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E-Malt.com Newsletter 13a
March 23 - March 25, 2020
Quote of the Week
Without question, the greatest invention in the history of mankind is beer. Oh, I grant you that the wheel was also a fine invention, but the wheel does not go nearly as well with pizza.
Dave Barry
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Currency Rates
Base Currency: US Dollar
on March 25, 2020 |
Base Currency: Canadian Dollar
on March 25, 2020 |
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1 USD = 0.9255 EUR
1 USD = 0.8543 GBP
1 USD = 1.4449 CAD
1 USD = 1.6857 AUD
1 USD = 110.8800 JPY
1 USD = 5.1113 BRL
1 USD = 78.7658 RUB
1 USD = 7.0695 CNY
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1 CAD = 0.6919 USD
1 CAD = 0.5911 GBP
1 CAD = 0.6404 EUR
1 CAD = 1.1664 AUD
1 CAD = 76.7200 JPY
1 CAD = 3.5367 BRL
1 CAD = 54.5001 RUB
1 CAD = 4.8916 CNY
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Currency Rates Chart
Equities of the Largest Breweries
Mexico: Mexican city residents reject Constellation Brands brewery in referendum
...Click here
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USA: Alcohol industry calls on Congress for economic relief
...Click here
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USA, CO: Colorado Governor allows wider segment of the hospitality industry to begin delivering alcohol
...Click here
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Mexico: Beer exports show resilience in January and February this year
...Click here
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Canada, NS: Hardisty Brewing announces release of its first beers in Colby Village
...Click here
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USA, TX: Black Laboratory Brewing starts selling its beer in San Antonio
...Click here
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Canada: Labatt Breweries shifts production from beer to hand sanitizer at four breweries
...Click here
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USA, TX: New brewery slated to join Tomball Business and Technology Park
...Click here
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World: AB InBev withdraws 2020 outlook because of COVIF-19 impact
...Click here
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China: China Resources Beer to close low-priced products facilities while boosting output of Heineken
...Click here
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Japan & Australia: Asahi delays closure of Carlton & United Breweries to Q2
...Click here
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Australia: Australia could run out of beer within weeks because of impending coronavirus lockdown - Carlton and United Breweries
...Click here
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Japan: Major beer makers report sales increase in February
...Click here
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South Korea: Hite Jinro CEO expects fiercer competition on liquor market this year
...Click here
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World: Pernod Ricard warns of 20% hit to operating profit due to global coronavirus crisis
...Click here
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Japan: Decline of alcohol consumption by younger Japanese accelerating
...Click here
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Spain: Beer sales up 78% during first week of coronavirus lockdown
...Click here
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EU: AB InBev supports European health services in fight against coronavirus
...Click here
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Graph of the Week
Table of the Week
US Beer Sales, Import, and Export 2013 - 2019
Prices Evolution
Barley Prices
Theoretical Malt Prices
These Days in Business History
23 March
1836 - Coin Press invented by Franklin Beale
1857 - Elisha Graves Otis installs the world's first safety elevator for passengers in the E.V. Haughwout and Co. store in New York City
1861 - London's 1st tramcars, designed by Mr. Train of New York, begins operating
1951 - Wages in France increase 11%
24 March
1867 - Metropolitan Life Insurance Co. forms
1898 - 1st automobile sold
1955 - 1st seagoing oil drill rig placed in service
25 March
1814 - Netherlands Bank established
1954 - RCA manufactures 1st color TV set (12 1/2'' screen at $1,000)
1957 - Treaty of Rome establishes European Economic Community (Common Market)
1970 - Concorde makes its 1st supersonic flight (700 MPH/1,127 KPH)
