Comments on: Be happy somebody’s looking out for our hops http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/ Mon, 21 May 2012 11:46:32 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Beer Answer Guy http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/comment-page-1/#comment-85252 Beer Answer Guy Tue, 25 Dec 2007 06:14:35 +0000 http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/#comment-85252 I have also been reading that many farmers who have grown hops in the past are switching to growing corn. Why would they do that? The answer is that they can make more money now that ethanol is becoming more and more popular. Its pure economics. Eventually the price of hops will rise to a point where it becomes profitable again.. until then it may pay to do a little more home brewing with hop pellets. Rich I have also been reading that many farmers who have grown hops in the past are switching to growing corn. Why would they do that?

The answer is that they can make more money now that ethanol is becoming more and more popular. Its pure economics.

Eventually the price of hops will rise to a point where it becomes profitable again.. until then it may pay to do a little more home brewing with hop pellets.

Rich

]]> By: Stan Hieronymus http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/comment-page-1/#comment-59488 Stan Hieronymus Mon, 05 Nov 2007 21:44:24 +0000 http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/#comment-59488 Cynical? I think you are right on all counts. Malt is a bigger factor in the price equation than hops - though hops seem to be getting more attention, probably a combination of sounding sexier to headline writers and the fact some smaller brewers are out of some varieties. Cynical? I think you are right on all counts.

Malt is a bigger factor in the price equation than hops – though hops seem to be getting more attention, probably a combination of sounding sexier to headline writers and the fact some smaller brewers are out of some varieties.

]]> By: Stephen Beaumont http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/comment-page-1/#comment-59363 Stephen Beaumont Mon, 05 Nov 2007 13:31:12 +0000 http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/#comment-59363 Is it not possible that hop prices are, in fact, merely rising to the level at which the commodity becomes a viable crop? And is it not also possible that the principle issue at hand is not one of price, but of supply (as I believe Ralph implies)? And finally, just to complete my cynical trifecta, is it not also true that ingredient costs constitute a relatively small portion of the retail cost of a beer, dwarfed as they are by capital costs, packaging, transportation and distribution chain mark-ups? Is it not possible that hop prices are, in fact, merely rising to the level at which the commodity becomes a viable crop? And is it not also possible that the principle issue at hand is not one of price, but of supply (as I believe Ralph implies)? And finally, just to complete my cynical trifecta, is it not also true that ingredient costs constitute a relatively small portion of the retail cost of a beer, dwarfed as they are by capital costs, packaging, transportation and distribution chain mark-ups?

]]> By: Todd http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/comment-page-1/#comment-58992 Todd Sun, 04 Nov 2007 15:51:44 +0000 http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/#comment-58992 Thanks for the updates Stan, I sure wish I would've heard Ralph's talk. Not all hops grow above the "peach line"- thankfully. New plants, new turf, new inspirations. Hopefully not too many new problems. Is this just the perfect storm to inspire new hopyards in new places, or am I just dreaming? A day late and a dollar short? Which would be more expensive to build and which would return more profitable revenues, a malting plant or a biodiesel plant? Which one would use more water? Will beer return more $ than fuel in our coming future? Would our current maltsters switch to biodiesel production instead of beer? Thanks for the updates Stan, I sure wish I would’ve heard Ralph’s talk.

Not all hops grow above the “peach line”- thankfully. New plants, new turf, new inspirations. Hopefully not too many new problems.

Is this just the perfect storm to inspire new hopyards in new places, or am I just dreaming? A day late and a dollar short?

Which would be more expensive to build and which would return more profitable revenues, a malting plant or a biodiesel plant? Which one would use more water? Will beer return more $ than fuel in our coming future?
Would our current maltsters switch to biodiesel production instead of beer?

]]> By: Stan Hieronymus http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/comment-page-1/#comment-58971 Stan Hieronymus Sun, 04 Nov 2007 14:20:13 +0000 http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/#comment-58971 Alan, kinda randomly presented: - The storage facility fire last year amounted to less than 1% of a hop crop. Not the reason for this year's troubles. - Hops acreage has been going down longterm. 236,000 in 1992, 203,000 in 1996, 113,000 in 2006. Farmers have been getting out of the business because it doesn't pay. - There are only some regions where you can grow hops, and there's a pecking order within them. There are many reasons the center of hops production in the US went from NY to Wisconsin to Northern California to the Northwest. - Same with barley for malt. The EU dominates global malt trade (55%), while Canada is second (13%). You might want to learn more about the Canadian Wheat Board. Ward explained how its practices make is harder on the farmers, but I kinda zoned out during that. I love the idea of beer being grown locally, but there are roadblocks beyond the fact (in the case of hops) that farmers are abandoning the crop. You need tools (such as hop pickers) and production facilities. Again, because of the poor return on investment, maltsters are not building the production facilities needed, and at least four to five new large expensive plants are needed in the next 5 years if malt production is to keep up with beer demand. Alan, kinda randomly presented:

- The storage facility fire last year amounted to less than 1% of a hop crop. Not the reason for this year’s troubles.
- Hops acreage has been going down longterm. 236,000 in 1992, 203,000 in 1996, 113,000 in 2006. Farmers have been getting out of the business because it doesn’t pay.
- There are only some regions where you can grow hops, and there’s a pecking order within them. There are many reasons the center of hops production in the US went from NY to Wisconsin to Northern California to the Northwest.
- Same with barley for malt. The EU dominates global malt trade (55%), while Canada is second (13%). You might want to learn more about the Canadian Wheat Board. Ward explained how its practices make is harder on the farmers, but I kinda zoned out during that.

I love the idea of beer being grown locally, but there are roadblocks beyond the fact (in the case of hops) that farmers are abandoning the crop.

You need tools (such as hop pickers) and production facilities. Again, because of the poor return on investment, maltsters are not building the production facilities needed, and at least four to five new large expensive plants are needed in the next 5 years if malt production is to keep up with beer demand.

]]> By: Alan http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/comment-page-1/#comment-58772 Alan Sat, 03 Nov 2007 21:27:11 +0000 http://appellationbeer.com/blog/be-happy-somebodys-looking-out-for-our-hops/#comment-58772 Is it that hops are really cheap or production was cut back for ten years and a storage facility burned leading to this crisis? I've already told one craft brewer of my acquaintance to start asking local CNY farmers grow the damn stuff for them. Supply needs to be increased. Prices will fall again. Same with barley. The great thing is both are marginal crops that grown above "the peach line". Good news for the bits of Canada that can't really pull off a reliable corn crop. Is it that hops are really cheap or production was cut back for ten years and a storage facility burned leading to this crisis? I’ve already told one craft brewer of my acquaintance to start asking local CNY farmers grow the damn stuff for them. Supply needs to be increased. Prices will fall again. Same with barley. The great thing is both are marginal crops that grown above “the peach line”. Good news for the bits of Canada that can’t really pull off a reliable corn crop.

]]>