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E-Malt.com Newsletter 49a
November 30 - December 02, 2015
Quote of the Week
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Currency Rates
Base Currency: US Dollar
on December 02, 2015 |
Base Currency: Canadian Dollar
on December 02, 2015 |
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1 USD = 0.9437 EUR
1 USD = 0.6631 GBP
1 USD = 1.3348 CAD
1 USD = 1.3736 AUD
1 USD = 122.9900 JPY
1 USD = 3.8619 BRL
1 USD = 66.2584 RUB
1 USD = 6.3887 CNY
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1 CAD = 0.7491 USD
1 CAD = 0.4967 GBP
1 CAD = 0.7070 EUR
1 CAD = 1.0289 AUD
1 CAD = 92.1300 JPY
1 CAD = 2.8929 BRL
1 CAD = 49.7606 RUB
1 CAD = 4.7857 CNY
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Currency Rates Chart
Equities of the Largest Breweries
USA: Both feed and malting barley markets very quiet at the moment
...Click here
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USA: US Senate to hold hearing into AB InBev-SABMiller deal on December 8
...Click here
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USA, OH: Ohio licenses 579 alcohol manufacturers this year
...Click here
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USA, MI: Rockford Brewing Company at a crossroads regarding expansion
...Click here
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USA, AR: Fossil Cove Brewery increases production capacity
...Click here
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Canada, NB: Mama’s Pub in Fredericton to start serving own beer
...Click here
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USA, VA: New District Brewing Co. on track to open in Arlington
...Click here
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USA, WI: Lion’s Tail Brewing Company to launch soon in Neenah
...Click here
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USA, OH: Plans of new $5 mln brewery in Monroe take another step forward
...Click here
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USA, LA: Cottonport Brewing owners hope to launch it in late January
...Click here
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Canada, AB: Toronto’s Mill Street Brewery confirms intention to open brewpub in Calgary next year
...Click here
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USA, CA: Arts District Brewing preparing to join L.A.’s brewing community
...Click here
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USA, WA: Backwoods Brewing Company moving its brewing facility to larger location
...Click here
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USA, CA: Concord Craft Brewing to ask for approval for a different location
...Click here
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USA, WA: Arlington’s Angel of the Winds Casino opens Washington’s first tribally owned and operated craft brewery
...Click here
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USA, DE: Gary’s Dewey Beach Grill gets permission to install brewing system
...Click here
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China: Beer sales decline blamed on weak economy and unseasonable weather
...Click here
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World: AB InBev may put Peroni and Grolsch brands up for sale within its takeover of SABMiller - sources
...Click here
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China: Competition heats up between China Resources and Tsingtao as beer sales decline
...Click here
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China: China Resources Beer (Holdings) Co. may soon seek advisers in potential purchase of SABMiller’s stake in China Resources Snow Breweries Co. - sources
...Click here
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Australia: AB InBev reported to have held talks with Japan’s Asahi about Carlton & United business
...Click here
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EU: EU barley exports perform better than soft wheat
...Click here
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World: Spain’s Mahou San Miguel has big hopes for Indian and US markets
...Click here
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Malaysia: Carlsberg Brewery Malaysia reports 11.03% rise in Q3 net profit
...Click here
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UK: Barley availability this year forecast 5% higher than in 2014/15
...Click here
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UK: Spring malting barley growers advised to continue to manage risk and lock into contracts
...Click here
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Vietnam: Distributor of Heineken and other import beers beats Sabeco and Habeco in terms of pretax profit
...Click here
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The Netherlands: Heineken successfully places EUR460 mln of 9-year notes
...Click here
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Greece: Competition watchdog fines Heineken’s subsidiary for unfair market practices
...Click here
