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07 March 2014

More breweries but declining beer production

Where do they take their courage from? At the end of 2014 there will be between 430 and 440 breweries in Switzerland, an increase of 6 percent over 2013. There were 409 breweries in 2013, up from 32 in 1990 when the Swiss beer cartel was dismantled. However, 96 percent of all breweries produce less than 15,000 hl beer annually, Swiss authorities say.

Therefore, beer excise revenues have been flat since 2010 at CHF 113 million (USD 128 million), as small brewers enjoy a tax break and homebrewers, who brew 400 litres per year, go tax-free.

Many market observers wonder how many of the start-up breweries will manage to survive in the long run. There are two trends to contend with: overall beer consumption has been flat for several years, despite population figures going up, while beer imports have been on the rise. In 2000 only 14 percent of all beer drunk was imported. By 2013 it had risen to 26 percent. In 2013 all Swiss brewers produced 3.4 million hl beer (2012: 3.5 million hl). Total consumptions stood at 4.6 million hl, which translates into a per capita consumption of 57 litres.

Still, what makes the Swiss inordinately proud is the fact that they have one brewery per 19,000 inhabitants, whereas in the U.S. there is only one per 125,000 people.

In view of the recent controversial plebiscite to curb the influx of foreigners, perhaps the Swiss should introduce a Norman Tebbit-type test to choose the right kind of beer-loving immigrant?

Mr Tebbit’s was the infamous “cricket test”. If you have forgotten what it was or are too young to remember, here is a quick reminder: In 1990 the conservative politician suggested that Britons of South Asian origin should be asked which cricket team they supported.

If they did not follow England and were fans of India or Pakistan, he felt that it showed that they had failed to integrate into British society.

How about Switzerland doing a “beer test” instead?

Switzerland’s renaissance of craft brewing

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