Category: Beer Industry

my occasional rants and raves about what is going on in the industry.

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An Epic Telegraph

The Baptist is working wonders. Epic Brewing which started in Utah and later expanded to Denver has bought a home in California now, in Santa Barbara’s Telegraph Brewing.

The press release and details have been discussed and dissected since the news came out but now that the news has had time to settle, I want to add my perspective.

1. Epic had been shopping for 18 months and they end up in California. The price must have been right or the perceived market size was too large to pass up. Should we be more bullish on the future?

2. Why is hazy seen as the way forward? Especially for a brewery known much more for Belgian and sour offerings? Bad choice in my eyes, because supply will soon dim the cachet of these brewery only offerings.

3. On the purchase, Telegraph’s founder was quoted thusly, it is a “right fit both strategically and culturally.” Let’s hope so. It can be fun to collaborate on one beer but when you are calling HQ each week, it can be less so.

4. Getting some foeders and new equipment will end up being a great thing for Telegraph and should allow them to take another step with their wild beers. Even more important will be the new access to a larger market that Epic has grown.

This deal makes Telegraph a California brewery to watch in 2018.

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Public Hops


You have heard of wild hops, now there will be public domain hops because The Brewers Association publicized an agreement made with the United States Department of Agriculture-Agricultural Research Service (USDA-ARS). For what purpose? “To fund public hop breeding for the purpose of developing and releasing disease resistant aroma hop cultivars into the public domain… ”

Probably stemming from the recent hold-out of hops by the Captain Hook of beer SABInBev and their South Africa business decision. This combined effort of government and small(er) business looks to be an effort to keep the Hop torpedos full.

According to Chris Swersey, supply chain specialist for the Brewers Association. “Research to develop and release hop cultivars with no intellectual property protection ensures that all growers have access to high quality, disease-resistant cultivars they need to sustain production at levels required by brewers.”

The key takeaway outlined in the press release: “The research will prioritize breeding efforts in four areas: sensory requirements as determined by the Brewers Association through a collaborative and participatory brewer and industry stakeholder program; improved downy mildew resistance; improved powdery mildew resistance; and improved agronomic performance compared to existing aroma cultivars.”

And if you thought the Smithsonian beer historian job got a few applicants well, the USDA will move forward to hire a professional breeder and a facility to begin research. Sounds like a hard but fun job.

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HydroHops

Are year-round hops possible? Maybe with a greenhouse like this….

HopsHouse, has created a hydroponic hops greenhouse.

The HopsHouse is offered in two different sizes: 30’ x 60’, starting at $119,495 and 30’ x 108’ starting at $149,495. Pricing includes necessary systems and equipment. With options to customize, available.

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No Hazy Chit

I know that haze is the cool kid right now but there are still some beers that are bright and clear. And now there might just be a way to create that clarity without isinglass.
Isinglass is not vegan though and the fact that what was once a fish is used in beer is a strange thought to wrap your brain around. Now a company called Plater Bio is pitching the use of chitosan, which is extracted from specially cultured fungi.

According to the company the “initial trials have shown that fungal chitosan is a far more powerful flocculant than crab chitosan for clarifying real ale. We have worked with unclarified samples of beer from Pot Belly Brewery in Kettering and the results have been excellent.”

Depending on the cost, this might become a go-to for those breweries that want to proclaim organic and vegan bona fides.

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SF Guild goes Regional


In what may be a blueprint for the even more sprawling (especially in traffic) Los Angeles, the San Francisco Brewers Guild has made a change from city to regional organization.

The goal being to “evolve into a regional trade association devoted to promoting independent breweries across the greater Bay Area year-round.”

That means that some independent breweries throughout the SF region will be extended invitations to join the Guild and then get slotted into their appropriate chapter such as San Francisco, East Bay, North Bay and South Bay — as well as a possible fifth for Santa Cruz / Monterey area.

On a side note, SF Beer Week Dates have been set for 2018, February 9-18 for a week+ of Bay Area festivities.