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Timor-Leste: Heineken to become first world-renowned manufacturer to set up production base in East Timor
...Click here
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India: United Breweries fined for not making disclosures regarding creation and invocation of pledge transactions in shares
...Click here
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Africa: SABMiller launches Carling Blue Label beer across eight countries in Africa
...Click here
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South Africa & Namibia: Diageo, Heineken and the Ohlthaver & List group of companies complete restructuring of joint ventures in South Africa and Namibia
...Click here
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World: Global hop shortage may lead to further varietal exploration of beer’s other key ingredient - malt
...Click here
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Graph of the Week
Table of the Week
Eastern Europe Beer Production by Country 2005 - 2014s
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
These Days in Business History
30 November
1886 - 1st commercially successful AC electric power plant opens, Buffalo
1924 - 1st photo facsimile transmitted across Atlantic by radio (London-NYC)
1983 - Police free kidnapped beer magnate Alfred Heineken in Amsterdam
1998 - Exxon and Mobil sign a US$73.7 billion agreement to merge, thus creating ExxonMobil, the world's largest company
1999 - British Aerospace and Marconi Electronic Systems merge to form BAE Systems, Europe's largest defense contractor and the fourth largest aerospace firm in the world
2005 - First human face transplant is performed in France
01 December
1878 - 1st White House telephone installed
1910 - Continuous moving assembly line introduced by Ford (car every 2:38)
1959 - 1st color photograph of Earth from outer space
02 December
1816 - 1st savings bank in U.S. opens (Philadelphia Savings Fund Society)
1901 - Gillette patents 1st disposable razor
1927 - 1st Model A Fords sold, for $385
Agenda
February 2016:
05-07: Alltech Craft Brews & Food Fair 2016 (Dublin, Ireland)
06-07: Bruges Beer Festival 2016 (Bruges, Belgium)
17-20: Camra's National Winter Ales Festival 2016 (Derby, UK)
19-21: Mondial de la Biere 2016 (Mulhouse, France)
19-21: Finest Spirits 2016 (Munich, Germany)
20-23: Beer Attraction 2016 (Rimini, Italy)
26-28: Brau Kunst Live 2016 (Munich, Germany)
March 2016:
01-03: ProPak Vietnam 2016 (Ho Chi Minh City, Vietnam)
04-06: Barcelona Beer Festival 2016 (Barcelona, Spain)
09-12: Brazilian Beer Festival 2016 (Blumenau, Brazil)
14-18: IBD Asia Pacific Convention 2016 (Sydney, Australia)
16-18: BeerX 2016 (Sheffield, UK)
16-18: Expo Antad & Alimentaria Mexico 2016 (Mexico City, Mexico)
April 2016:
03-07: Trends in Brewing 2016 (Ghent, Belgium)
07-09: Warsaw Beer Festival 2016 (Warsaw, Poland)
23-24: Zythos Beer Festival 2016 (Leuven, Belgium)
May 2016:
03-06: Craft Brewers Conference & BrewExpo America 2016 (Philadelphia, USA)
17-20: Beer (Pivo) 2016 (Sochi, Russia)
19-21: Copenhagen Beer Festival 2016 (Copenhagen, Denmark)
25-29: Latvia Beer Fest 2016 (Riga, Latvia)
June 2016:
08-12: Mondial de la Biere 2016 (Montreal, Canada)
14-16: Shanghai International Brew & Beverage Manufacturing Technology and Equipment 2016 (Shanghai, China)
July 2016:
07-10: Artbeerfest 2016 (Caminha, Portugal)
August 2016:
05-07: The 20th International Berlin Beer Festival (Berlin, Germany)
09-13: The Great British Beer Festival 2016 (London, UK)
13-17: World Brewing Congress 2016 (Denver, USA)
September 2016:
29-01 October: Stockholm Beer & Whisky Festival 2016 (Stockholm, Sweden)
19-03 October: Oktoberfest 2016 (Munich, Germany)
October 2016:
06-08: Stockholm Beer & Whisky Festival 2016 (Stockholm, Sweden)
06-08: Great American Beer Festival 2016 (Denver, USA)
11-14: China Brew, China Beverage 2016 (Shanghai, China)
November 2016:
08-10: Brau Beviale 2016 (Nuremberg, Germany)
December 2016:
15-17: drink technology India 2016 (Mumbai, India)
More events are available on site www.e-malt.com
News Articles
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USA: Both feed and malting barley markets very quiet at the moment
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“The markets for barley, like all of the other grains, is pretty quiet right now,” was the latest assessment of barley market conditions from
...More info on site
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USA: US Senate to hold hearing into AB InBev-SABMiller deal on December 8
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The US Senate late on November 30 said it will hold a hearing next week into the proposed takeover of SABMiller PLC by rival Anheuser-Busch InBev, Alliance News reported.
The Senate Judiciary Committee said its antitrust subcommittee will hold a meeting on the proposed merger of the two largest beer companies in the world on December 8.
AB InBev is acquiring London-listed SABMiller for GBP71.0 billion, creating a combined company which will be responsible for around a third of beers sold globally.
