What happened to all the hops?
A decade-long oversupply of hops that had forced farmers to abandon the crop is finally gone and harvests were down this year. In the United States, where one-fourth of the world's hops are grown, acreage fell 30 per cent between 1995 and 2006.
Supply shortages are estimated between 700 and 1,300 metric tons alpha or approximately 8.6% to 15.5% of the annual worldwide demand due to the poor 2006 European crop. The main djangos that have contributed to this situation are that Europe's 2006 crop was ruined by heavy rains; while Australia's was cut by a severe drought and Canada's was "just average". Slovenia (grower of Styrians) lost at least 1/3 and possibly as much as 1/2 of their crop to a hailstorm. England is almost out of the hop business. Their acreage of 2,400 in 2006 (down from 17,000 in 1976) represents only 2 percent of the worldwide acreage. The Czech crop was down 25% and estimated alphas on Czech Saaz from the 2007 crop are 2.7 - 2.9. The German crop is average at best with earlier aroma hops coming in below normal (such as Hallertau Mittelfruh). New Zealand and Australia crops this year (which arrived in the US in June and July) were normal.
Even though US hops for 2007 was an average crop, a warehouse fire in the US destroyed 110 metric tons alpha. Also, acreage reductions as a result of low prices in the last years and a tendency of most global brewers to rely heavily on the spot market (counter sales) and not on forward contracts have caused growers not to be able to invest in their hop fields and equipment. For 10 years, Northwest farmers grew too many hops. Prices plummeted. Farmers grew less. Local farmers were lured to plant more lucrative crops, such as cherries, apples and grapes, or to sell their land to be built on. Now, with increased beer output, the brewers are in need of hops and a lot of the hop farmers are gone.
- Hop prices have gone up from $5/lb to as high as $61/lb of Cascade,,, if you can find it.
- The price of all commercial beer will be going up next year as they bought under old contacts this year
- Certain varieties are impossible to find so flavours will change.
- West Coast U brew managed to secure a good supply for the rest of this year thanks to Dale!
Due to the shortage we have decided to start a hop farm in Pitt Meadows with my good friend Vladimir. We have secured 1/2 acre of land and we have planted a variety of Northern Brewer, Cascade, Nugget, Goldings, Sterling, Crystal, Mt. Hood, Newport, and of course Willamette. Expect organic and normal fresh hops in 2-3 years. By then we will offer a totally organic brew for you to make!!!!
Dave Harrop