It’s official: imports had one slam-bang qtr. As estimated, imports up 810,000 bbls, 14.8% with Mexican shipments (+610,000 bbls, +25%) leading the way. Dutch, Canadian, German and UK shipments each up 7-8%. Big gains too from Belgium (+59%), Czech Republic (+34%) and Italy (+48%). Lagging: Irish (-15%) and Chinese (-4%) shipments.
Craft brewers keepin’ pace. Boston reported shipments up 14% and STRs jumped 18%. What’s more, “orders in hand suggest that core shipments” for 2d qtr runnin’ up 17%. All of Boston’s core products up double-digits except Sam Lager. Boston also closer to pullin’ trigger on $70-$90 mil investment for new brewery in hometown area. Planned starting capacity: 700,000-1 mil bbls. Boston got hit by higher-than-anticipated costs in 1st qtr. So operating income took a 60% hit even while volume took off. But Boston “believes” ongoing volume growth will defray cost pressures for the yr.
At Pyramid, volume jumped 15% in 1st qtr and it cut operating loss in half, but faces challenging comps in 2d qtr. Redhook reported volume up 18%, but that includes contract production for Widmer. Redhook-only volume up about 10%. Brewers Assn expects to report double-digit growth for craft brewers in 1st half, director Paul Gatza told IN-SIGHTS:“Everything I hear anecdotally is that growth continues to accelerate.” Unlike in past, when craft picture mixed with some gaining, some holding, some losing, Paul’s not hearing of anyone takin’ a loss so far this year. And it ain’t just Boston expanding capacity. So are New Belgium, Sierra, Alaska, Dogfish Head, New Glarus and others.
Early 2d-qtr data shows imports still cooking at +11% in supers for 4 weeks thru Apr 23,. IRI reports. Craft segment up 12%. That ain’t all. Avg prices for imports up 44 cents/case this period, +1.7%. Craft pricing even healthier: +89 cents/case, 3.4%. Every top 10 import up except Labatt Blue, with Heineken and Modelo Especial flyin’ in most recent periods, each up 20%+. Heineken Light grabbed 0.5 share of all $$ in supers for 4 wks thru Apr 23 (2.2 share of import $$), tho only in stores for 3+ wks. All top craft brands up too, except Redhook ESB. Biggest % gainers among top 10: Shiner Bock, Sam’s Seasonal, Pyramid Hefe and Deschutes Mirror Pond.
Happy Hi-End News Continues: Imports Came In +15% in 1st Qtr; Boston Depletions +18%, Etc
Publishing Info
- Newsletter: Beer Marketer's INSIGHTS
- Published: 05/21/2006
- Volume: 37
- Issue #: 10