Regional Craft Breweries Beyond Top 50 Record Mixed Results; 47 Increase Volume, 54 Decline and 22 Flat

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Image Credit: https://www.pexels.com/photo/a-hand-refilling-beer-on-the-glass-13229768/

Just over one-third of regional craft breweries (38.2%) beyond the top 50 recorded production volume increases in 2023, down from about 45% who grew in 2022, according to data from the Brewers Association (BA), published in the May/June issue of New Brewer Magazine.

The BA defines regional craft breweries as those who produce more than 15,000 barrels of beer annually and sell the majority of their volume through distribution. Of the 123 regional craft breweries beyond the top 50 with production data published by the BA, 47 recorded year-over-year (YoY) production growth.

(Brewbound previously dived into production data for the top 50 craft breweries. Dive into the numbers here).

Regional craft breweries produced a combined 15.35 million barrels of beer in 2023, out of the 23.36 million barrels produced by all craft breweries. In 2022, regionals produced 15.83 million out of the total 24.18 million barrels produced by craft breweries.

While the percentage of brewery’s to increase volume declined versus 2022, the percentage of breweries that recorded a decline in production (43.9%) was also below 2022 (nearly 47%). Just under one-fifth of the 126 breweries (17.9%, or 22 total breweries) recorded flat volume YoY.

Of the 47 breweries to increase production volume, more than half (27) recorded double-digit increases – seven of which were in the top 100 of all regional craft. The largest percentage increase was recorded by Tempe, Arizona-based The Shop Beer Company, which increased production +51%, to 17,801 barrels, ranking No. 145 and joining the regional craft brewery list for the first time, meeting the definition of a microbrewery in 2022 (breweries making between 6,000 to 15,000 barrels annually).

Other breweries to make the regional craft brewery list that were below minimum production requirements in 2022 include:

  • No. 136 Florida-based Florida Avenue Brewing (+35%, to 18,817 barrels);
  • No. 147 Colorado-based Dry Dock Brewing (+33%, to 17,690 barrels);
  • No. 149 California-based Farmers Brewing (+37%, to 17,400 barrels);
  • No. 157 California-based Topa Topa Brewing (+12%, to 16,634 barrels);
  • No. 161 Vermont-based Burlington Beer Co. (+42%, to 15,920 barrels);
  • No. 164 Michigan-based Old Nation Brewing (+12%, to 15,837 barrels);
  • No. 167 Florida-based Tampa Bay Brewing (+8%, to 15,580 barrels);
  • No. 168 California-based The Bruery (+10%, to 15,500 barrels);
  • No. 171 Florida-based 3 Daughters Brewing (+6%, to 15,212 barrels);
  • No. 173 Virginia-based Solace Brewing (+22%, to 15,200 barrels);
  • And No. 174 Minnesota-based Third Street Brewhouse (+38%, to 15,139 barrels).

Dry Dock, Old Nation, The Bruery and 3 Daughters all produced more than 15,000 barrels prior to the COVID-19 pandemic, but fell off the regional list in 2020. Third Street Brewhouse was included in the 2023 regional craft brewery list, but its production numbers have since been adjusted, and it would no longer meet regional craft brewery status in 2022, recording a -56% decline in production, to 10,956 barrels.

The next largest production increase after The Shop Beer was No. 83 California-based Brewery X (+44%, to 30,044 barrels).

Other regional craft breweries beyond the top 50 to record double-digit production volume growth include:

  • No. 61 pFriem Family Brewers +11%, to 40,381 barrels (Oregon);
  • No. 63 Maine Beer Company +13%, to 40,073 barrels (Maine);
  • No. 65 AleSmith Brewing Co. +14%, to 39,862 barrels (California);
  • No. 66 New Trail Brewing +33%, to 39,147 barrels (Pennsylvania);
  • No. 80 Breakside Brewery & Taproom +13%, to 31,110 barrels (Oregon);
  • No. 88 Big Grove Brewery +22%, to 29,108 barrels (Iowa);
  • No. 103 Marble Brewery +12%, to 23,500 barrels (New Mexico);
  • No. 106 Urban South Brewery +12%, to 23,500 barrels (Louisiana);
  • No. 107 Mother Road Brewing +11%, 22,941 barrels (Arizona);
  • No. 113 Altamont Beer Works +15%, to 21,108 barrels (California);
  • No. 115 NoDa Brewing Co +12%, to 20,957 barrels (North Carolina);
  • No. 121 Big Ditch Brewing +20%, to 20,346 barrels (New York);
  • No. 123 Whalers Brewing +18%, to 20,113 barrels (Rhode Island);
  • No. 125 No-Li Brewhouse +12%, to 20,005 barrels (Washington);
  • No. 141 Crux Fermentation Project +11%, to 18,227 barrels (Oregon);
  • No. 156 Austin Beerworks 12%, to 16,654 barrels (Texas);

