Zionsville
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Black Acre Brewing Co. is busy getting ready to open a second location, but it isn’t standing pat at its home base in Irvington, the Indianapolis Business Journal reported on July 25.
The 7-year-old brewery, restaurant and taproom is two to three months away from opening its Zionsville location. In the meantime, it’s also making big improvements to its facilities at 5632 E. Washington St. and 5529 Bonna Ave., both in Irvington.
The changes will give Black Acre more room for patrons, additional brewing capacity, improved kitchen facilities and a new beer garden.
Black Acre’s brewery has grown in popularity, but its seating capacity for diners hasn’t, so owners Holly Miller, Justin Miller and Steve Ruby have created room for 12 more people by adding seating to the former fermentation room, increasing dining capacity to 60.
The next step is removing the cold room behind the bar, which will provide enough room to double the size of the bar.
The Black Acre taproom also is getting bigger, by expanding into space to the west, allowing it to almost double seating and restrooms. The expansion will provide enough room for the taproom to host private events and become an all-ages dining room until 8 p.m.
With the
...More info on site
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USA, GA: Indio Brewing Co. officially opens in Sugar Hill
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A home brewer has made his dream a reality in Sugar Hill, the Atlanta Journal Constitution reported on July 26.
Jonathan Martinez and his wife officially opened Indio Brewing Co. last weekend, after several weekends in soft open mode. Martinez, who has been home brewing for six years, said he fell in love with brewing right away. His wife eventually suggested they “get out there with the big boys” and open their own brewery.
Indio brews “a little bit of everything,” Martinez said, including its Tropical Thunder IPA; Sour Patch, a our made with wildberries and strawberries; and Sweet City, a “hazy and juicy” New England IPA. He said beer will rotate “constantly.”
Customers can currently get beer by the pint, and while Martinez said he plans to offer fill-to-order crowlers, his distributions aspirations stop there.
“We’re not trying to compete with the big breweries,” he said. “We’re trying to keep it local for the community.”
Martinez said a food pop-up or food truck will make regular appearances at the brewery, and he hopes to host special events including salsa dancing and a cornhole league.
Indio joins several other recently opened metro Atlanta breweries and brewpubs include Sceptre Brewing Arts in Oakhurst; Halfway
...More info on site
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USA, TX: Pegasus City to open new brewery in downtown Dallas
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One of downtown Dallas’ oldest buildings is getting a local craft brewery and beer garden, the Dallas Observer reports.
The 19-story Dallas Power and Light Building will soon be home to a second branch of Pegasus City, the 2-year-old Design District brewery that specializes in hugely drinkable styles and won the Observer’s Best Brewery award in 2018. It will be a natural extension of a brand that is rooted in Dallas history and tradition, and it will also be the first craft brewery to open downtown.
Pegasus City’s space in the Power and Light Building’s front lobby area will feature a very small pilot brewery for small-batch specialty work — the plan is to use a two-barrel system — alongside a taproom and an outdoor beer garden facing Browder Street and AT&T's corporate headquarters.
Husband and wife owners Adrian and Will Cotten hope to use the space to brew limited-production offerings and test out new recipes alongside a bar area that will stay true to the building’s history.
“It’s a beautiful building,” Adrian Cotten says. “It’s marble on the inside, with original chandeliers that we can’t touch, nor would we want to.”
They plan “analog entertainment” for the taproom, including games such as shuffleboard, Super
...More info on site
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USA, CO: Odell Brewing to open second Denver pilot brewery
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There's a reason that Odell Brewing has stuck around for thirty years. The Fort Collins-based brewery has always made good beer, changed as needed and adapted to the times. On July 26, Odell announced the latest adaptation: It will open a second Denver pilot brewery and taproom, this one near Sloan's Lake, Westword reported on July 26.
The Odell Sloan's Lake Brewhouse — at 1625 Perry Street, in the new development that replaced the old St. Anthony's Hospital — will feature a ten-barrel brewing system and a scratch pizza kitchen. It will be part of the "repurposed" historic Kuhlman Building, which has served as a nunnery, nursing school, dormitory and administrative offices for St. Anthony's. The rest of the building is affordable rental housing.
