The Hop Market and the Latest Hop Product Developments

Alicia Muñoz Insa

December, 7th 2016

Crop 2015

Disaster Crop in Central Europe:§ Dramatic deficit with fine aroma varieties (Saaz,

Spalter Select)§ Strong deficit with aroma varieties (Perle, Tradition)Average Crop in USA:§ Not in line with pace of craft sector growth (IPAs!)§ Disappointing crop with some flavour varieties

(Centennial, Chinook)Disaster Crop Australia (Galaxy)

§ Reduction of stocks of high alpha hops which accumulated during the last years

§ Reduction of the contracted volumes (Saaz)§ Some varieties not available in the spot market

Hop Production

World Acreage and Crop Yield

57,29756,747

52,030

48,579

47,06746,351

48,048

51,714

111,175113,670

99,899 100,638

89,147

83,373

96,838

87,070

2008 2009 2010 2011 2012 2013 2014 2015

Anbaufläche in ha Erntemenge in t

2016: + 3.661 ha

55.375

110.000 to

Acreage in ha Crop quantity in t

18,598

4,783

1,484 1,490

21,556

2,000 545

910 4,009

Germany

Czech Rep.

Slovenia

Poland

USA

China

Australia

England

Others

Germany

Main Growing Countries 2016

Hectars

USA and Germany represent 72.5% of the worldwide hectarage

USA

World Production Trends

US: 93.0 DE: 81.3

222.5

250.6

192.8

227.7

0

20

40

60

80

100

120

140

160

180

200

220

240

260

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Lbs (

mill

ion)

US DE World

US Acreage Trends (PNW only)

31%

78%

69%

22%

29,785

43,633

51,115

0

10,000

20,000

30,000

40,000

50,000

60,000

2009 2010 2011 2012 2013 2014 2015 2016 2017

Acre

s

Aroma High Alpha Total US Germany

§ Trending toward 55k in next few years§ Dramatic shift from alpha to aroma continues

US Variety Trends

• Alpha varieties losing significant share• Aroma/proprietary varieties on upswing

14%

10%

9%

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000Ac

res

2012 2013 2014 2015 2016

Crop 2016

Important increase in acreage:

Germany: +4%:Herkules: +18%Flavour hops: up to +67% (Mandarina Bavaria)Perle: -3%

USA: +17%Cascade: +8.5%Centennial: +14%Various Flavour: +40 – 50% (Citra, Mosaic, Chinook)CTZ: -16%

Harvested volumes seems to be fine / all contracts could be fulfilledMost varieties on spot market except Tettnanger, Saphir and SelectAlpha content seems to be in average, only late harvest varieties shows firstbelow average alpha acids

Innovative Brews

Try other varieties to substitute

What To Do Now

Now is the time to…

Try Other Varieties

Chinook Galaxy

1. Selection of hop varieties according to the sensory profile§ There is no substitution for a hop variety à blend

2. Analysis of samples

3. Brewing trials and/or dry hopping in situ

4. Large scale brewing trials

Look for blends

Try other varieties to substitute

What To Do Now

Now is the time to…

Amarillo Replacement – Yellow Sub

This composition turns a fine and excellent hop aroma into a sweet, fruity Flamenco of apricot and orange, with a hint of blackberries, which makes your beer irresistible.

α-acid: 5-9%Oil content: 1-2 mL/100 g

T’n’T

Barth Composition T‘n‘T

Hop Aroma and Taste in the Beer:

§ Passion fruit

§ Orange juice

§ Retsina wine

§ Black Currant

§ Green Fruits

Hop alpha content: 10 – 15%Hop oil content: 1.0 – 1.4 mL/100g

Fantasia

Barth Composition Fantasia

Hop Aroma and Taste in the Beer:

§ Apricot juice

§ Red pepper

§ Sweets

§ Raspberry

Hop alpha content: 4 – 8%Hop oil content: 0.8 – 1.2 mL/100g

Look for blends

Look for different products

Try other varieties to substitute

What To Do Now

Now is the time to…

Tetrahop Gold

Hop Product Family

Cones

Pellets Type 45

Pellets Type 90

Isomerised Pellets

CO2

Extract

Isomerised Kettle Extract (IKE)

