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So, Your Ingredient Costs are Doubling...

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  • #16
    Asm

    Does anyone know why Muntons stopped distributing American Pale Malt? Crosby and Baker told me they went to put in an order and Muntons told them they stopped production and offered no other explanation.

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    • #17
      I'd love to raise my price, I retail for 7.99/6pack which is the going rate for local beer around my neighborhood. I'm waiting for the first one to go up and I'll follow suit a day later.

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      • #18
        Why wait be a leader. on average a 20 BBl batch run's 400+$'s and with the new price increase's a 20 BBl batch will run 750+$'s. Can we say 11+$ 6 pack's January first.
        Mike Hall

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        • #19
          EU changes laws in Fall 08

          Just read this morning: the head of EU Agriculture has decided to allow farmers in the EU to use their entire land for growing grain. Up until yesterday, farmers were required to NOT plant 10% of their crop land. Experts are expecting approximatley an additional 10 million tons of grain on the market next year.

          This is, of course, more so to go with industrial grains as with brewing malt. Nonetheless, due to increased prices in brewing malt, I could imagine that by next year the prices of european malts will head back to a "normal" level.

          Prosit

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          • #20
            Ingredient costs

            Sir:

            I am afraid that the cost of brewing beer is going to take a very nasty turn for the the worse in the near future. We are being quoted rediculously high numbers for malt for the upcoming calendar year. I won't give numbers because everyone is working on adifferent contract schedule but we are looking at a 50% increase. I have heard of 100% increases. It is going to be a lot tougher to keep the cost of goods under control. Perhaps we should look at contract malting through an independent to save some money.
            The discussions will defenitely have to come around to brewhouse effeciencies. We have to be able to establish 1 to 2% more yield above what we are doing now.
            Unfortunately, the ideal of making the best beer in the world will be tempered by a more aggressive cost accounting towards brewing. Reduction in production losses will be critical.
            Other than that it will be great tob a brewer.

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            • #21
              Last year we were buying our malting barley for 7.00/ a 100. or to make it simple : 50 Pounds for $3.50 (Metcalf 2-Row), This year it is now $6.25 for 50 pounds.
              Depending on geographical area add an additional 20% - 30%, if we have a harsh cold beginning to the winter months.

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              • #22
                Last year we were buying our malting barley for 7.00/ a 100. or to make it simple : 50 Pounds for $3.50 (Metcalf 2-Row), This year it is now $6.25 for 50 pounds.
                I take it that is for raw 2-row.

                In UK Muntons has just given us price hike of nearly 40% for crushed grain. To be reviewed in December.

                One other problem here in addition to poor harvests is that farmers are now getting subsidies to grow crops for use as bio-diesel and are turning field over to growing crops other than barley.

                This will add less than £0.02 to a pint so gonna have to swallow this for now.

                Still, there are no bean counters in my brewery yet!

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                • #23
                  Malt and hop pricing

                  My bulk grain increased 51 % under contrat for 2008. Thats not a real problem. Hop prices have increased from $3.15 per pound to $19.95 pound if supply last. $14.95 a six pack for Barley Wine? The question is not the price are you going to get any. Hop Union predicts some breweries will not get any hops.I see a lot of capital investment in the brewing business being postponed until the hop issue is resloved.why expand your brewery if you cann't get hops to brew more beer? Sad situation indeed.If the price of beer goes to high will our customers switch to another beverage?
                  Last edited by dicksbeer; 10-15-2007, 01:19 PM.

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                  • #24
                    Am I the only one not hearing the same price increase as Dicksbeer mention? I'm only expecting 25% on malt and 50% or so for hops? Maybe I should give my suppliers another call.

                    I wouldn't mind getting 14.95 for a 6 of BW. How come no one has started to raise prices yet or have I not seem them yet?

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                    • #25
                      Well I just checked malt yeah its 50% percent more. Being a contract brewer I dont pay as close attention as possible.

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                      • #26
                        I'm just in construction on my first brewery that I'm working to open in January of 2008. It seems like every bad thing that could happen is happening as far as materials goes-- first with the price of stainless, then the price and availability of glass, and now hops and malt. Luckily I was able to procure enough hops for my first ~1000 bbl from the 2006 harvest at a reasonable price. I plan to contract for the 2008 harvest as soon as I can (I'm told the first of the year). As for malt, I've been told the supply issues are not as bad as hops, so I'm taking it one order at a time. I'll be using domestic malt since quality and price of European malt is not favorable at this time. I'll probably look to contract grain once I get a better idea of how much beer I'll be making.

                        Good luck to everyone. For those who can't get hops, don't rule out other bittering plants/herbs (wormwood, tea tannin, heather, etc.). I know I'll be looking at some of these just in case!

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                        • #27
                          Tea Tannin

                          PMR -

                          What do you mean by tea tannin - never heard of this in beer.

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                          • #28
                            DancingCamel: Just an idea at providing bitterness through tannins-- not a traditional ingredient in beer. You'd probably want to use it for a portion of bittering in conjunction with bittering hops. Just thinking outside of the box!

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