Big Grove’s production is expected to continue to rise in 2024, thanks to an expansion project expected to double the brewery’s capacity. Big Grove broke into the top 100 for the first time in 2023, rising from No. 116 in 2022 and No. 150 in 2021. The brewery also became the best-selling craft brand in Iowa in the summer of 2023, beating out Molson Coors’ Blue Moon, the company previously told Brewbound.

Twenty breweries recorded single-digit production volume increases:

  • No. 51 Zero Gravity Brewery +1%, to 46,725 barrels (Vermont);
  • No. 54 Short’s Brewing +8%, to 43,870 barrels (Michigan);
  • No. 56 Russian River +3%, to 43,112 barrels (California);
  • No. 59 Santa Fe Brewing +3%, to 41,200 barrels (New Mexico);
  • No. 60 Highland Brewing +7%, to 40,900 barrels (North Carolina);
  • No. 67 Belching Beaver +2%, to 38,700 barrels (California);
  • No. 68 Toppling Goliath +1%, to 38,385 barrels (Iowa);
  • No. 78 New Realm Brewing +3%, to 31,767 barrels (Georgia);
  • No. 79 Fort George Brewery +1%, to 31,625 barrels (Oregon);
  • No. 87 Sycamore Brewing +5%, to 29,387 barrels (North Carolina);
  • No. 94 KettleHouse Brewing +5%, to 26,407 barrels (Montana);
  • No. 116 Parish Brewing +1%, to 20,890 barrels (Louisiana);
  • No. 120 New England Brewing +5%, to 20,380 barrels (Connecticut);
  • No. 127 Country Boy Brewing +5%, to 19,980 barrels (Kentucky);
  • No. 132 Hardywood Park Craft Brewery +4%, to 19,081 barrels (Virginia);
  • No. 134 MadTree Brewing +6%, to 19,000 barrels (Ohio);
  • No. 150 The Olde Mecklenburg Brewery +8%, to 17,300 barrels (North Carolina);
  • No. 154 Ex Novo Brewing +4%, to 16,969 barrels (New Mexico);
  • No. 167 Tampa Bay Brewing +8%, to 15,580 barrels (Florida);
  • And No. 171 3 Daughters Brewing +6%, 15,212 barrels (Florida);

In 2023, The Olde Mecklenburg Brewery (OMB) announced an expansion plan that includes an $18 million investment over two years in three new North Carolina facilities. The expansion is part of a new strategy to be less “Charlotte-centric” when it comes to the company’s image, including renewed packaging, to appeal to a broad base. The company previously projected double-digit production growth for 2023, based on “preliminary feedback” from wholesalers and key accounts.

Fifty-four breweries recorded production volume declines in 2023, 23 of which were double-digit declines. The largest percentage declines were recorded by No. 109 Saint Louis, Missouri-based Schlafly Beer (-27%, to 21,864 barrels) and No. 152 Boston-based Lord Hobo Brewing (-27%, to 17,074 barrels). 2023 marked Schlafly’s smallest annual output in at least six years, and marked the brewery’s first YoY production decline since 2020, when volume declined -22%, to 23,992 barrels, according to the BA.

Within the top 100 regional craft breweries, 11 recorded double-digit production declines:

  • No. 57 Made by the Water -16%, to 43,071 barrels (multiple breweries);
  • No. 58 North Coast Brewing -11%, to 42,474 barrels (California);
  • No. 73 Lakefront Brewery -11%, to 34,886 barrels (Wisconsin);
  • No. 74 Pelican Brewing -14%, to 34,884 barrels (Oregon);
  • No. 75 Sloop Brewing -12%, to 34,608 barrels (New York);
  • No. 81 Night Shift Brewing -14%, to 30,465 barrels (Massachusetts);
  • No. 82 Ackley Brands -10%, to 30,188 barrels (Washington);
  • No. 84 Lexington Brewing & Distilling -11%, to 29,782 barrels (Kentucky);
  • No. 89 Left Hand Brewing -22%, to 28,313 barrels (Colorado);
  • No. 96 Full Sail Brewing -25%, to 25,524 barrels (Oregon);
  • And No. 98 Yards Brewing -20%, to 25,242 barrels (Pennsylvania).