The deal is set to face a significant number of regulatory hurdles, and the pair already have agreed a deal to sell SABMiller's stake in the MillerCoors joint venture in the US to Molson Coors, SABMiller's partner in the joint venture, for USD12.0 billion.
On November 30, the Financial Times also reported AB InBev was considering offloading the Peroni and Grolsch lager brands in order to ease any regulatory concerns about the deal in Europe.
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USA, OH: Ohio licenses 579 alcohol manufacturers this year
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According to the Ohio Division of Liquor Control, the state has licensed 579 alcohol manufacturers — more than double the number of licenses from just five years ago, Columbus Business First reported on November 30.
The biggest chunk of that is wineries, with 232 licenses around the state.
Craft breweries come next with 156, though it should be noted that licenses don’t always equate to single producers since some companies hold multiple licenses, such as Elevator Brewing Co., Four String Brewing Co. and North High Brewing Co., each of which brews at more than one site.
Microdistilleries now number 31 in Ohio based on licenses.
The state agency also said it has approved 29 new craft brewery licenses this year, plus 21 new wineries and four new microdistilleries.
The boom is attributable to changes in state laws several years back. For breweries, the state in 2011 lowered initial license fees and made it easier to open on-site taprooms.
Craft distilling, meanwhile, essentially was capped at only three licenses in the state due to a convoluted law. Some of those limitations also were eased in late 2011 freeing that industry to grow.
Now that both industries are showing their growth, both are hoping for additional legislative changes to
...More info on site
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USA, MI: Rockford Brewing Company at a crossroads regarding expansion
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Three years after launching Rockford Brewing Company Inc., entrepreneurs Seth Rivard and Jeff Sheehan find their craft brewery at a crossroads, MiBiz reported on November 29.
With production maxed out at around 800 barrels, Rockford Brewing needs to find an off-site facility to expand its brewing capacity to keep up with demand in the taproom and from the recent expansion into statewide distribution of its beers.
But that brewery expansion will need to wait as the partners finish up the long-planned addition of a farm-to-table kitchen and a small distillery operation at its taproom located along the Fred Meijer White Pine Trail in downtown Rockford. The kitchen project, which is set to go out for construction bids within the next couple of weeks, will likely double the company’s revenues and should only exacerbate the capacity constraints for Rockford Brewing’s beers, Rivard said.
“It’s going to make the demand for beer go higher,” he said of offering food at the taproom.
Within two years, the company hopes to have an off-site location secured so it can brew and package more of its popular ales, such as the Rogue River Brown, which scored a bronze medal in its style category at this year’s Great American Beer
...More info on site
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USA, AR: Fossil Cove Brewery increases production capacity
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Fossil Cove Brewery Co. of Fayetteville, AR has added new gear to brew more beer, Arkansas Online reported.
The beer maker recently installed two more 20-barrel fermentors, a move that will increase Fossil Cove's output potential by 50 percent. With the new equipment, the company will be able to produce about 2,500 barrels of beer a year. In beer terminology, a barrel holds 31 gallons of brew.
"It sounds like a lot, but we're still a small brewery," said Ben Mills, head brewer and owner of Fossil Cove.
While Fossil Cove may be small, it has seen rapid growth. The brewery opened in the summer of 2012 and had a potential output of only 300 barrels a year. Since then, there have been two other capacity improvements and additions. As a result, the brewery went from a one-man operation to a staff of 10. Another five workers are expected to be added by the end of 2016.
"We distribute ourselves so the more beer we make, the more employees we need," Mills said.
He said with the expanded capacity he can better serve demand from restaurants, bars and liquor stores in Washington County and allow for some expansion into Benton County just to the north.
...More info on site
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Canada, NB: Mama’s Pub in Fredericton to start serving own beer
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The Atlantic Canada Beer Blog reports that a well-established pub on the north side of Fredericton is getting set to launch an on-site brewery.
Mama’s Pub (500 Brookside Dr.) has been open for more than two decades, and will soon be serving its own beer brewed on a 2-barrel system by manager Ryan Kingston with the assistance of consulting brewer Andrew Estabrooks of Picaroons.
Three core brands – American Pale Ale, Brown Ale, and Session IPA – are planned to be on tap by Christmas, with four rotating seasonals to follow in 2016.
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USA, VA: New District Brewing Co. on track to open in Arlington
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With the local craft beer trend on the rise in Arlington, another homegrown brewery is working to open its doors before the new year, ARL now reported on December 1.
