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Beer production costs to face large scale price spikes, which will hurt smaller brewers.  The major reason for this?  Environmentalists and their fixation on using ethanol to find an alternate energy source.  Many farmers are bailing on wheat and barley to grow corn for the government subsidized ethanol money sink, which means supply for small brewers gets smaller, and prices for raw supplies goes through the roof, wheat and barley already have had a 10-12% spike.  God damn you green cultists.

Beyond that, prices in fuel, aluminum and glass have gone up, and hops production has dropped significantly after years of having excessive crops, which means choices and supply of hops breeds has dropped, beyond that, prices for hops will go up a lot too. 

So where does that leave us?  Well, its gonna be harder for small brewers to succeed, as they have thinner margins than the cheap swill big brewers.  Beyond that, lower crop diversity, which means less innovation, and supply shortages.  Excellent.

Posted by: doubleplusundead at 12:42 PM | Comments (17) | Add Comment
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