It’s Last Call for Cheap Beer (Prices)

I wonder how this will effect such quality breweries such as Minhas.....

 

If we're lucky, they'll go under.

 

With the amount of cookies, brownies, cake, fruit, sugar, oats, wheat, and other non-barley fermentables used in brewing nowadays, I’m pretty sure the industry will survive

 

Higher prices are a pain, but it seems like the percentage of passed dated beer on the shelf has increased dramatically also...

 

Unfortunately, you really can't "stock up" on too much beer because of the freshness factor.

 

That might be shortsighted. Minhas could decide to brew more interesting beer in the future. Huber used to brew very good beer at very good prices in that facility, and it could happen again. Walter (Eau Claire) became Hibernia and started making fine beer (the Dark Wheat beer!). Utica Club/West End stuck with the basics through the 70s, but then developed their Saranac line. Ortlieb upped its game in the 70s with McSorleys Ale and then Boar Head Stout, but didn't survive the 80s. Blitz Weinhard introduced a very good Private Reserve in about 80 to add to its lineup (Blitz or Olde English, anyone?).

 

I picked up a case of SN Octoberfest for 16.99 last week. My local beer store seems to always have stack of something on clearance price, although not always something would want to drink, especially since not fresh.

Not surprising beer prices will go up, but I still see so many IPAs on shelf priced so much higher than SN, Jack Abbey, VonTrapp, Sloop, and similar stuff that I'll actually buy

 

I can say much the same thing and if I see something that looks interesting price is not a deterrence. On the other hand habits of frugality die hard and I'm descended from a long line of Scots who would nay pay a penny more than they hav'ta.

 

Rather depends on how low it's fixed.

 

If I make it to 2025 rising costs of beer won't be high on my list of concerns.

 

One of life's endearing pleasures and beer will never demand alimony.

 

They will get my money before they get my beer.

 

I expect there will always be some cheap moldy grain available.

 

Guess I'll have to stock up on Bourbon instead.

 

Yeah you’re right. I best worry about utilities and groceries first.

 

Maybe this will push the industry to become more efficient with their brewing. An increase of 2% efficiency can reduce over 1mil pounds of grain for some of these larger breweries, like New Belgium. Let's hope they just don't go the other direction and just add cane sugar and call it a day.

 

Transportation of raw materials (rail, anyone?) and finished products (growlers and kegs please) is a big factor. Engineering efficiencies for brewing, similar to the one you mention, would be more financially feasible in a larger facility. We have to realize that the proliferation of very small breweries is a phenomenon that is a benefit to us consumers, but will be almost impossible to transform into an industry that contributes much to conservation efforts. A certain amount of centralization of production could contribute to improvements in efficiency.
Economic pressure on small brewers will discourage investments for longer term payoffs. Distribution areas might also be expanded (increased shipping expenses) in hopes of increasing sales. Additional products seeking a niche might end up as out-of-date product, or even not make it to shelves.

 

I really expected prices to come down

/sarcasm

 

This isn't a major inflation event, at least yet. Nobody seems to remember the late 70s, inflation peaking at 13.5% in 1980. Gasoline and oil prices spiking then, as well as other prices. We bought our first house in 77 -- 8.4% interest and that was a bargain rate then.

 

Which breweries, macro/craft/ex-craft, use cane sugar as an adjunct? Commodity prices vary but typically in the US brewing industry corn syrup (dextrose or maltose) has been the "cheap" adjunct.