New District Brewing Co. — formerly known as Metropole Brewing Company — is on track to open its 2709 S. Oakland Street location by the end of the month. The brewery is off S. Four Mile Run Drive near the Shirlington dog park and the W&OD Trail.
The 5,200 square foot space was formerly home to a moving and storage company. The garage-style building is now in the final stages of being repurposed into a fully-operational brewery with short- and long-term cold storage, a bar with 12 taps, a tasting room with tables and seating, as well as a small retail space.
Though he couldn’t give an exact opening date, co-owner Steve Katrivanos said the small company is now working on the final touches.
“We have a clear vision for what we want to do,” he said. “We’re still developing our brand as we finish up packaging and labeling. Still, we’re pretty confident in a late-December open date.”
Katrivano’s brother, Mike, first had the idea to start a brewery, and rumors of its opening started
...More info on site
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USA, WI: Lion’s Tail Brewing Company to launch soon in Neenah
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At first glance, the former Equitable Reserve Association Building at 116 South Commercial Street in Neenah seems like an unlikely place for a brew pub, the Scene reported on December 1.
“I was looking at some places in Appleton and I didn’t see anything that screamed ‘this is the place,” said Lion’s Tail Brewing Company owner/founder Alex Wenzel. “My friend, Chris Sanders, who owns The Fabric Salon in the building, said you’ve got to come down and see the building. It will take some imagination, but I think it would be an awesome place.”
“The space still had cubicles, dropped ceilings and temporary walls,” Wenzel said, “even though it was unfinished and musty, it was still very cool.”
Wenzel signed the lease last March and began the process of quitting his job as a chemical engineer and plunging headlong into brewing beer.
“It was a safe job with good pay. I was very successful for 15 years,” he said, “but it sucked my soul away. It used to be fun and creative. That, plus I had this growing obsession with brewing beer.”
Friends were his first taste-testers.
“People said I should sell my beer,” Wenzel said “and my wife has been very supportive of me following
...More info on site
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USA, OH: Plans of new $5 mln brewery in Monroe take another step forward
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Plans to build an approximately $5 mln brewery and taproom in Monroe took another step forward last week when city council had its first reading for a property tax abatement for the project, said Jennifer Patterson, assistant to the city manager, Journal News reported on December 1.
Cincinnati craft brewer The Rivertown Brewing Co. revealed plans in early November to expand and build the new site in Butler County.
The city is considering an abatement of 45 percent for five years for the real estate improvements, Patterson said. A second reading of the tax incentive is likely to be held at the Dec. 8 council meeting, she said.
Started in 2009, the brewer known for its sour beers has outgrown its existing space in Lockland faster than anticipated, founder and leader Jason Roeper said.
Construction could start next spring at the proposed Rivertown site, located near the intersection of Salzman Road and Ohio 63 in Butler County. Plans are to build a 31,600-square-foot facility with production, restaurant and bar space, Roeper previously said.
Rivertown Brewing expects to be fully operational in Monroe in 2017, he said.
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USA, LA: Cottonport Brewing owners hope to launch it in late January
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Sounds of construction still fill the air at Cottonport Brewing near Sterlington, Monroe News Star reported on November 27.
The owners — Troy DuGuay Sr., Troy DuGuay II and William Cook — said their opening date is pending approval from the Department of Health & Hospitals and the Louisiana Office of Alcohol and Tobacco Control, but they plan to be open in late January if all goes well.
Cook said they could be the first to open in northeastern Louisiana. Two other local breweries are being developed — Ouachita Brewing Co. and Flying Tiger Brewery are slated to open within the year.
The Cottonport Brewing facilities will offer a taproom and an outdoor beer garden with an area for bands to play outside. The kitchen has a sliding door that can be opened for customers to watch brewing in process. A large, computerized brewing machine along the back wall is the center of activity.
"That machine takes a lot of the stupidity out of it," Cook deadpanned.
The taproom, all three were quick to note, will only sell beer, not hard alcohol, making it different from a bar.
DuGuay Sr. said he's been a homebrewer since 1989, and his partners started more recently.
"We just love
...More info on site
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Canada, AB: Toronto’s Mill Street Brewery confirms intention to open brewpub in Calgary next year
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After a number of unfounded rumours over the past few years, Toronto’s Mill Street Brewery has confirmed that it will be opening a brewpub location in Calgary in 2016, Canadian Beer News reported on November 16.
