US Brewers Ship 12.3 Million Barrels in November
U.S. brewers shipped 12.3 million barrels of beer in November 2020, a decline of 0.8% (or 96,000 fewer barrels than in 2019), according to domestic tax paid estimates from the Alcohol and Tobacco Tax and Trade Bureau (TTB) shared by the Beer Institute (BI).
This marked the first decline of the year since May. Nevertheless, the BI cautioned that revisions are expected due to a postponement in reporting requirements for filing and payment due dates of up to 90 days.
November’s numbers follow a slight increase (+0.6%) in shipments in October 2020, with 13.25 million barrels of beer being shipped during the month.
Year-to-date through November, brewers have shipped more than 151.9 million barrels of beer, a decline of 0.8% compared to the same 11-month period in 2019.
The December 2020 domestic tax paid estimate is slated to be released on January 28.
NBWA: Beer Purchasers’ Index Shows Expansion in November 2020
Wholesaler beer purchasing expanded in November, according to the National Beer Wholesalers Association’s (NBWA) monthly Beer Purchasers’ Index (BPI).
“We’re still seeing beer distributors around the country trying to rebuild their inventories that got seriously depleted after the COVID pantry rush,” NBWA chief economist Lester Jones said during a webinar reviewing the beer industry in 2020 hosted by Fintech last week.
Beer overall posted a reading of 77 in November’s BPI, which means purchasing managers at wholesalers planned to order more beer than they did the previous month. Readings over 50 indicate expansion, while readings under 50 indicate contraction.
“It’s basically a thumbs up or thumbs down measure,” Jones said. “Are you ordering more or ordering less?”
Nearly all segments expanded in November 2020, and all segments posted higher readings than November 2019. Flavored malt beverages, which include hard seltzers, posted the highest reading at 87, a significant increase over the segment’s index of 69 in November 2019.
Premium lights had the largest swing in purchasing intent, with a reading of 70 in November 2020, compared to 37 in November 2019. Premium reading of 59 in November 2020 was up 30 points from its November 2019 index. Imports continued to expand, with a reading of 65 in November 2020, up from 53 in November 2019. Craft beer purchasing intent remained about the same, with a reading of 55 in November 2020 and 53 in November 2019.
Only cider and below premiums indicated contraction, and the latter just barely, with a reading of 49 in November 2020. Cider’s reading of 34 in November 2020 was up two points from November 2019.