Home brewing in Connecticut Discussions - CT Beer Trail

Tuesday, October 9, 2007

First Gas and Now Beer, Prices on the Rise

Hops and malt, key ingredients in your beer are getting more expensive, and so your next six-pack might be a little more expensive.

Consumers could pay 50 cents to $1 per six pack more in the coming months for many small-batch ''craft beers'' as brewers pass on rising hops and barley costs from an unpalatable brew of poor harvests, the weak dollar and farmers' shift to more profitable crops. Other makers of craft beers, the fastest-growing segment of the U.S. brewing industry, say they may eat the higher ingredient costs, which would pare their profits.

Well that sucks! Russ Klisch is the president of Lake Front Brewery in Milwaukee fears some micro-breweries may not even survive the crisis. I wonder if this effect the prices of home brewing kits and ingredients as well. Anyone have any insight into that?

Steve Kuftinec, sales and operations manager at Uinta Brewing Co. said, "I seriously doubt that there will be any new brewers wanting to get into the industry under these conditions. And we'll probably see some just deciding that with these prices, it's no longer worth it."

The larger beer companies like
Anheuser-Busch use less barley and hops in their beer, hence the weak taste. And they have more buying power than your favorite micro-brew so they can lock in lower prices. In other words, the mass produced lower quality beers will survive, but some of our smaller production favorites might be jeopardy. It was the larger brewing companies that survived the prohibition, smaller craft brewing took years to come back.

Let's all hope this crisis doesn't have the same affect on the industry...

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