Odell opened its first Denver pilot brewery and taproom fourteen months ago in another historic building in the River North Art District. The company says it has been very successful.
"As a Colorado-focused and employee-owned brewery, growing in our home market is first and foremost,” says Odell CEO Wynne Odell in a statement announcing the new project. “Investing in our own back yard creates more opportunities for our co-owners and aligns with our goals of pragmatic innovation.”
The RiNo facility
...More info on site
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USA, MI: Ramshackle Brewing Company launches in Jonesville
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Ramshackle Brewing Company has opened in what used to be an alley in Jonesville, MLive.com reported on July 25.
The 16-foot-wide-by-95-foot-long skinny space is nestled next to Olivia’s Chop House, 209 E. Chicago St. in Jonesville. The brewery opened July 17.
“The first week was amazing,” co-owner Joe Kesselring said. “We had a great, positive response.”
Kesselring co-owns the brewery with Zack and Jessy Bigelow.
The brewery’s features include a dry-erase board for a bar top and a “Beer it Forward” wall. Customers can purchase a beer for someone in particular or set the criteria for someone to receive a free beer.
If you’re the first bagpiper to visit, a free beer is waiting for you. Sorry, the free beer to the first person wearing chaps has been taken.
Six local artists have created murals along the main wall of the brewery and in the restroom.
Ramshackle Brewing Company doesn’t serve food, but Kesselring describes the brewery as food friendly, as guests are welcome to bring in food from nearby restaurants or even a crockpot from home.
“Beer is our art, food is theirs,” Kesslering said.
Ramshackle has five beers on tap, three being on all the time and two rotating taps. The staple beers are The Pushmower, a
...More info on site
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USA, TX: Big Bend Brewing Co.’s comeback fall through
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Big Bend Brewing Co.’s hoped-for comeback fell through, the San Antonio Express-News reported on July 25.
Trans Pecos Beverage LLC, which does business as Big Bend Brewing, filed for bankruptcy liquidation on July 24 in San Antonio.
Big Bend was building a $3 million production facility in San Antonio at 1310 Cornerway Blvd., near the intersection of Interstate 10 and Loop 410 on the East Side, when it halted operations at the end of last year.
Brewery officials were hopeful the business would reopen at some point but the Chapter 7 filing dashes those ambitions.
The bankruptcy petition listed the San Antonio address as Big Bend’s principal place of business, though its original brewery and taproom are in the West Texas town of Alpine.
The filing contained minimal information, reporting assets and liabilities each in the range of $1 million to $10 million. Creditors number less than 50.
The company made beers with names inspired by the region where they were brewed. They included Tejas Lager, Terlingua Gold Ale, Frontera IPA, and Big Bend Hefeweizen.
In a social media post last year, company officials blamed the brewer’s shutdown on “a combination of unforeseen hurdles in building our San Antonio location and the challenging macroeconomic conditions affecting investment
...More info on site
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USA, SC: Conquest Brewing Company announces decision to close down
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Conquest Brewing Company, Columbia’s first craft brewery, is closing, The State reported on July 26.
The company, located in a nondescript warehouse near Williams-Brice Stadium, has announced on its Facebook page that it “will soon wind down operations.”
“It’s time to hang up our swords and mash paddles,” the post said. “We do not have a closing date to share right now, but we have beer on hand and new ones in tanks and we’d like to sell it and be wrapped up sometime around the beginning of fall.”
The post said that there was no one reason for shuttering the business, which has been in operation since 2012.
“A combination of internal and external factors and odds and ends we won’t bore you with have us sitting where we do now,” is said. “The decision to sunset this brewery at this time was not an easy one, but it is the one we have chosen to make.”
Since Conquest opened, nearly a dozen breweries and distilleries have opened in the Midlands.
