Once there was a way
to get back home
-The Beatles, Golden Slumbers
There is no going back now. Things are forever changed. We thought Coronavirus had overturned our lives, but as we write, there is war in Europe. We can’t yet fully see how this will alter our lives. It is certain to be profound. This column looks at mostly zany, but sometimes serious, beer news from around the world. In these dark times, the ratio is flipped the other way. The news is a lot more… sobering. Let’s start with the darker storylines.
Many foreign businesses are pulling out of Russia or ceasing business engagements with Russian businesses, including breweries. In early March, the Danish multinational brewer Carlsberg suspended investments in Russia as well as exports to the country. The picture is more complicated, however. Europe’s second-largest brewing company, Baltika Brewery in St. Petersburg, Russia, is a part of the Carlsberg Group. It controls roughly a third of Russia’s beer market. Baltika will continue operating… in Russia, at least. It also owns three breweries in Ukraine and, prewar, commanded about a third of the beer market there, too. We don’t know if those breweries survived artillery and/or bombs, but we wonder how enthusiastic locals will be about drinking this beer now.
Multinational brewer Heineken also announced it was exiting Russia, where it is the third largest brewer in that market after Carlsberg and a joint venture owned by Turkish brewer Anadolu Efes. Heineken will be transferring its ownership of Russian assets and has pledged not to profit from any transfer.
Another giant of the industry, AB InBev, pledged to stop selling Bud and to forfeit profits from a joint venture to produce there. In early April, the company underscored its resolve by announcing that it would help launch a Ukrainian beer brand in the UK and donate profits to charity. The brand, called Chernigivske, is one of Ukraine’s most popular and is a 4.8% lager.
The Lviv, Ukrainian brewery Pravda made news in late February when it announced it would be shifting production of beer to the production of Molotov cocktails to support the war effort. The bottles they are using for these bombs come from their dry-hopped golden ale, Putin Huilo, which means “Putin is a dickhead”. Word is that when they first produced this beer several years ago, following Russia’s invasion of Crimea, they sent a case to Moscow. In early March, the brewery again made news when it appealed for international collaborations. It said it would make its recipes and label art available to any brewery interested, with the simple request that they donate to a relief fund. On the company website, they closed their announcement with this exhortation: “As peaceful craft brewers, we want to return to the normal life asap and enjoy brewing and drinking. But first we must kick the cockroaches out of our land. No more Gulags, Holodomors and oppression. It’s a decisive moment for Ukraine, Europe and democracies of the world. Soon (we) will win this war and have a good beer. The Beer of Victory.”
While there’s authoritarianism on one front, on another is the fight for environmental preservation. In support of this, we have yet another promising collaboration, this one between Patagonia and legendary American brewery Dogfish Head. The two have united to produce Kernza Pils, which uses the Kernza perennial grain, organic barley, and organic hops. We previously reported in JBT40 on Patagonia’s project to use this unusual grain in brewing (it’s similar to wheat, but has long roots good for sinking carbon and preventing soil erosion). At the time, they released Long Root Pale Ale, then later followed with Long Root Wit and Long Root IPA (the beers are available in Japan via Patagonia Provisions and/or importer Ezo Beer). The participation of Dogfish Head in this project is likely to give this promising grain another welcome profile boost.
Elsewhere in America, Stone Brewing Co. won a massive lawsuit against Molson Coors in which the jury awarded the craft brewery $56 million. The case revolved around Coors using the word STONE prominently in its packaging and marketing for its Keystone Light beer. In short, the jury determined that Coors infringed on Stone’s trademark. While not all issues of Stone’s complaint were settled by the case, it was widely viewed as a huge victory for craft brewers.
Meanwhile, the US government appeared to side with small brewers across America after its announcement that it would scrutinize the US alcohol market, 65% of which is controlled by AB InBev and Molson Coors. The Biden administration says the move was spurred by a broader desire to prevent “excess consolidation” across an array of industries. It’s not clear what specific measures they will take, but they could introduce reforms to keep the market diverse and thriving. Of note, however, America already has over 9000 craft breweries. They’re like convenience stores in Japan–seemingly everywhere.
Australia’s government is also leaning in to help breweries. As we reported in this column previously, the government had been looking into tax relief for breweries because of the pandemic. Well that’s official now. The government will be cutting the excise tax on draught beer in half. Architects of the plan hope that the reduced prices will attract more patrons to retailers. Just don’t pour a shitty beer! According to multiple outlets, the government will fine bars 220,000 Aussie dollars if they are pouring too little. Yep, undercover pint police are doing the rounds to make sure you, the consumer, don’t get screwed. Apparently, according to a study in 2019, roughly 30% of retailers were not pouring correctly.
It looks like retailers in the UK could’ve used a little more support during the pandemic. Nothing drives this home like losing your country’s oldest beer pub, in this case, one that was more than 1000 years old. In February, Ye Olde Fighting Cocks north of London announced that it was closing down due to financial difficulties related to COVID. It opened in 793.
STOP THE PRESS! Employees of the pub have saved it from oblivion! The pub reopened in early April thanks to the former manager, who worked there twelve years, the head chef, an employee of eight years, and one other member pooling their resources and assuming ownership. The previous owner expressed relief and gratitude, while the new team vowed to update the menu and business strategy. They need a sip of ‘The Beer of Victory’.
This article was published in Japan Beer Times # () and is among the limited content available online. Order your copy through our online shop or download the digital version from the iTunes store to access the full contents of this issue.