Agenda
April 2020:
01 - 02: Expo Antad & Alimentaria Mexico 2020 (Expo Guadalajara, Mexico)
24 - 06 July: Copa Cervezas de America 2020 (registration: 24 Apr-6 Jul) (Mar del Plata, Argentina)
May 2020:
01 - 02: Tallinn Craft Beer Weekend 2020 (Tallinn, Estonia)
05 - 07: International Beer Strategies Conference 2020 (Munich, Germany)
14 - 16: Copenhagen Beer Festival 2020 (Copenhagen, Denmark)
15 - 17: Mondial de la Biere - Paris 2020 (Paris, France)
18 - 24: Budapest Beer Week 2020 (Budapest, Hungary)
19 - 21: Beer 2020 (Sochi, Russia)
21 - 24: Mondial de la Biere 2020 (Montreal, Canada)
22 - 30: Latvia Beer Festival 2020 (Riga, Latvia)
25 - 27: Africa Brewing Conference 2020 (Maputo, Mozambique)
June 2020:
03 - 04: The Brewers of Europe Forum 2020 (Antwerp, Belgium)
04 - 07: Mondial de la Biere - Sao Paulo 2020 (Sao Paulo, Brazil)
04 - 07: Wiener Bierfest 2020 (Vienna, Austria)
09 - 12: Aro Rojo International Beer Cup 2020 (Tampico, Mexico)
July 2020:
01 - 02: Craft Drinks India 2020 (Bangalore, India)
01 - 03: Craft Beer China 2020 (Shanghai, China)
29 - 31: Beviale Mexico 2020 (Guadalajara, Mexico)
30 - 01 August: Korea International Beer Expo 2020 (Seoul, South Korea)
August 2020:
01 - 04: World Brewing Congress 2020 (Minneapolis, USA)
07 - 08: Beervana 2020 (Wellington, New Zealand)
13 - 15: VIETFOOD & BEVERAGE - VIETNAM 2020 (Ho Chi Minh City, Vietnam)
September 2020:
01 - 03: Modern Brewing Technologies 2020 (Moscow, Russia)
02 - 04: Beviale Moscow 2020 (Moscow, Russia)
02 - 05: Expo Trade, Brewers Conference & Mar del Plata Beer Week 2020 (Mar del Plata Argentina)
03 - 07: Mondial de la Biere Rio 2020 (Rio de Janeiro, Brazil)
03 - 05: Zurich Bier Festival 2020 (Zurich, Switzerland)
05 - 05: Copa Cervezas de America 2020 (Award Ceremony) (Mar del Plata, Argentina)
14 - 25: Craft Brewing in Practice 2020 (Berlin, Germany)
19 - 04 October: Oktoberfest 2020 (Munich, Germany)
21 - 23: 11th Ibero-American VLB Symposium 2020 (Barcelona, Spain)
October 2020:
13 - 16: China Brew & China Beverage (CBB) 2020 (Shanghai, China)
29 - 30: Sea Brew 2020 (Taipei, Taiwan)
November 2020:
10 - 12: Brau Beviale 2020 (Nuremberg, Germany)
25 - 27: Drink Japan 2020 (Tokyo, Japan)
December 2020:
09 - 11: Drink Technology India 2020 (Mumbai, India)
News Articles
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Mexico: Mexican city residents reject Constellation Brands brewery in referendum
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Residents in the border city of Mexicali voted against the completion of a $1.4 billion brewery owned by Constellations Brands Inc. on grounds that its intensive water consumption was detrimental for the community, a move that risks undermining foreign investment in Mexico as the country faces a deep economic contraction, Morningstar.com reported on March 23.
The administration of nationalist President Andrés Manuel López Obrador organized the public consultation on March 21 and 22. Farmers had complained that Constellation's water-intensive plant threatened to intensify irrigation shortages in the agriculture sector.
Around 76% of those who voted rejected the project developed by Constellation, the third-largest U.S. beer producer and brewer of Mexico's Corona and Modelo brands for U.S. consumers. Turnout was less than 5% of eligible voters.
As a result of the vote, the government won't grant a water supply permit to Constellation Brands, Deputy Interior Minister Diana Alvarez said on March 23. The federal government will soon begin talks with Constellation to look for compensation for incurred losses, Ms. Alvarez said, after disclosing the results of the referendum.
The cancellation of such a large-scale project sends a negative signal to foreign investors, business groups say. This is the first time Mexico's government has put a
...More info on site
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USA: Alcohol industry calls on Congress for economic relief
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With the economic fallout from the COVID-19 crisis only likely to worsen, the federal government is announcing different forms of aid packages. US alcohol associations are now asking for assistance, BeverageDaily.com reported on March 23.
Together the Distilled Spirits Council of the US (DSCUS), the American Craft Spirits Association, the Kentucky Distillers’ Association and the New York State Distillers Guild all penned a letter to the US Senate, urging them to ‘move quickly’ to help distilleries.