Some, like River Rat on Shop Road in Columbia and Steel Hands in Cayce, offer wide lawns and beer gardens and feature entertainment from concerts to trivia contests. Hunter-Gatherer even expanded into the historic
...More info on site
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World: Global beer production down 1.9% in 2018
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Compared with output volume in 2017, world beer production in 2018 fell by 37.8 mln hl, or 1.9% – a decline of unprecedented magnitude.
...More info on site
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World: Heineken reports higher beer volumes but operating profit misses analysts’ estimates
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Heineken NV, the world's second-largest brewer, missed estimates for first-half profit on July 29, as rising input costs offset higher beer sales.
The Dutch maker
...More info on site
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World: Molson Coors reports soft quarter, announces changes in leadership
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Molson Coors released its second-quarter financial results on July 31, but following news of a shakeup at the top of the company, the focus
...More info on site
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South Korea: Oriental Brewery denies reports of AB InBev’s plan to sell stake
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South Korea’s Oriental Brewery on July 29 denied news reports that its parent Belgian company AB InBev is seeking to sell its majority stake,
...More info on site
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Ireland: Sales of low- and non-alcoholic beer jump 60% last year
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Sales of low and non-alcoholic beer jumped by 60 per cent in Ireland last year and most consumers are keen to see more of these products on sale locally, the Irish Times reported on July 28.
That is according to the Irish Brewers Association (IBA) which forecasts that more independent and craft producers are likely to follow in the footsteps of drinks giants such as Diageo and Heineken in introducing low and non-alcoholic beers.
According to a survey conducted by the IBA, as many as 57 per cent of Irish consumers want greater availability of non-alcoholic products.
The move comes as official figures highlight a significant drop in alcohol consumption generally since the turn of the century.
Sales of low and non-alcoholic beer increased by 60 per cent in the Republic between 2017 and 2018, to 30,000 hectolitres.
Beer remains the most popular alcoholic drink in the Republic, accounting for just under 45 per cent market share of all booze consumed in 2017. In addition, beer production rose to just over 8 million that year as against 7.68 million hectolitres in 2016.
Jonathan McDade, head of the IBA, said health-conscious consumers are increasingly choosing quality over quantity when it comes to alcohol.
“The key thing for brewers
...More info on site
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World: Global hop crop almost the same in 2018 as in 2017
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The global hop crop volume of slightly more than 118,400 tonnes in 2018 was almost the same as in the previous year. However, acreage
...More info on site
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UK: Demand for non-alcoholic beer continues to rise
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Demand for non-alcoholic beer continues to rise in the UK, with growth at 25% for the year to date for AB InBev, BeverageDaily.com reported on July 26.
Its beers in the alcohol-free category include Budweiser Prohibition and Beck’s Blue.
“We have seen demand for no alcohol beer continue to rise, with growth at 25% year to date and Beck’s Blue the number one beer in this category,” said Paula Lindenberg, president, Budweiser Brewing Group UK&I (which changed its name from AB InBev UK earlier this year).
“In the low-alcohol segment, Camden Town Brewery launched its new 3% ABV beer Week Nite and Bud Light is growing by double digits in both the on-trade (pubs and bars) and off-trade (retail).
"The growth of no-and-low alcohol beers highlights that consumers are looking for moderation without compromising their social lives.”
The world’s largest brewer is working towards a goal of having 20% of its global beer volumes in no and low alcohol beer by 2025.
AB InBev is not alone in reporting growth of no and low alcohol beer sales. Last week brewer and pub owner Robinsons Brewery said it has seen a 'dramatic increase' in sales of no and low alcoholic beers and ciders, with
...More info on site
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India: AB InBev banned from selling its products in New Delhi for evading local taxes
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India’s capital city has banned the world’s largest brewer, Anheuser-Busch InBev, from selling its products in the key New Delhi market for 3 years for allegedly evading local taxes, government orders seen by Reuters showed.
The city government orders from earlier this month followed a 3-year investigation which found that beer maker SABMiller - acquired by AB InBev in 2016 for around $100 billion - used duplicate barcodes on its beer bottles supplied to city retailers that year, allowing it to pay lower levies.