As reported by Calgary Metro, the new brewpub – the fourth in a chain that includes locations in Toronto’s Distillery District and Pearson Airport, and in Ottawa – will be located in the historic Costigan House at 219 17 Avenue SW, most recently home to Republik Nightclub.
Operating in partnership with Creative Restaurants Group, the Calgary outpost will feature a full scale brewery to be built adjacent to the existing house, which will be “renovated back to its ‘20s-styled ‘glory days'”. Work on the site is underway, with an aim to open in spring 2016.
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USA, CA: Arts District Brewing preparing to join L.A.’s brewing community
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The rejuvenated Arts District is quickly becoming an L.A. hub for craft brewing. And Arts District Brewing, the neighborhood's next major brewery project, is about to open its doors, The Los Angeles Times reported on December 1.
Backed by a L.A. hospitality dream team — Cedd Moses (213 Nightlife Group), Brian Lenzo (founder of Hollywood’s Blue Palms Brewhouse craft beer bar) and Eric Needleman of Spited Group — Arts District Brewing is a restaurant and brewery offering a varied lineup of house beers, a full cocktail program, and a kitchen headed by Neal Fraser (Redbird, Top Chef Masters).
Running the brewhouse is Devon Randall, formerly of San Diego’s Pizza Port brewpub in Solana Beach. Randall is the second woman at the helm of a Los Angeles brewery (after Alexandra Nowell at Three Weavers Brewing Co. in Inglewood), and the brewmaster has been developing recipes for Arts District over the last few months. Her initial offerings cover ground from a light and drinkable golden ale (Mateo) to a dark and luxurious imperial porter (Porter Rico), and of course, a few hop-driven options. Randall says there are not currently plans for a single “flagship” Arts District brew, but rather a rotating selection of styles
...More info on site
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USA, WA: Backwoods Brewing Company moving its brewing facility to larger location
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Backwoods Brewing Company will be moving its brewing facility to the port of Skamania, on the Stevenson, WA waterfront. The move, which will take place in January, 2016 is exclusively for the production side of the company, as the Backwoods Brew Pub will remain at its current location, in Carson, WA, Brewbound.com reported on November 25.
The principal reason for the move is the need for more space. Their current facility in Carson is approximately 2000 sq ft., whereas the new space they’ll be moving into is 8000 sq ft. In addition, the new building will offer higher ceilings (approximately 24 ft), a custom drainage system, and custom electrical. Some of the immediate benefits are the ability to house their own canning line, add taller fermentors, store product more easily and have dedicated offices. The original brewery has been growing beyond the means of the building it currently occupies, and this added space will allow for increased efficiency and higher volume of output.
“We’ve experienced steady growth, especially in the last year, and we need a space that will accommodate that growth, with room for more expansion in the future,” said Kevin Waters, Brewmaster at Backwoods. “Having our own canning line
...More info on site
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USA, CA: Concord Craft Brewing to ask for approval for a different location
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Concord Craft Brewing will reapply to Concord’s zoning board to open in a new location after receiving prior approval on a different space, The Washington Times reported on November 30.
The Concord Monitor reports the brewery was set to open in a former jazz club on the Pleasant Street Extension, but will now move into a site that once housed a furniture and decor designer.
Because the city’s code prohibits the bottling of beverages downtown, owner Dennis Molnar needed approval - which he received for the Pleasant Street Extension space.
Molnar says the previous location was too tight, while the new one offers more space for larger brewing equipment and easier deliveries.
If the Storrs Street site is approved by the zoning board, Molnary says his group will begin the federal and state permitting process.
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USA, WA: Arlington’s Angel of the Winds Casino opens Washington’s first tribally owned and operated craft brewery
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Arlington’s Angel of the Winds Casino, which is owned by the Stillaguamish Tribe, opened Washington’s first tribally owned and operated craft brewery this past week, according to a press release.
Angel’s Tap House Brewery will be brewing its own beer and baking artisan pizzas at its location inside the casino and hotel in Arlington. Former Ellis Island Casino & Brewery head brewer Frank Ellis is Angel’s head brewer.
Angel’s Tap House will have eight beers on tap, including Angel’s Golden Pilsner, Angel’s Tap House Pale Ale, El Diablo Red, Watershed Blonde, Bigfoot Nut Brown Ale, C Hawk Bock, Fallen Angel IPA and Still Water Stout.
“We will have something that appeals to everyone,” said Angel of the Winds Casino and Hotel general manager Travis O’Neil.