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Contractual Agreements

There is a good and a bad way to deal with long-term contracts that now seem unfavorable to you.

Ska Brewing has taken the high road or you could also call it the creative road. They have taken their hop contract and immortalized it on their label. BHC – Bad Hop Contract may not use the hippest hops on the market. The hops may not be that fancy lupulin powder or work as well with the new NE IPA’s but they have been able to weave this hop learning experience into the fabric of their brewery and I think they will be stronger for it.

Other breweries seem to have taken the low road which I also call the “I hope I don’t have to deal with these hop brokers in the future” road. 47 Hops has entered bankruptcy due to hops either not being paid for, or contracts not honored. Those that bet on a hop or amount of growth that did not occur need to, at least, call back. That is courtesy. Suggest a modified contract. Don’t behave like Trump and just run roughshod over vendors.

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Partners in Brewing


If you cast your mind back, you will remember that Southern Tier and Victory Brewing have combined forces under the Artisanal Brewing Ventures banner. Now the two breweries have announced plans run a R&D brewery and taproom together in Charlotte, North Carolina.

The innovation brewery will do both beers that are “specific to Charlotte and the Carolinas” and will also pour flagship brands such as Southern Tier’s Nu Skool IPA and Pumking along with Victory’s Golden Monkey and Prima Pils.

The facility will have a “25-barrel brewhouse capable of producing approximately 10,000 barrels annually. The facility will include a fermentation cellar, quality lab and packaging hall along with a beer garden and indoor/outdoor private event spaces.”

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Commons Change

The northward march of Modern Times just took a big leap as they announced their upcoming Belmont Fermentorium. In this instance, the Commons Brewery will give up their space to the growing San Diego employee-owned company as the Portland brewer, who started in his garage as Beetje Brewing will consider his next steps.
Mike Wright, founder of The Commons Brewery, who also owns the 10,000 sq. ft. site where his beer company is currently located, will turn the keys over for the premises at 630 Southeast Belmont Street at the end of the year. New brewery equipment and rebrand the location as “The Belmont Fermentorium.”

To be crystal clear, Modern Times is not acquiring The Commons Brewery. Though the future of Commons is uncertain.

Matt Sandoval will go from the cellar at Modern Times to running the brewing operations in Portland. The Belmont Fermentorium will also include a coffee roaster and eventually food will be part of the project as well . As of now, Modern Times has two locations in San Diego. Is building out locations in Anaheim and Los Angeles and is working on a possible Encinitas location as well.

I have a feeling that more statements like the one below from Mike Wright of The Commons will be seen in the coming years…
“What Happened?
Unfortunately, this is a classic small business cash flow story. Sure, there is plenty of industry nuance and hindsight that can be evaluated, but this boiled down to simple debits and credits. That’s the sinister simplicity of a cash flow problem. Your debt is clearly defined, but revenue is a rollercoaster. The belief was that we’d eventually break out and get past those challenges. We did not.”

The question is, how many breweries can take over for those that have decided to pause or quit?

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Clean Water makes Clean Beer

In general, I am apathetic to politics. There is a lot of anger and vitriol but not much actually getting something done that keeps this country progressing. Even something as needed as infrastructure can’t get done and don’t get me started on this country’ s health care.

But the further downstream (the pun will arrive later) you go, the more an individual can make a mark or at least have their voice added to the yea or nay column.

One concrete way to act is to read the 2015 Clean Water Rule. A rule that clarified which headwaters and wetlands would be under the protection of the Clean Water Act. Then adding your public comment by clicking on this LINK and saying your piece.

The extremist anti-environment and extremist pro any business EPA chief Scott Pruitt wants to roll back the Obama era rule because, well, any clean water seems to be an affront to him. Granted, farmers and ranchers need help as well but there has to be a way to keep water clean AND have people farm too.

The EPA has extended the public comment period on the repeal proposal to the Clean Water Rule to September 27.