In the letter, the association presidents said, “Across the United States, our member distilleries are doing their part to help prevent the spread of COVID-19 and ensure the health and safety of their workers and the public.”
“However, because of the necessary measures being undertaken, including the closures of restaurants, bars, and tasting rooms, many distillers will soon need to lay off employees and delay or reduce production. Many may even be forced to close their doors permanently.”
“As Congress moves swiftly to provide economic relief to affected businesses, we urge you to remember the important role of distilleries in your home states and across the country and their inextricable link to the hospitality, restaurant, tourism, and retail industries.”
A separate letter to the Senate brought together the American
...More info on site
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USA, CO: Colorado Governor allows wider segment of the hospitality industry to begin delivering alcohol
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While each state continues to react in real-time to the ever-evolving landscape as a result of COVID-19, many states have begun loosening legislation to allow restaurants, bars, night clubs, wineries, and even breweries the ability to deliver beer to customers in an effort to offer alternative revenue streams in the wake of banning on-site consumption.
On March 20, Colorado’s Governor Jared Polis, joined the likes of Maryland, New Hampshire, New York, and Texas who have allowed a wider segment of the hospitality industry to begin delivering alcohol. The additional licenses will remain in effect until April 18, 2020.
According to Robert Runco, legal counsel to the Colorado Brewers Guild the new proclamation can be summarized as such:
Hotel & Restaurant licensees, tavern licensees, brewpub licensees, beer & wine licensees, club licensees, lodging & entertainment licensees, and vintners restaurant licensees may deliver any alcohol from their inventory provided it is in a sealed container provided the sale is accompanied by the sale of food (alcohol and food must be on the same receipt). Breweries with a wholesale sales room may deliver alcohol manufactured on-site in sealed containers.
A sealed container is defined as any container or receptacle used for holding an alcohol beverage, which container
...More info on site
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Mexico: Beer exports show resilience in January and February this year
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Government actions around the world in response to coronavirus, including the U.S., are leading to widespread closures of pubs and bars – raising the prospect of reduced beer sales through that route, though drink at home sales may pick up. As discussed in Panjiva’s research of March 16, the spread of coronavirus is being felt acutely in both the supply and demand side of the consumer goods industries.
There’s already been a notable impact on the brewing industry. AB InBev’s CEO, Carlos Alves de Brito has stated in relation to China that “this outbreak has resulted in lost revenue of approximately $285 million“. For context, that’s equivalent to 4.4% of Asia region revenues for the firm in 2019 overall, Panjiva’s analysis of S&P Global Market Intelligence data shows.
Prior growth in sales elsewhere in the world has come from ABI’s sales of Mexican beers, which has included the unfortunately meme-worth Corona beer.
Panjiva data shows that Mexican beer exports have generally been resilient so far with a 2.2% year over year expansion in shipments in February following a 10.4% surge in January. Yet, that was supported by strong exports to the U.S. which rose by 11.4% in January while shipments to
...More info on site
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Canada, NS: Hardisty Brewing announces release of its first beers in Colby Village
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A new home-based nanobrewery in Colby Village – a subdivision of Cole Harbour, Nova Scotia – has announced the release of its first beers, the Canadian Beer News reported on March 23.
Hardisty Brewing has been founded by long-time homebrewer Charlene Robichaud, and has launched with two beers, Block Party SMaSH Pale Ale (4.5% abv) and Smoked Porter (4.7% abv).
Hardisty beers are currently available exclusively via home delivery in the Colby Village area. As announced on Facebook, orders can be placed via direct message or email, and deliveries will be made on Thursdays between 4:30 and 6:00 PM, with payment via “tap to pay” at the door.
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USA, TX: Black Laboratory Brewing starts selling its beer in San Antonio
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Owners of San Antonio’s newest brewery would have liked to serve up its fresh lineup of beers to customers inside the newly constructed tasting room, but the citywide shutdown of area bars and restaurants due to the COVID-19 virus meant they had to alter those plans, mySanAntonio.com reported on March 23.
Located inside the Hackberry Market at the corner of Hackberry and Houston streets on the near East Side, Black Laboratory Brewing started selling its beer in 32-ounce crowlers Saturday, March 21. It will continue doing so from noon to 7 p.m. every Saturday until the order that prohibits indoor patronage is lifted.
