Turning us into a nation of beer sellers

The Government is stepping up its support for craft beer these days. On the back of the 50% increase in the excise rebate ceiling for brewers in Budget 2015, state agencies are looking to craft beer and cider to join the “usuals” food and whiskey to help sell Ireland. Earlier this year we had six breweries participating in Bord Bia’s Marketplace International 2015. Then in July, Tourism Ireland supported the participation of nine breweries and one cider maker in Toronto’s Festival of Beer. This week saw another high profile event where craft beer was showcased.

Blending beer, cider, music & food to sell Ireland
Blending beer, cider, music & food to sell Ireland

Sixteen Irish food producers were given the opportunity by Bord Bia to exhibit at the Speciality & Fine Food Fair in London. The event takes place in Olympia, well known in beer circles as the home of the Great British Beer Festival. In the weeks leading up to the fair, Ireland’s food marketing agency put in plenty of legwork drumming up interest amongst leading food and drink buyers from the speciality food industry.

Galway Hooker was the sole brewery representing Ireland and was given prominent space amongst the Irish exhibitors. From the looks of it there doesn’t seem to have been a lot beer at the fair – Crazy Mountain Brewery from Colorado; Delicias de Burgos and Pasion de Duero, S.L. from Spain; and a Scottish honey beer from Plan Bee. The lack of beer could be a sign that the work of winning over space on dining tables from wine is painstakingly slow. Regardless, the fair was a real opportunity for the Galway lads. Their beers are great for pairing with food. They’re not overpowering and are well-balanced. You only have to look at their eponymous pale ale and how versatile it can be thanks to its distinctive malt base. I can only hope that for Aidan and Ronan, the brewery’s first appearance at the fair proves to be a success in the long-term.

Can more be expected? We can only hope so. Food Wise 2025, the new national food strategy, has identified the need to develop a specific strategy to help craft breweries to go and views exports as key. Marketing support and attendance at international food events is a start but more can be done. We need to examine new ways of helping breweries to get products to foreign markets. Could brewers pool together to share space in containers? Are KeyKegs the best way of exporting draught or are there other ways that could be considered? Should canning be the choice for exporting packaged beers because they save on weight, more reliable for shipping and can more compact (i.e. more beer per pallet)? Given the desire of our enterprise agencies to prioritise exporting companies, they should examine areas like these and more in order to help Irish craft breweries grow.

A good name for a style that’s wandering

Over the summer Eight Degrees released their latest limited edition beer, Nomad. It’s an India Pale Lager folks. What’s that you say? It’s a style that has many detractors. A few see it as just an excuse to introduce a little variety to the IPA. The common denominator being hops and lots of them. It may fall outside style guides and the majority may be just going for the hop hype effect. However, when it is made well, it can be something to be sought after. Who better than then the likes of the Mitchelstown crew to try their hand at this. They’ve made some truly fantastic stuff over the past few years. Not only do they love what they’re doing, just as importantly they know what they’re doing.

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Nomad pours a golden rich honey colour. But as you look at this beer, you become conscious that this beer has a big, big aroma. Think pungent pineapple, kiwi and tangerines. It’s fresh. There’s a crisp bite to this beer with the first sip. There’s no sense of sweetness there. There’s a similarity with the likes of Jever and other northern German lagers but that’s where it ends. This beer certainly cannot be described as austere. It’s anything but. The aroma blends superbly with the clean, bitter body and finish.

Nomad screams out for food to be savoured alongside it. It could be one of the better beers this summer to have a with a good burger. It has bitter and crispness, along with a degree of heftiness that could match the char, red meat and an overdose of toppings that are burgers these days.

 

The beer works but like other IPLs, would people keep looking for this style of beer? Nomad makes a good seasonal release for sure. However, will hop heads continue with this style beyond the rare occasion? It’s doubtful beyond those ticking it off the list. But the willingness of Eight Degrees to constantly give things a go is to be admired. They have enough in their core range to appeal to varying tastes and that’s before we get to their rotating range of specials.  In fact, you could look to their limited releases to get a full picture of the challenges facing the IPA today. Besides changing up the hop bill for various releases, there has been black, white, double, single hop, single malt and session IPAs all from this brewery. This is replicated across the globe.

Grilling the property rights of the Irish red ale

With the weather showing signs of summer and then not again, BBQ season is upon us. When I say BBQ, I mean grilling in the truest context and not slow roasting for 24 hours or longer. Lighting a BBQ can make it seem that way though. Think of all the hours of enjoyment standing over it trying to get the coals to catch fire. It’s made all worse by people sitting around watching and remarking on your every move. Comments such “did you use lighter fluid?” or the “quick fire bag of coal is brilliant” hitting you like accusatory daggers. Then eventually it lights, there may be an uneven heat across the grill requiring the frantic shuffling of burgers or whatnot around so they don’t burn too quickly. At least having beer on hand can take some of the edge off of the hassle of cooking al fresco.

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Yesterday, I had an excuse to work through a whole range of red ales (sadly Bay Ale from Galway Ale had disappeared from the fridge by the time I got there). It’s interesting putting different reds, like other beer styles, together to compare variations. Red ale is much maligned by the craft drinker, all too easily dismissed as one-dimensional or worse. For someone who was a fan of Writer’s Red (aka Rebel Red) by Franciscan Well and who drank it by the pitcher full in The Gingerman, I will always have a fondness for the style. At times I have acted in a manner that can only be described as quite frankly a bizarre sense of patriotism in standing up for the style to some CAMRA members all too quick to tell you what they think of it – it’s too gassy, too sweet etc.

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The style as we know it mightn’t be that old nor originating here but there’s no doubt that it has become associated with us. Classic reds may have similar flavour profiles to dry roasted peanuts, some may be too heavy on the caramel and others draw on bitterness for their identity. Who knows what the future holds for this style? It would perhaps be a stretch to see an attempt to adopt a Geographical Indicator status for the Irish red. The road is  certainly open under the Transatlantic Trade and Investment Partnership (TTIP) for more products to adopt such status. Imagine, the likes of George Killian’s Irish Red having to alter its name. This is notwithstanding its very own identity crisis being marketed one time as an Irish red ale and now as a premium lager.

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It’s unlikely the Irish beer industry would look to adopt a GI for the Irish Red Ale. The industry doesn’t act like that, well not yet anyway. Of course, property rights have been a feature of the beer industry. Marketing rights have been a key driver so too has been use of proprietary productin techniques along with informal IP protection techniques. Look at the Trappist breweries distinguishing them from other abbey beers. However, as the market becomes more competitive, more friction can be expected. Thankfully a lot of this can be resolved through dialogue and in cases where it looks like such an approach will fail, public outcry has so far convinced brewers to keep things out of court. It won’t always be like that however. We’re already seeing whiskey producers refining the definition of what is Irish whiskey. Will Irish cream liquor be next?

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Brewers are already making moves to protect what can be called “Irish”, a measure to stop “crafty” imports from the UK and elsewhere. They clearly want to prevent the somewhat duplicitous nature of labelling á la Irish smoked salmon v smoked Irish salmon happening here. A logo is but one small step. A GI for red ale may achieve little too. Beer styles are often products of many places. You may have to be fairly brazen to claim ownership of a beer style either collectively or individually. Look what Anchor Brewing did with “steam beer”, although it was important for lambic producers.  I’d settle for a redoubling of the efforts to market craft beer and the people behind them by Government. This would match the enthusiasm of the brewers and consumers. Additionally, we have to give brewers the support to protect their IP, which dare I say it may include their brand, beer name and logos etc.

All of this may seem a fairly long train of thought but that’s what you get when you BBQ. Plenty of time to muse about all and sundry. At least I had a few red ales to keep me company.

Perfect timing for crafting an export strategy for beer

Back in January, I wrote about the effects the European Central Bank’s quantitative easing (QE) programme will have on beer. The Euro exchange rate has, for want of a better word, tanked. We’re on course for parity against the US dollar and sterling is strong and only getting stronger. This could bad news for imports of US and UK craft beer into the Eurozone but great news for Irish breweries exporting or looking to export.

Exports of Irish beers could be boosted further by positive indicators within the Eurozone. Consumer sentiment for March 2015 is at its highest levels since 2007. Confidence has been boosted by the QE programme combined with falling unemployment and low oil prices. What does this mean? Quite simply private consumption is expected to rise by 2% this year and 1.5% in 2016 (source: Capital Economics). People will socialise with confidence and in economic terms this could involve boosts to nondurable goods (e.g. off licences) and services (e.g. bars, restaurants etc). This would underpin economic recovery within the Eurozone but sadly it’s one that will not be felt equally across all countries/regions.

Global finance and trade

So Irish breweries can benefit from the weak Euro currency to export to the US, UK and further afield and they can take advantage of the recovering consumer demand in the Eurozone. Irish exports would not only match quality but they could also be competitive alongside US and UK products exported to these markets. The costs associated with small batch exports may be offset by the strong dollar and sterling.

