E-Malt.com News article: United States: Midwestern brewers and Wisconsin hops and barley farmers join forces to produce local beer

Midwestern craft brewers and Wisconsin farmers have joined forces to create a cooperative that will provide local ingredients to produce local beer, Leader-Telegram posted on March, 31.

The co-op's nine breweries, six barley growers and a growing legion of small-acreage hops farms are signing onto the new Midwest Hops and Barley Co-op.

In fact, one co-op member, Sand Creek Brewing Co. of Black River Falls, already is malting barley harvested in Wisconsin last year.

"It's exciting. We're definitely all about helping out local businesses because we're local. We try to buy local whenever we can," said Jim Wiesender, a Sand Creek owner.

Brewers are seeking a reliable supply of affordable quality hops and barley, given recent shortages, said Jon Reynolds of La Crosse, co-op coordinator. Brewers say local products give them an edge on the competition.

"I think (hops) pricing caused this co-op to emerge," he said.

A 2008 hops shortage was brought on by several factors, including a decade long supply glut, poor growing conditions in the U.S. and Europe and a warehouse fire in October 2006 that destroyed about 4 percent of the total U.S. harvest.

Higher corn prices in recent years has meant Western farmers grew fewer acres of barley.

Consequently, brewers saw increased supply costs, which were passed on to consumers.

Despite a $7,000-plus per acre startup cost, nine Wisconsin farmers have signed up to grow 16 varieties of hops.

According to the co-op's initial agreement, brewers will supply the seed money to purchase hops rhizomes while growers will buy trellising systems.

Sand Creek's One-Planet Ale already uses Wisconsin-grown rye, oats and wheat, said sales manager Mark Knoebl.

Wiesender is hoping to produce a beer made with all-Wisconsin products, including grain and even a Wisconsin-made bottle. "If all goes well, there'll be one out there next year," Wiesender said.

Brewers said they will have to fulfil existing supply contracts before committing to more co-op ingredients.

Wisconsin's total hops acreage could increase to 2,000 to 4,000 acres, which is more than enough to supply co-op members' needs, said James Altwies, a horticulturist for Gorst Valley Hops in Mazomanie.

Although Gorst Valley won't grow hops for the co-op, it has drying and pelletizing equipment it plans to make available to the co-op's growers.

"The interest (in growing hops) is definitely there," he said.

Altwies has been teaching farmers how to turn a small percentage of their acreage into a hops plantation. He had to schedule an overflow hops growing workshop for May 30 because his March 14 workshop sold out.

The co-op's foundations began two years ago through the 29-member Wisconsin Brewers Guild, but it operates outside the guild. Other breweries soon may join the co-op, Reynolds said.

"I'd love to get all of the Wisconsin Brewers Guild members in," he said.

South Shore Brewery owner Bo Belanger said locally grown ingredients will set his products apart in an increasingly competitive marketplace.

Belanger and a neighbor grew 140,000 pounds of barley last year, more than enough to meet the 80,000 to 100,000 pounds of base malt his brewery uses.

Todd Huffman of La Crosse plans to put in 100 plants on his 40-acre farm this spring. "I think it's important to start small," he said.

In the late 1800s, Wisconsin was the nation's brewing capital, and hops and barley growers supplied brewing giants such as Pabst. Hops growing has shifted to the Pacific Northwest, and most of the nation's barley is planted in Western states.

Altwies said given craft beer's current market share of 12 percent and growing, the prospect of continuing demand for locally grown Wisconsin hops remains strong.


03 April, 2009