According to the press release, Ellis, who started brewing at age 14, has a degree in brewing technology from the Siebel Institute in Chicago and The Doemen’s Academy in Germany.
As executive director of brewery operations at Ellis Island, the brewery was recognized as the No. 1 Large Brew Pub in Nevada from New Brewers Magazine as well as No. 1 Brewery in Nevada Mountain West Region from the National Brewer’s Association.
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USA, DE: Gary’s Dewey Beach Grill gets permission to install brewing system
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Dewey Beach commissioners unanimously approved installation of a small-batch brewing system for Gary’s Dewey Beach Grill during their Nov. 14 meeting, Cape Gazette reported on November 30.
Gary Cannon, restaurant owner, submitted the conditional use application to the town in the spring and received a favorable recommendation from the town planning commission in August.
Cannon said the restaurant, at 2000 Coastal Highway, will not increase patron space. He said he’s been home-brewing for nearly 15 years and this 20-gallon system will enable the restuarant to produce enough quality craft beer for customers.
This is an interest and a passion for us, he said.
Dewey Beach Town Manager Marc Appelbaum supported the approval. He said he gets lots of complaints about a number of restaurants in town, but Gary’s Dewey Beach Grill is never one of them.
Cannon said he also has the support of Dewey Brewing Co., but unlike that establishment, which has a 400-gallon system, there will be no fancy, large stainless steel pieces of equipment for customers to look at. If people are curious, Cannon said he might show them the system, but otherwise it will be closed to the public.
Cannon said the next step is to get approval from the state’s Alcohol
...More info on site
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China: Beer sales decline blamed on weak economy and unseasonable weather
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Beer sales in China dropped 8 per cent by volume in the first half of 2015 from a year earlier, a fall that was
...More info on site
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Brazil: Brazil’s November beer production up 0.47%
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Brazil’s November beer output increased by 0.47% in November as compared to the same month last year, according to preliminary data by Sicobe.
The nation’s
...More info on site
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World: AB InBev may put Peroni and Grolsch brands up for sale within its takeover of SABMiller - sources
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Anheuser-Busch InBev is aiming to head off European regulatory concerns over its proposed £71 bln acquisition of SABMiller by putting the Peroni and Grolsch
...More info on site
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China: Competition heats up between China Resources and Tsingtao as beer sales decline
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Competition is heating up between China's top two breweries. And with the country coming off its first-ever year of declining beer sales, the battle
...More info on site
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China: China Resources Beer (Holdings) Co. may soon seek advisers in potential purchase of SABMiller’s stake in China Resources Snow Breweries Co. - sources
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China Resources Beer (Holdings) Co. will soon ask investment banks to pitch for a role advising on options for its Chinese brewery joint venture
...More info on site
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Australia: AB InBev reported to have held talks with Japan’s Asahi about Carlton & United business
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Anheuser-Busch InBev, the world’s largest brewer, is understood to have held talks with Japanese drinks company Asahi about the Australian Carlton & United business
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EU: EU barley exports perform better than soft wheat
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The EU Commission revealed on November 26 that the lacklustre pace of EU grain exports continued in the week up to November 25th.
Season-to-date
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World: Spain’s Mahou San Miguel has big hopes for Indian and US markets
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The head of Mahou San Miguel's international operations has defended the company's decision to branch out into India, a market where the brewer is
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Malaysia: Carlsberg Brewery Malaysia reports 11.03% rise in Q3 net profit
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Carlsberg Brewery Malaysia Bhd’s net profit grew 11.03% to RM62.49 million or 20.44 per share in the third quarter ended Sept 30, 2015 (3QFY15),
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UK: Barley availability this year forecast 5% higher than in 2014/15
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UK’s barley availability in 2015/16 is forecast 5% higher than last year, at 8.833 mln tonnes, according to the first official estimates made by
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UK: Spring malting barley growers advised to continue to manage risk and lock into contracts
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United Kingdom’s spring malting barley growers should continue to manage risk and maximise opportunities – for example by locking into contracts and growing varieties suited to more than one end market – even though a brighter future is predicted for the crop, Farmer UK reported on December 1.
That is the message from industry experts Stuart Shand of international merchant Gleadell Agriculture, and Samantha Brooke of Syngenta, as growers plan spring cropping for 2016.
It also comes as a new spring malting barley variety, Laureate, is being developed – targeted not only at UK distilling but also at brewing markets both in the UK and overseas.