On Saturday, March 21, Black Lab had five beers available, priced from $10-$20 each. The list included their Bindi Blonde Ale ($10), Grizzly Gregg’s Mountain Ale ($18), Mox’s IPA ($14), Vanilla Joe ($14) and Jeff Jams Vol. 1 ($20).
Business was brisk, as customers continued to fill a line in front of the brewery on a sidewalk marked appropriately for social distancing. Black Lab stated on social media that it sold 600 beers opening day.
The brewery first opened its doors March 14, before being mandated by state and city officials to close the tasting room. Operating hours at Black Lab
...More info on site
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Canada: Labatt Breweries shifts production from beer to hand sanitizer at four breweries
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Labatt Breweries of Canada has shifted its production from beer to hand sanitizer, CTV News reported on March 22.
The company made the decision to shift production at its Edmonton, London, Ont., Montreal, Que., Vancouver, B.C., and Toronto, Ont. breweries to hand sanitizer because of the COVID-19 crisis.
The result will be 50,000 bottles of hand sanitizer which the company will donate to Food Banks Canada, front line workers, and partners in the restaurant and bar industry, who are serving take-out meals.
"This is a national crisis like we haven't seen in our lifetimes and we feel an obligation to do everything we can to help through our Disaster Relief Program,” said Charlie Angelakos, Vice President, Legal and Corporate Affairs, Labatt Breweries of Canada in a written release. “Our goal is to get this much needed sanitizer into the hands of those who need it most, especially individuals on the front lines serving their communities as we all pull together."
“It’s times like these when organizations like ours need more support than ever – to assist the devoted food bankers on the ground helping those vulnerable people in our communities. We’re so grateful that Labatt is providing us with much-needed hand sanitizer,” said Chris
...More info on site
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USA, TX: New brewery slated to join Tomball Business and Technology Park
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A new brewery and restaurant is slated to join the Tomball Business and Technology Park, city officials said. City Council members cast the first vote to approve a conditional-use permit March 16 to allow a brewery facility on 4.65 acres within the park, the Community Impact Newspaper reported on March 23.
The facility would include a 10,000-square-foot building with an indoor brewery, restaurant, beer garden and playground with space for future building and parking areas, Community Development Director Craig Meyers said during the meeting. The facility would manufacture and brew beverages as well as bottling, canning and distributing them, he said.
Kelly Violette, the executive director of the Tomball Economic Development Corp.—which oversees development in the technology park—said the brewing facility would bring diversity into the business park and give current tenants a place to eat or bring clients for lunch. She said occupants' biggest challenge in the park is that there is nowhere in the immediate area to dine with clients or eat lunch.
"We are excited about the potential to bring a brewery and a restaurant to the business and tech park," she said during the meeting.
Representatives of the proposed facility's operators said the canning operation would likely run 24 hours
...More info on site
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World: AB InBev withdraws 2020 outlook because of COVIF-19 impact
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Anheuser-Busch InBev, the world's largest brewer, said on March 24 it was scrapping its 2020 outlook as the scale of the coronavirus increased, Yahoo
...More info on site
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China: China Resources Beer to close low-priced products facilities while boosting output of Heineken
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China Resources Beer, the Asian country's largest brewer, intends to close breweries churning out low-priced products while boosting output of Heineken, in response to
...More info on site
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Japan & Australia: Asahi delays closure of Carlton & United Breweries to Q2
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Japan’s Asahi Group Holdings Ltd said on March 24 it would delay the planned closure of a deal to buy Anheuser-Busch InBev’s Australian operations
...More info on site
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Australia: Australia could run out of beer within weeks because of impending coronavirus lockdown - Carlton and United Breweries
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Australia's biggest brewer says the country could run out of beer within weeks and thousands of jobs could be lost because of the impending
...More info on site
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Japan: Major beer makers report sales increase in February
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Japan's major beer makers say their sales increased year-on-year in February, as more people are drinking at home due to the coronavirus outbreak, NHK reported on March 16.
Kirin Brewery says sales of beer and beer-like beverages rose 3 percent in February. Sapporo reported an increase of 2 percent. Asahi says its sales value rose by 4 percent.