AB InBev said in a statement it denied the Delhi government’s allegations and would appeal against the order.
“The barcodes were being duplicated by ... SABMiller and supplied to the retail outlets to evade payment of excise duty,” said a 19-page order, dated July 16, which detailed the findings.
In a second order last week, the Delhi city authority said that AB InBev should be put on a “blacklist” for three years. It also called for the sealing of two of AB InBev’s warehouses in the capital city, an action that a senior Delhi government official told Reuters on July 30 had already been completed.
“This means the company is debarred from Delhi market for all purposes, unless they appeal against
...More info on site
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Belgium: Non-alcoholic Leffe beer already on sale
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While Trappist beer is "abbey beer," not all "abbey beer" is Trappist, Aleteia reported on July 27.
The Leffe brewing label announced, earlier this year, that they would make history as the first abbey beer company to produce a non-alcoholic version of their famous Belgium brew. The move follows a surge in the popularity of non-alcoholic beverages, a growing trend in 2019.
Brewed by monks, or by companies to whom the monks license their methods, Belgium’s abbey beers are a staple of the country’s culture. Known for their high alcohol content, the decision marks a distinct broadening of their line of products.
The Telegraph reports that Belgium, where, in a recent survey, 62% of the population said they drank too much, has been fast to jump on the non-alcoholic bandwagon. In 2018, sales of non-alcoholic beer rose 30% in the country of 11.35 million.
The change was decided by Anheuser-Busch InBev, the world’s largest brewing company. In 2016, AB InBev launched non-alcoholic versions of Budweiser and Corona, which CNN Business notes have been well received. The brewing company has predicted that 20% of the world’s beer production will be focused on non-alcoholic beer by 2025.
Leffe’s non-alcoholic brew is significantly different from other brands, because
...More info on site
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UK: Craft brewing boom keeps specialist barley in demand
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Specialist malting barley varieties are proving their worth in the 2019 East Anglian harvest, with growers and merchants reporting some good yields and strong premiums, the Eastern Daily Press reported on July 26.
Norfolk grain merchant Adams and Howling said the craft ale market is fuelling increasing demand for traditional varieties such as Maris Otter and Flagon.
With the winter barley harvest in Norfolk and Suffolk around 90pc complete, the firm's joint managing director Matthew Adams said while there had been some quality issues after the dry conditions earlier in the season, maltsters had been prepared to adjust their specifications for the most sought-after traditional varieties.
"A demanding market for a crop is always an asset for a grower," he said. "We have certainly found that this year when some of the crops have had quality issues and the maltsters have adjusted their tolerances to make sure they can be used, because there is such strong demand for these niche products.
"These are varieties that people know will carry a yield penalty in comparison to the feed varieties, but with Flagon being over 20 years old and Maris Otter being over 50, there is a lot of experience associated with these varieties and the
...More info on site
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Australia: Australian beer turning Japanese in a mature market
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It was a sunny day back in the 80s and star Australian cricketer Allan Border was lounging on a beach under a sunhat, feeling "a XXXX coming on".
In one of Australian television's biggest commercials of the time, he was promoting the beer Castlemaine XXXX, with a bit of help from fellow cricketers including legendary fast bowler Jeff Thomson, the Brisbane Times reported on July 25.
About the same time as Border spruiked XXXX, one of Australia's most popular celebrities of the decade, Paul Hogan, was promoting Fosters on British television.
Fosters was basically being painted as the national drink and "Hoges" was persuading the Brits to imbibe.
Fast forward 30 or so years, and the TV beer commercials have changed. The people promoting beer these days often have bushy beards, women in bikinis have disappeared from the ads and the stars aren't as recognisable as AB or Hoges.
But there's another thing that has changed: The drinking habits of Australians. Beer drinkers are turning to contemporary brews such as Pure Blonde (did beers have names like this in the 1980s?), Great Northern and Hahn.
The age old names like Victoria Bitter, Carlton Draught, Tooheys and XXXX are still big sellers, but they're increasingly fighting for
...More info on site
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