Sound the alarms! It’s not just Velveeta and Sriracha facing possible supply shortages. Currently, a world hops shortage also seems imminent. Then again, with the unique way hops are purchased, a hops shortage always kind of seems imminent.
Craft beer continues to boom (up 9.6% since last year), but still only accounts for 7% of total American beer sold according to the Technomic Trends in Adult Beverage 2014 State of the Industry Report (oh…you’re not a subscriber?). Even more interesting, with all those IPAs and double IPAs and Belgian IPAs and black IPAs and white IPAs (etc., etc., etc.) flooding the marketplace, that 7% of American craft beer is currently using 52% of the overall domestic hops supply. With over 2500 currently-operating craft breweries and perhaps another 1500 breweries slated to open shortly in the U.S., a hops shortage would seem to be all but guaranteed in the very near future.Continue reading