BetaStab

HopAid Antifoam

Isohop

Redihop

Hexahop Gold Hexahop 95PHAs, ELEVATE

& N. AdditionsEmulsions

Base Extract

Aroma Hop OE

Hop Oil

Veg. Matter

Polyphenols + Veg. Matter

β-acids + Oils + Fat & Waxesiso-α-acids

β-acids Oils, Fats & Waxes

Bittering Aroma

OilsFats & Waxes

Bittering Alternatives

A concentrated hop product prepared from hop pellets and containing alpha acid, beta acid and essential oil of hops§ Product is very stable and homogenous§ Utilisation in brewing similar to pellets and higher than

cone hops§ Reduced levels of undesirables, particularly inorganic

compounds i.e. nitrates and some pesticides

CO2 Extract

Improve utilisation by replacing kettle hops or to adjust bitterness in beers that have been under hopped in the kettle§ Product as aqueous solution§ Not light stable, mainly used for bitterness correction§ Products normally standardised to 20 or 30% iso-α-acids

by HPLC as aqueous solutions§ Utilisation >85% (post-fermentation)

Isohop

PHA Classics

Aroma Alternatives

§ Single hop oil fractions§ Enhance pleasant flavours present in the beer or soft drink and can mask certain off-flavours

Rose

Myrcen

Citrussy

Spicy

Floral

…

PHA Topnotes

Citra

Lublin

Tradition

Cascade

Mt. Hood

…

ELEVATE

Cascade

Ella

…

Mosaic

Comet

§ From selected single hop varieties§ ‘Dry hop’ aroma to beer that is characteristic for the specific variety from which it is produced§ The highly volatile, hydrophobic fraction

§ Hop oil fractions from specific variety § ‘Late hop’ aroma to beer§ New fruity aroma and flavour profiles

Aroma Alternatives

21

§ Produced from hops using specific extraction and distillation techniques

§ Hop oil base + enhanced flavour from a natural origin. For example:Coriander (Hop oil + Coriander oil)

TangerineBlood Orange SmokeTropical

Bergamot Coriander Grapefruit HoneyCoconut

Other Applications

§ Designed to be dosed into the fermentation vessel§ Higher fermenter utilisation plus additional benefits§ Lower unit costs of production§ 100% natural, made from hops, clean label§ The optimum dose rate will depend on brewing recipe and fermentation conditions: 5 and 50 g/hL

HopAid Antifoam

§ Designed to be dosed into the kettle§ 100% natural, made from hops, clean label§ The optimum dose rate will depend on brewing recipe and boiling conditions: 2 and 5 g/hL

Lipohop K

Without HopAidAntifoam

With HopAidAntifoam

BBC Pure Hop Pellet

§ Cooperation between Boston Brewing Co. and Barth-Haas Group

§ Pellet created out of the need to reduce losses during dry-hopping

§ Using the T45 pelletizing line, removal of the coarse fraction of the milled hops

§ Less losses, less product usage for same hop aroma intensity, easier removal by centrifuge, reduced sensory bitterness/harshness

0

2

4

6

8

10Menthol

Tea

GreanFruits

Citrus

Green

Vegetal

CreamCaramel

WoodyAromatic

Spicy/Herbal

Redberries

sweetfruits

floral

Regular T90BBC pure hop pelletLager Beer late and dry hopped

with different pellets of HallertauMittelfrüh according to the same hop oil content (approx 550g/hL (1.4lb/BBL))

Look for blends

Look for different products

Try other varieties to substitute

What To Do Now

Look for new varieties

Now is the time to…

Ariana

25

Callista

26

Loral

27

Experimental 431

28

Technical Support Team

www.HopsAcademy.com

www.BarthHaasGroup.com

Thank you!... Questions?

Hops Academy:

§ Yakima§ Germany

§ Coming soon: Spain, Portugal, China…

Alicia Muñoz Insa

Technical Manager

Barth-Haas UK

E-Mail: Alicia.Munoz@barthhaas.co.uk