Home Archives February 2008 Pricey hops make a bitter brew

Pricey hops make a bitter brew

| Print |  Email
Friday, February 01, 2008

PouringBeer.jpg

STATEWIDE Beer makers across the state are facing a brew as bitter — though not nearly as refreshing — as a hoppy Oregon pale ale.

Weak hop harvests the past two years — the result of bad weather stateside and overseas — and a gradual decline in production have converged in a shortage of the spicy, bitter flowers that give beer its bite. As a result, prices have increased from roughly $2 a pound in 2006 to close to $20 today, but that’s assuming a brewer can even find any hops.

“Everybody’s in a mass frenzy right now,” says Mark Henion, head brewer for Cascade Lakes Brewing Co. in Redmond.

Such a shortage — paired with other ingredient shortfalls and price increases — could eventually hit all of Oregon’s 60-plus craft breweries, which, along with the entire beer industry, poured more than $2.2 billion into the state’s economy in 2006. Beer prices are bubbling up for consumers, as well. There’s been talk of $9 six packs and $5 pints, and indeed, consumers already are seeing some six-pack prices up by as much as $2.

“A lot of people have raised prices,” Henion says, adding that Cascade Lakes raised prices “a little bit” last year.

Mark Vickery, brewmaster at McMinnville’s Golden Valley Brewery, says the shortage also may find brewers venturing into fruit beers or other styles that require fewer hops. And more brewers will likely end up contracting with growers, something Henion has done through 2010 .

“That will be beneficial,” says Michelle Palacios, administrator for the Oregon Hop Commission, “so growers know what brewers want and brewers get what they need.”

Although Oregon’s hop production is down — from 10.2 million pounds in 1998 to 9.5 million last year — Palacios says that compared with the past few years, more hops are going in the ground here and in Washington, and hopes are high that the 2008 overseas harvest will be stout. Weather permitting, brewers and growers seem confident the hop shortage will correct itself in two years. The in-between, however, is likely to be tough.        

JON BELL


Have an opinion? E-mail This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

More Articles

How to handle the unexpected

Contributed Blogs
Friday, March 28, 2014
03.28.14 thumb disasterBY TOM COX | OB BLOGGER

The next mysterious (or disastrous) event could be one that you or your team might suddenly need to respond to, probably under intense scrutiny.


Read more...

Branching out

March 2014
Tuesday, February 25, 2014
DSC04185BY LINDA BAKER

A blueberry bush is a blueberry bush — except when it’s a blueberry tree.


Read more...

Eking out a living

News
Tuesday, April 08, 2014
04.08.14 thumb ourtable-coopfarmsBY HANNAH WALLACE | OB BLOGGER

It may be obvious, but most farmers don’t make a lot of money. According to preliminary data from the 2012 Agriculture Census, 52% of America’s 2.1 million principal farm-operators don’t call farming their primary occupation. Farm cooperatives may offer a solution.


Read more...

From the Editor: The human factor

March 2014
Tuesday, February 25, 2014

In this issue, we celebrate our 21st annual 100 Best Companies to Work For in Oregon project.


Read more...

Car ignition recalls and lean product design

Contributed Blogs
Friday, April 11, 2014
04.11.14 thumb gm-gettyTOM COX | OB BLOGGER

The auto industry is starting to share more costs across manufacturers for complex and challenging design work, like new transmission design, and certain new engine technologies. What we’re not yet seeing is wholesale outsourcing of “unavoidable waste” components to specialist companies.


Read more...

Closing the gap: Community colleges and workforce training

News
Thursday, March 27, 2014
03.27.14 thumb collegeBY MARY SPILDE | OP-ED CONTRIBUTOR

Community college career, technical and workforce programs present an opportunity to bring business and education together as never before.


Read more...

Speeding up science

News
Tuesday, February 25, 2014
02.25.14 Thumbnail MedwasteBY JOE ROJAS-BURKE | OB BLOGGER

The medical research enterprise wastes tens of billions of dollars a year on irrelevant studies. It’s time to fix it.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS