Industry insight - Hop prices will climb this year.

**Austinhomebrew** · 02-17-2010, 01:16 AM

There is a glut of hop right now as an over reaction to the shortage. I heard last week directly from a hop supplier that there will be less plantings soon. They are trying to match supply and demand because it is a perishable item.

Buy hops now while they are at very low prices. Buy where you can get the best prices.

Forrest

RC0032 · 02-17-2010, 01:30 AM

**Donner** · 02-17-2010, 01:40 AM

I am curious about something. I understand they have a lot of hops they can't sell since there is more supply than demand, but do you get the sense they are trying to keep prices high, as in the $3-4 per ounce we had a few years ago? Or are you saying the prices will be somewhere in between then and now?

zanemoseley · 02-17-2010, 01:43 AM

I'm curious what "less plantings" means, don't the hops come up every year from the same plant. I just got 4lb which should last at least a year, we'll see what comes.

**Austinhomebrew** · 02-17-2010, 01:47 AM

Quote:

Originally Posted by Donner

I am curious about something. I understand they have a lot of hops they can't sell since there is more supply than demand, but do you get the sense they are trying to keep prices high, as in the $3-4 per ounce we had a few years ago? Or are you saying the prices will be somewhere in between then and now?

What I am talking about is that you can now buy Willamette hop pellets for $6.75 a pound, for example. There are a lot of cheap hops right now. I am saying that the prices will go up, but not to where they were during the shortage. Buy now as cheap as you can find it and freeze them.

**Donner** · 02-17-2010, 01:52 AM

Ah, just making sure. I wasn't sure if the industry enjoyed having high hop prices or if they needed to get back to a sustainable price that was in between the high and low.

thanks for the heads up

hoppymonkey · 02-17-2010, 01:53 AM

already stocked up

hopsdirect kicks ass!

**joety** · 02-17-2010, 02:01 AM

How long can I safely store them with a chest freezer and vacuum sealer?

SPLASTiK · 02-17-2010, 10:05 AM

Quote:

Originally Posted by Austinhomebrew

What I am talking about is that you can now buy Willamette hop pellets for $6.75 a pound, for example.

In case of Willamette, that's because of the InBev buyout of Bud though... AB bought around 95% of the crop and used to ask to keep an extra 12-18 months worth on hand in case something went wrong. After the merger with InBev, the company has been streamlining and now only want a 3-6 month carryover, so there's tons of excess Willamette. Many farmers weren't even harvesting Willamette because it was cheaper not to.

TopDog · 02-17-2010, 11:27 AM

Quote:

Originally Posted by Austinhomebrew

Buy hops now while they are at very low prices. Buy where you can get the best prices.Forrest

Appreciate the heads up, Forrest. Unfortunately, other than the bulk market, resellers aren't reflecting the glut. Someone else in the thread touched on it, but I'd like your perpective on why hops are still $2.99 by the ounce? Not trying to pick on AHS as it seems everyone has about the same price, but I'd much rather buy locally from you since you're just (literally) up the street from where I work. I do 15g batches and am ramping up to 25g, so I just can't justify buying the hops at that price when it's much more economical to buy in bulk even if I only need 4-5 ounces. (In the case of Willamette, if I need 3 oz, it's a better deal to buy 16 @ $6.75 and freeze the extra 13.)

Again, not picking on you, AHS is fantastic, but would really like to hear from a retailer's perspective on why the 300-800% markup?