According to Stuart Shand, while the market for spring malting barley has been challenging in 2015 – with a large harvest and reduced beer demand from some countries – the crop’s long-term picture looks bright.
“Global barley demand is increasing by approximately 3% year on year,” explains Mr Shand, “and UK brewing is forecast to turn around with 1% year on year growth. Also, distilling markets are optimistic with 2% year on year growth.”
Nevertheless, for 2016, Mr Shand believes beer and distilling markets may continue under pressure, with large malt and barley stocks going into harvest and limited
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Vietnam: Distributor of Heineken and other import beers beats Sabeco and Habeco in terms of pretax profit
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Sabeco and Habeco, the two largest Vietnamese breweries, made VND5.3 trillion in pretax profit in 2014. However, the figure was still far below that earned by VBL, the distributor of Heineken, Tiger and Biere-Larue, VietNamNet Bridge reported on November 29.
The Vietnamese beer market is fertile land for beer manufacturers. According to the Vietnam Beverage Association (VBA), Vietnam consumed 3.1 billion litres of beer in 2014, worth $4.56 billion.
The domestic beer market is dominated by three names – Sabeco, a 100 percent Vietnamese owned enterprise which owns Sai Gon Beer and 333 brands; Habeco which owns Ha Noi Beer; and VBL which distributes foreign branded products.
Sabeco has been leading the domestic market for many years. With revenue of VND30 trillion in 2014, it could not be outstripped by any other manufacturer. The company made a high jump in the last four years with the double growth rate.
Euromonitor, in its report released in 2014, put Sabeco on the first position in the list of the breweries with the market share of 46 percent.
An analyst noted that Sabeco enjoys many great advantages. First, it sells products with prices affordable to the majority of Vietnamese and the taste suitable to the majority of consumers
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The Netherlands: Heineken successfully places EUR460 mln of 9-year notes
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Heineken N.V. on December 1 announced that it has successfully placed 9-year Notes with a coupon of 1.5% for a principal amount of €460 million. This amount was increased from the initial announcement of €400 mln due to the strong investor demand and brings the total volume of Heineken debt maturing in 2024 close to €1 bln.
The Notes will be issued under the Company's Euro Medium Term Note Programme and will be listed on the Luxembourg Stock Exchange.
The proceeds from the Note issuance will be used for general corporate purposes.
BNP Paribas, Deutsche Bank, HSBC and JP Morgan acted as book runners and Banca IMI, Crédit Agricole, MUFG, Rabobank and Santander as co-managers.
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Greece: Competition watchdog fines Heineken’s subsidiary for unfair market practices
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Greece’s state competition watchdog on December 1 imposed a 31.5-million-euro ($33.5-million) fine on the country's main beer distributor Athenian Brewery, a Heineken subsidiary, over unfair market practices, ekathimerini.com reported.
The watchdog said Athenian Brewery had a “long-running” and “targeted” policy to squeeze out competitors by imposing exclusivity clauses on retailers in return for credit facilitation or price incentives.
The company immediately branded the ruling “unfair” and pledged to contest it in court.
“Athenian Brewery categorically denies the commission's claims, it considers the decision unfair and baseless and states that it will immediately seek recourse to justice,” it said in a statement.
Athenian Brewery added that though the competition commission's investigation lasted 15 years, it failed to take into account that the Greek beer market had expanded from five players in 2000 to over 25 in 2014.
“(Our company's) market share fell from 73 percent in 2000 to around 50 percent today. These facts prove in the clearest manner that the Greek beer market is free and open to competition,” it said.
One of Athenian Brewery's main competitors, Macedonian Thrace Brewery in northern Greece, last month noted the Greek market was still dominated by Amsterdam-based Heineken and Danish brewer Carlsberg “to the detriment of locally owned breweries,
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Timor-Leste: Heineken to become first world-renowned manufacturer to set up production base in East Timor
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Dutch beer giant Heineken is set to become the first world-renowned manufacturer to set up a production base in East Timor, a small Southeast Asian nation formally known as Timor-Leste, Nikkei-Asian Review reported on December 1.
Heineken's move comes at a time when East Timor, the first country to gain independence in the 21st century, is becoming increasingly thirsty for foreign investment to achieve self-sustaining economic growth.
Heineken will start producing the first local brand beer and other beverages in the country at the end of 2016.
Demand for beverages is expected to grow in East Timor as the country has a very young population as well as a subtropical climate. Roughly half the country's population is 15 years old or younger.
