COVID-19 Update: Impact on Brewing Industry 2020-2025
The pandemic impact on the brewing industries have been largely distracted the growth of craft brewers and in the production of beer as they are majorly consumed by the population. Among alcoholic beverages beers makes their largest place. The worldwide shutdown of the supermarkets, local breweries, brewpubs, taprooms have largely impacted supply of the breweries in local market. According to the survey organized by Brewers Association in the U.S. among 900 brewers 90% have stated the negative impact Covid-19 via on-site sales, distributor orders or cancellation of organized events. The brewers also confirmed that 30% of brewer productions have stopped and 61% of the productions had been slowed down.
As per the lay off the employment 60% of the brewers anticipated to layoff due to Covid-19. One of the major Giant of breweries Michigan, which had 400 licensed breweries among U.S., have stated “the pandemic had been devastating for most breweries” by director of the Michigan Brewers Scott Graham.
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Gluten Free Brewing Market Overview:
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Impact on Craft Brewery:
The craft brewery among all segments of alcohol is becoming more popular due to the traditional taste of the brewery by local and independent brewers. The recent comment by the Brewers Association (BA) Industry trade group have stated in 2017, the sales of craft beer in value or volume continued to hover in the mid-single digit at various convenience stores and groceries chain and with the dollar growth declining by 1% due to the backdrop of beer sales by 2%. However, with the highest growth rate of craft beer the major impact of the Covid-19 was shown on the local and regional small breweries due to shut down and social distancing actions forced the vast major population of the breweries, bars and restaurants for the time being close to their taprooms and drinking areas.
Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2015-2026):
North America
United States
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
Russia
Others
Asia-Pacific
China
Japan
South Korea
Australia
India
Southeast Asia
Others
Middle East and Africa
Saudi Arabia
UAE
Egypt
Nigeria
South Africa
Others
South America
Brazil
Argentina
Columbia
Chile
Others
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Brewers also stated for the reopening of outlets in a phased manner so that it will avoid wastage. As the distilled spirits such as beer has a short lifespan approximately 12 months.
As of now the sprit manufacturing companies have taken initiatives to produce the hand sanitizer and essentials require to tackle with COVID-19. The majority of alcohol manufacturers have pledged to support and cure the staff. This pandemic have majorly affected the retailing of the breweries of micro brewers and affected the overall craft beer market. The industries, if restructuring their production facility should take all safety measures and should follow the guidelines for their supply chain to the various outlets.