The breweries say beer sales have fallen at restaurants and bars, but sales of canned beer have been boosted by more people drinking at home.
A shopper at a Tokyo supermarket says she now drinks more at home as she is afraid of eating outside.
Major beer companies say they will focus on selling canned beer for the time being as a further decline in sales is expected for restaurants and bars.
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South Korea: Hite Jinro CEO expects fiercer competition on liquor market this year
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Hite Jinro CEO Kim In-kyu expressed his will to lead the liquor market based on innovation this year, the Korea IT Times reported on
...More info on site
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World: Pernod Ricard warns of 20% hit to operating profit due to global coronavirus crisis
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French spirits group Pernod Ricard warned on March 24 of a hit of around 20% to its current operating profit as a result of
...More info on site
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Japan: Decline of alcohol consumption by younger Japanese accelerating
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Some time before the coronavirus outbreak put a damper on this year’s hanami (blossom viewing) parties and other social activities, the media had already noted that the decline in alcohol consumption by younger Japanese has been accelerating. This phenomenon even made the front page of the Nikkei Marketing Journal (Feb. 21).
Citing data from Suntory Holdings in 2019, the article also noted that the market for nonalcohol and low-alcohol beverages such as beer and chūhai (cocktails made with neutral grain spirits and mixers) had quadrupled over the previous decade to 22.65 million cases.
The Kyoto-based distiller concluded that more people are drinking nonalcoholic beverages not merely as a substitute for alcohol — as would be the case among drivers or expectant mothers — but because they prefer it.
In a special issue on the food and beverage industry, Weekly Toyo Keizai (Feb. 29) reported that management of Hidakaya, a restaurant chain serving Chinese-style dishes, had noted changes in customer behavior between 2018 and last year.
The company noticed that young, salaried male workers, who make up a key segment of its customer base, had begun leaving their jobs at an earlier hour, which, in turn, led to a lower demand for alcoholic beverages accompanying
...More info on site
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Spain: Beer sales up 78% during first week of coronavirus lockdown
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Beer sales have risen 78%, cleaning products an additional 34%, alcohol sales have risen 24% and preserved food has risen 23% in Spain, the Euro Weekly News reported on March 23.
Spanish residents have moderated their shopping baskets in the context of consumption due to the coronavirus crisis, the sale of ready meals, olive oil, and toilet paper have decreased significantly. Whilst beer sales have risen 78%, according to the weekly analysis conducted by Gelt.
Once residents have completed their ‘bunker shopping list’ which aims to neutralise fear of running out of necessities during a period of home confinement, the sale of non-perishable items like toilet paper have fallen.
After analysing sales from the first week of quarantine, another main shopping item on everyone’s list has been cleaning products probably due to the vast amount of spring cleaning taking place in the households of Spain.
The products which have seen a rise in sales are beer (+78%), cleaning products (+34%), and preserved food (+23%), whilst sales which have fallen are olive oil (-58%), ready meals (-48%), rice (-46%), beans (-42%), powdered milk (-36%), ammonia (-33%), toilet paper (-10%), and bleach (-8%).
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EU: AB InBev supports European health services in fight against coronavirus
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Global brewer AB InBev has unveiled a package of support for frontline European health services in the fight against coronavirus, The Dinks Business reported on March 23.
Countries including Italy, Europe's worst-hit nation, Spain and France have enforced lockdowns to prevent the spread of Covid-19, which is piling immense pressure on healthcare providers.
In a bid to help, Belgium-based brewer AB InBev is producing 50,000 litres of ready-to-use disinfectant alcohol for European hospitals, using the surplus alcohol from its alcohol-free beers including Juliper 0.0 and Beck's Blue.
This initial run, produced in partnership with KWST and Jodima, will be delivered across the continent and AB InBev has committed to producing and donating more disinfectant alcohol as needed.
It has also produced 26,000 250ml bottles of hand sanitiser which will be given out to pharmacies and frontline workers across Europe.
Jason Warner, president of AB InBev in Europe, said: "Unlike many other products you buy, beer is local - we grow our barley here in Europe and brew it close to source in our breweries, which means we are deeply rooted in our local communities and will do everything we can to help them in these times.
"Turning our efforts from brewing with barley and
...More info on site
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