10 February, 2021

EU: Malt business trying to adjust to new reality, large malting groups enjoy surprisingly good export demand

Malt business for delivery in 2021 came to halt with the outbreak of the second Covid-19 wave, H. M. Gauger GmbH said in their February report earlier this month.

Beer production and sales dropped sharply, e.g. by 10% in October-December in Germany. As in spring, smaller breweries suffered more than the large groups, although all brewers had adjusted to sales for home consumption instead of beer served at restaurants and bars.

The medium-size and small inland maltsters reacted fast and reduced their productions. The large malting groups in the EU experienced a surprise: a good malt demand from Asia and Africa, and an excellent demand from Brazil. Export business was so good, that virtually all malting groups along the coast and on waterways could continue to produce at full capacity. The official export statistics prove the point.

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