Beer remains a motor for Europe’s economy but continues to face multiple challenges, ranging from the aftershocks of the Covid pandemic to supply chain turbulence, say The Brewers of Europe.
The 2024 edition of the European Beer Trends Report, released on 3 December, provides a snapshot of country-by-country production, consumption and trade patterns over the last seven years. It shows that, after a steady recovery following the Covid pandemic, the beer market has been hit by new market setbacks.
Whilst still just above the sales figures of 2020, when the Covid pandemic forced the shutdown of bars and events for months on end, 2023 beer sales in the European Union were 3% down on 2022.
High inflation, increased production costs, rising prices for raw materials, energy and logistics, coupled with reduced consumer spending power and changing consumer trends, are all factors explaining this dip in sales, production and exports. These factors sit alongside supply chain bottlenecks exacerbated by geopolitical instability, including the war in Ukraine.
New breweries are still opening: an estimated 9,723 were in operation in the EU by the end of 2023, up 40 since the previous year, but a far cry from the growth last decade when the EU was witnessing a thousand new breweries popping up every year. Even if breweries are not emerging at the same annual rate they were, this growth does still signal an appetite for innovation and diversity in beer offerings.
Julia Leferman Secretary General of The Brewers of Europe said, “Beer is a vital engine of the European economy, providing billions in value added and tax revenue, supporting millions of jobs.”
“Nonetheless, the brewing sector has been vulnerable to recent market disruptions.”
“Brewers depend on lengthy supply chains and networks in local, national, European and world markets. At each stage of the grain to glass process, brewers have been affected in recent years by the economic turbulence. We now need decision-makers to back beer with supportive policies that recognise the positive, responsible and sustainable role the beer value chain can play in the local economy.”
The latest figures were released at the 11th edition of “Beer Serves Europe”, an annual event bringing together leaders from Europe’s brewing community and the beer supply chain, as well as policymakers from the European Commission, Parliament and Member States, to celebrate brewing and the beer value chain that stands behind it.
The event also hosted the relaunch of the European Beer Group, a cross-party network set up to facilitate discussion and collaboration amongst MEPs on issues impacting brewing and the beer value chain. The European Beer Group will have two MEP co-chairs: Tomáš Zdechovský (EPP – Czech Republic) and Hannes Heide (S&D – Austria).
Event attendees were also reminded of European brewers’ leadership on labelling, notably The Brewers of Europe’s Proud to be Clear commitment to helping empower consumers through clear labelling.
Today, some 95% of beer bottles and cans voluntarily label ingredients and 88% label energy values. This ties in with the brewers’ pledge to promote responsible drinking, which includes initiatives to encourage moderation and support public awareness campaigns that discourage drink driving and underage drinking.
Whilst already brewing the lowest ABV alcohol beverage, brewers are increasingly offering a wider range of top-quality non-alcohol drinks. Alcohol-free beer now accounts for one in every 15 beers brewed in the EU – and this share continues to rise.
