Beer consumption in Germany resumed in the first half of the year after the sober period of Covid-19, but the specter of a gas supply disruption now hangs over breweries fearing production disruptions.
The food industry is, after the chemical industry, the most gas-intensive sector, used in particular during malting, the first step in the manufacture of alcoholic beverages. After the drastic fall in consumption during the health crisis, the demand for beer recovered: Germans drank 3.6 billion liters between January and June, an increase of 6.4% in one year. But exports fell 19%, causing a 3.8% drop in the sector’s sales, according to the Destatis Federal Institute of Statistics.
A few days before the Beer Day that will take place on Friday, the German statistics institute Destatis has released production figures. And the results clearly highlight the rise of non-alcoholic beer, whose production has increased by 74% in ten years along the Rhine.
“Crisis Mode”
Compared to 2019, before the impact of the pandemic, German breweries sold 5.5% less in the first half. “The brewing industry continues to work in crisis mode,” warns Holger Eichele, president of the brewers’ federation. Now it is “impossible” to replace gas as the main source of energy and the magnitude of the energy shock “is not yet estimable,” he adds.
Several breweries have already raised their prices in response to rising production costs in pre-war Ukraine. Since the Russian invasion, the prices of various raw materials, starting with cereals, have skyrocketed again. Suppliers to breweries whose production also relies on gas are also suffering, starting with glass bottle makers.
Source: BFM TV