The government has taken various drastic measures to improve its investment climate. The country now has the potential to become a hub for exports to its populous northern neighbor, Indonesia, and also to its wealthy southern neighbor, Australia.
Heineken will this month begin piling work for building a beverage plant in the Hera district near the capital, Dili. The $40 million plant will produce beer and soft drinks. Prefabricated structures are being built and assembled in China and are scheduled to arrive on
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India: United Breweries fined for not making disclosures regarding creation and invocation of pledge transactions in shares
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Capital markets regulator Sebi on November 27 slapped a fine of Rs 15 lakh on United Breweries (Holding) Ltd for not making disclosures regarding creation and invocation of certain pledge transactions in shares of United Spirits, Daily News & Analysis reported.
The regulator said United Breweries Holding, as promoter of United Spirits, did not make disclosures in total four transactions related to 'invocation of pledge' that took place on February 15, 2012 and March 24, 26 of 2012.
It also failed to make disclosures regarding the 'creation of pledges' that took place on March 26, 2012.
Accordingly, Securities and Exchange Board of India (Sebi) has imposed "a penalty of Rs 15 lakh... on United Breweries (Holding) Ltd."
However, the regulator has let off Kingfisher Finvest India without levying any penalty as the company had made the disclosure pertaining to release of 10,000 pledge shares with a delay of just one day.
Further, efforts were made by the company to dispatch the required disclosures to all the three stock exchanges before the due date. Even though it reached to NSE and BSE with mere one day delay, but it reached to Bangalore stock exchange on the due date itself.
"... no repetitive nature of irregularities were shown
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Africa: SABMiller launches Carling Blue Label beer across eight countries in Africa
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Behemoth SABMiller this week launched its premium Carling Blue Label beer across eight countries simultaneously, AllAfrica reported on November 27.
Speaking to members of the press during a low-key event at its premises in Namibia on November 26, its National Trade Marketing Manager, Linda Buckingham said, "This will be an inaugural One Africa launch and Carling Blue Label Beer will be launched in South Africa, Namibia, Botswana, Zimbabwe, Zambia, Lesotho, Swaziland and Mozambique." Carling Blue Label, she explained, would be a classic premium lager beer and thus fell in the local premium category. The beer she said would have a six month shelf life and was not a promotional product but a permanent pack.
According to her, Carling Blue is made from a specially chosen single variety of barley malt. Describing its taste, Buckingham said, "This single malt Carling Blue Label beer captures a rich malty and depth of flavour overall character.
“The recipe, as designed by our master brewers still underpins the drinkability and all round flavour balance to ensure a special beer drinking experience, full of flavour."
In comparison to Carling Black, Carling Blue's alcohol by volume comes in at 5%.
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South Africa & Namibia: Diageo, Heineken and the Ohlthaver & List group of companies complete restructuring of joint ventures in South Africa and Namibia
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Diageo announced on December 1 announced that, together with Heineken and the Ohlthaver & List group of companies, they have completed the restructuring of their respective joint venture operations in South Africa and Namibia.
Diageo has received a total net cash consideration of circa ZAR 2.5 billion (c. £117 million) for the equity and debt positions Diageo sold in Sedibeng, the brewery in South Africa. Diageo and Heineken previously operated in SA through a joint venture in SA called Diageo Heineken and Namibia Breweries.
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World: Global hop shortage may lead to further varietal exploration of beer’s other key ingredient - malt
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The global hop shortage will necessarily drive further varietal exploration of beer’s other key ingredients, an American brewer has predicted.
Craft Brew Alliance — owner of Portland’s Widmer Bros, Seattle’s Redhook and Hawaii’s Kona — has been impacted by the hop shortage in spite of its long-term contracts with suppliers, head of innovation brewing, Ben Dobler, told Australian Brews News.
“We’ve had contracts for years on Simcoe and that hop’s becoming wildly difficult for us to get, so some recipes are going to have to change,” he said.
Dobler said maltsters can keep up with demand more readily than hop producers, which cannot increase their acreage exponentially as craft beer production continues to ramp up.
“We’re going to start to see the vendors on the malt side start to produce boutique malts,” he tipped.
He said the result would be conversations about the interplay of different malt varietals and the esters they produce when used with a particular yeast.
“I really do think that that’s the evolution,” he said.
Meanwhile, Dobler said American brewers now have the ability to produce more traditional, understated beer styles than have been trending in the US in recent years.
“Brewers are getting more talented, they don’t need to hide behind a tonne
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