Made by the Water’s portfolio includes Faubourg Brewing Co., Catawba Brewing, Oyster City Brewing and Palmetto Brewing. Those brands faced several changes in 2023, including the closure of Catawba’s locations in Charlotte and Wilmington, North Carolina, in August, and the ceasing of Faubourg’s production operations in New Orleans in November. Faubourg shifted production of all its brands for distribution to contract brewing at IndieBrew (Georgia) and New Realm (Virginia), Made by the Water CEO Alexi Sekmakas shared with Brewbound at the time.

Made by the Water was a top 50 craft brewery, ranking No. 50, producing a combined 51,000 barrels of beer. North Coast also fell off the top 50 list, after ranking No. 40 in 2022.

Beyond the top 100, other regional craft brands to record double-digit declines include:

  • No. 104 Smuttynose Brewing -19%, to 23,795 barrels (New Hampshire);
  • No. 114 Monday Night Brewing -16%, to 21,000 barrels (Georgia);
  • No. 130 Wormtown Brewery -18%, to 19,405 barrels (Massachusetts);
  • No. 131 Silver City Brewery -17%, to 19,275 barrels (Washington);
  • No. 137 Ska Brewing -10%, to 18,747 barrels (Colorado);
  • No. 138 Great Divide Brewing -11%, to 18,407 barrels (Colorado);
  • No. 144 Indeed Brewing -15%, to 17,862 barrels (Minnesota);
  • No. 152 Lord Hobo Brewing -27%, to 17,074 barrels (Massachusetts);
  • No. 158 Starr Hill Brewery -14%, to 16,500 barrels (Virginia);
  • No. 159 Wachusett Brewing -12%, to 16,219 barrels (Massachusetts);
  • No. 163 Iron Horse Brewery -19%, to 15,861 barrels (Washington);

In late 2023, Smuttynose’s parent company Finestkind Brewing acquired New York-based Five Boroughs Brewing, with production moved to Smuttynose’s facility in Hampton, New Hampshire. Five Boroughs’ 2023 production was not published by the BA, but it was included in the list of microbreweries.

Last month, Massachusetts-based Jack’s Abby announced plans to acquire Wormtown. Moving forward, the two breweries will operate under the newly created parent company Hendler Family Brewing Co.

The remaining brewery declines were single-digits, including:

  • No. 52 Cape May -6%, to 39,275 barrels (New Jersey);
  • No. 55 Fremont Brewing, -8%, to 43,540 barrels (Washington);
  • No. 62 Real Ale Brewing -3%, to 40,227 barrels (Texas);
  • No. 69 New Holland Brewing -9%, to 37,266 barrels (Michigan);
  • No. 70 SanTan Brewing -7%, to 37,157 barrels (Arizona);
  • No. 71 River Horse Brewing -1%, to 35,768 barrels (New Jersey);
  • No. 76 Mother Earth Brew Co. -2%, to 32,856 barrels (California);
  • No. 77 Pure Madness Brewery Group -7%, to 32,192 barrels (Wyoming);
  • No. 85 Columbus Brewing -2%, to 29,546 barrels (Ohio);
  • No. 86 Castle Danger Brewery -5%, to 29,501 barrels (Minnesota);
  • No. 92 Sun King Brewing -9%, to 27,261 barrels (Florida);
  • No. 95 Reuben’s Brews -5%, to 25,643 barrels (Washington);
  • No. 97 Fulton Beer -4%, to 25,397 barrels (Minnesota);
  • No. 100 Wiseacre Brewing -7%, to 24,612 barrels (Tennessee);
  • No. 101 Huss Brewing -1%, to 24,493 barrels (Arizona);
  • No. 110 Denver Beer Co. -3%, to 21,849 barrels (Colorado);
  • No. 111 Straub Brewery -2%, to 21,634 barrels (Pennsylvania);
  • No. 112 Dust Bowl Brewing -4%, to 21,484 barrels (California);
  • No. 117 Upslope Brewing -2%, 20,676 barrels (Colorado);
  • No. 119 4 Hands Brewing -9%, to 20,421 barrels (Missouri);
  • No. 122 Calicraft Brewing -2%, to 20,147 barrels (California);
  • No. 124 Maplewood Brewing -6%, to 20,035 barrels (Illinois);
  • No. 128 Von Trapp Brewing -2%, to 19,684 barrels (Vermont);
  • No. 129 Good People Brewing -3%, to 19,500 barrels (Alabama);
  • No. 133 Independence Brewing -1%, to 19,049 barrels (Texas);
  • No. 148 Société Brewing -3%, to 17,500 barrels (California);
  • No. 153 La Cumbre Brewing -1%, to 17,058 barrels (New Mexico);
  • No. 155 Fall River Brewing -4%, to 16,750 barrels (California);
  • No. 166 Flying Fish Brewing -2%, to 15,644 barrels (New Jersey);
  • No. 172 Figueroa Mountain Brewing -1%, to 15,203 barrels (Colorado);
  • And No. 175 Altstadt Brewery -3%, to 15,000 barrels (Texas).

