11 April, 2021

World: Beer sales reduced drastically by Covid but longer term forecast for malt sector is encouraging

The corona pandemic has reduced EU beer sales drastically. The losses in Germany are probably typical for most of the EU, as the third Covid wave is distorting public life, H. M. Gauger GmbH said in their April report.

Most large brewers have adjusted their distribution from on- to off-premise, but small breweries suffer badly from the loss of the hospitality sector.

The U.S. sold more beer in the first months of 2021, but 10 - 15% were not really beer, but hard seltzer without any malt. China’s economic recovery is reflected in the rebirth of their beer market, a hopeful sign for the rest of the world in after-corona times. Brazil is also reported to do very well. So must do other countries in Latin America, Asia and Africa, as shown by the good malt export numbers of the EU, Australia and Canada.

The longer term forecast for the malt sector is encouraging, a larger world population, higher incomes, larger beer sales, a larger malt use by the brewers, especially more pure malt and craft beer. Optimists forecast an immediate beer boom, when the crisis ends and normal life returns.

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