It is timely then that two significant events took place last week that hopefully will result in Irish breweries delivering on their export potential. Bord Bia’s Marketplace International 2015 saw 150+ Irish food and drink companies having access to 400+ buyers from over 25 countries. They could showcase their offerings in a sort of speed-dating format (i.e. a series of 20 minute one-on-one meetings). It was great to see Brú Brewery, Jack Cody’s, Metalman, Rye River and Trouble Brewing involved. Franciscan Well was also there as Bord Bia promotes all food and beverage products produced in Ireland. By and large each of the breweries have limited exports to date (e.g. average 5% of total sales) with the exception of Rye River reporting 40% export sales.

The other event was IFE 2015, a biannual food and drink event held in London. It brings together approximately 27,000 buyers and suppliers of food & drink products and takes over the entire Excel Arena in London. I worked at this event in 2005 and the scale is simply staggering. Whilst there was no Irish brewery exhibiting this year, the event is extremely useful for networking in the trade and meeting potential buyers and distributors. It was great to see the likes of Cotton Ball in Cork making it over to the expo.

Breweries at Bord Bia's Marketplace 2015
Breweries at Bord Bia’s Marketplace 2015

Hopefully events such as these can help these breweries and the others in Ireland take advantage of the extremely favourable export conditions. Irish breweries should be confident that they can follow in the footsteps of Carlow, the Porterhouse, Eight Degrees, Rye River and White Hag in having a significant export strategy. They should also aim to build on one-off or limited exports if it’s in keeping with their own business strategies. Isn’t it great to see the likes of Kelly’s Mountain on sale in Russia?

Scale’s obviously going to be an issue but improved market access can help attract additional finance. They may need ongoing help from Government agencies and the sector could benefit from more hands-on support from Enterprise Ireland. If negotiations on the Trans-Atlantic Trade and Investment Partnership (TTIP) are concluded, Irish SMEs are expected to benefit most from the new EU-US trade deal. This is some time off however and while it would make it easier to do general business in the US, the peculiar post-prohibition regulatory regime will remain in place.

This is not to forget that the market is still growing at home and the weak Euro may have a positive knock-on effect on consumer demand for Irish produced beers over UK and US imports. So far their prices have been steady but for how long can Irish distributors keep them steady? It will be interesting to watch effect, if any, does the exchange rates have on Wetherspoons’ prices as well.

Irish Beer & Whiskey Fest

The Irish Beer & Whiskey Fest kicked off yesterday and for five days I’ll be referring to the RDS as a second home. It would be rude not to when it’s taking place practically around the corner.

Even beer festivals cannot escape the Global Greening initiative
Even beer festivals cannot escape the Global Greening initiative

This festival marks the evolution of the Irish beer festival that took place around St Patrick’s Day in the IFSC over the past few years. However, those festivals were more of a large craft beer bar where breweries sent kegs rather than be present themselves.

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It’s by the organisers of the excellent Irish Craft Beer and Cider festival that takes in the RDS every September. This time it takes place in the Main Hall, a space that’s considerably bigger than the Industries Hall. The Main Hall may bring back memories for some of participating in the Young Scientist Exhibition (even as far back as when Aer Lingus used to sponsor it).

Whiskey always had a place in the September edition but it has gained more prominent billing for this festival. 7 cider makers are also represented and the food offering is the biggest yet.

19 breweries are present. Yes, this is a drop in the number of stands when compared to the last two editions of September festival. However, it’s been a fairly packed calendar for beer events of late with the Alltech Craft Brews & Food just a fortnight ago. Brewers have had to choose what festivals to focus on, how much beer to have on hand to attend them etc. Don’t worry there’s plenty of good beer to be had at the festival.

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Some to look out for include Mountain Man’s Sneaky Owl; Searbh Rua (Imperial Sour Red) and Coffee Rocket by White Hag; Enigma and Polar Vortex from Eight Degrees; and Buck It by Black Donkey. There’s cask beers on offer too so be on the look out for O’Hara’s Leann Follain and three from Station Works (stout, blonde & brown). These are of course those that I tried on day 1 of the festival. There’s plenty of good beer on offer from Trouble Brewing, Independent Brewing, Alltech Lexington Brewing, Rye River (also pouring Innis & Gunn and Coisbo), Porterhouse, Franciscan Well, Rising Sons, O’Brother Brewing, White Gypsy, Wicklow Brewing and Wicklow Wolf.

So far it’s shaping up to be a great festival. The new hall has given it a more spacious feeling, somewhat reminiscent of the early years of the September’s festival. It’s €2.50 for a half pint though above 7% beers are served in thirds. Some stands will give you a pint but not in the official festival glass. If you want a pint, you’ll have to make do with plastic.

Hopefully you get the opportunity to drop in in this festival.