Cape May shut down its self-distribution arm in late 2023, and sold its distribution rights to the Molson Coors network in New Jersey. At the time, company leadership said they planned to use the undisclosed proceeds of the sale to invest in “expanded production, state-of-the-art brewing equipment and growth of footprint.” In April 2023, the brewery announced plans to acquire Flying Fish, one of New Jersey’s oldest craft breweries. However, the sale was called off in June after “extensive analysis during the diligence phase,” Cape May said at the time.

Last month, Seattle Hospitality Group (SHG) announced plans to acquire a “controlling interest” in Fremont brewing. Pike Brewing, which SHG acquired in 2021, will be folded into Fremont, but each brewery will continue to operate as individual brands, SHG VP of marketing Scott Meis told Brewbound.

In June 2023, River Horse acquired DuClaw Brewing. The BA includes acquired brands’ volume for all months after an acquisition. At its peak in 2021, DuClaw produced 30,201 barrels of beer annually – a steep +65% increase year-over-year (YoY) – but its barrelage declined -11% in 2022 to an estimated 27,000 barrels. The brewery’s 2023 production was not separated out in the most recent New Brewer.

All other regional craft breweries with production volume recorded by the BA were flat YoY:

  • No. 53 Two Roads Brewing 43,949 barrels (Connecticut);
  • No. 64 The Florida Brewery 39,953 barrels (Florida);
  • No. 72 The Lion Brewery 34,959 barrels (Pennsylvania);
  • No. 90 Red Oak Brewery 27,967 barrels (North Carolina);
  • No. 91 Big Sky Brewing 27,261 barrels (Montana);
  • No. 93 Carib Brewery 26,786 barrels (Florida);
  • No. 99 Fort Point Beer Company 24,971 barrels (California);
  • No. 102 Two Brothers Brewing 24,471 barrels (Illinois);
  • No. 105 Coppertail Brewing 23,772 barrels (Florida);
  • No. 118 Buoy Beer 20,476 barrels (Oregon);
  • No. 135 HenHouse Brewing 18,978 barrels (California);
  • No. 139 Revision Brewing 18,403 barrels (Nevada);
  • No. 140 Alchemist Cannery 18,403 barrels (Vermont);
  • No. 142 Three Notch’d Brewing 17,979 barrels (Virginia);
  • No. 143 Lone Pine Brewing 17,917 barrels (Maine);
  • No. 146 Krebs Brewing 17,801 barrels (Oklahoma);
  • No. 151 Kane Brewing 17,250 barrels (New Jersey);
  • No. 160 Wild Leap Brewing 15,889 barrels (Georgia);
  • No. 162 Lost Forty Brewing 15,889 barrels (Arizona);
  • No. 165 COOP Ale Works 15,782 barrels (Oklahoma);
  • No. 169 Yazoo Brewing Co. 15,482 barrels (Tennessee);
  • No. 170 Westbrook Brewing Co. 15,232 barrels (South Carolina).

New York-based Industrial Arts Brewing was listed as both No. 126, with production declining -5%, to 20,000 barrels, and as No. 108, with production flat at 22,586 barrels. Brewbound has reached out to Brewers Association chief economist and VP of strategy Bart Watson and will update. Due to the discrepancy, Industrial Arts is not included in the regional totals listed above.

Update May 29 2:26 p.m. ET

Industrial Arts Brewing was the 108th largest regional craft brewery by volume in 2023, with flat production YoY (22,586 barrels), BA staff economist Matt Gacioch told Brewbound, via email.