[IBU] Trouble Brewing For Small Beer Makers

[Becker, Steven]

Trouble Brewing For Small Beer Makers
http://www.manufacturing.net/Small-Beer-Makers-Feeling-Squeeze.aspx?menu
id=36

Manufacturing.Net - October 15, 2007

LITTLE ROCK, Arkansas (AP) - There's trouble brewing for small beer
makers across the country.
 
The price of hops and barley - two of the essential ingredients in
brewing - continues to rise, as do the costs of shipping and bottling.
That means those looking forward to libation with craft beers likely
will see their favorite brands rise in cost.
 
''We'll watch the market, and we'll try to move along with the market,''
said Russ Melton, one of the owners of Little Rock's Diamond Bear
Brewing Co. ''We'll keep ourselves competitive.''
 
Steve Mazylewski - brewmaster for the Hog Haus Brewing Co. in
Fayetteville, Ark., since August - said he was shocked when he called to
reorder hops last month, only to find out they weren't available.
Yakima, Wash.-based Hopunion CBS LLC, a big international supplier of
hops, wasn't able to fill his order.
 
The reasons include storms, increased beer brewing in foreign countries
as well as more domestic interest in craft beers, Mazylewski said. Some
farmers also abandoned growing hops and barley crops after a glut in the
market.
 
Melton said Diamond Bear's sales have been growing 25 to 30 percent each
year since its September 2000 opening. Last year, the brewery produced
2,000 barrels, or about 27,500 cases, of beer. This year, it expects to
make 2,100 barrels.
 
Robert Kort, Diamond Bear's brewmaster, said the company has bought
enough barley and hops in bulk that the brewery doesn't have to worry
yet. The company plans on waiting until next year to start adjusting the
prices in line with the market. Mazylewski said prices for a pint of
beer at the Hog Haus could rise 25 cents.
 
He said brewers who don't have hops contracts or who want to start a new
business are out of luck.
 
''Owners of breweries out in Portland (Ore.), grown men, are almost on
the verge of tears,'' Mazylewski said. ''That's how dire it really is
for us.''
 

Thank you.  

Steven Becker 

Pioneer Hi-Bred International 

A DuPont Company 

7200 NW 62nd Ave.

P.O. Box 184

Johnston, IA 50131-0184

515-270-3425 

steven.becker at pioneer.com 

www.pioneer.com <http://www.pioneer.com/>  

 

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