Beer is no longer trendy

As of: February 1, 2024 3:16 p.m

Breweries are talking about a very dark year 2023: In the past 30 years, beer sales in Germany have fallen by more than a quarter. Exports are also declining.

The sales crisis for breweries in Germany continues. Last year they were able to sell 8.4 billion liters of beer, around 4.5 percent less than the year before, as the Federal Statistical Office reported on Thursday.

Significantly more beer is drunk in the spring and summer months than in the fall or winter months. A long-term trend is also noticeable. “Annual beer sales in Germany are continuously declining,” says the Federal Statistical Office.

In 2023 it was 11.5 percent lower than ten years ago (9.5 billion liters) and even 25.3 percent lower than 20 years ago (11.2 billion liters). Not only are domestic sales falling, exports are also falling significantly.

Mixed drinks are also affected

Beer mixed with lemonade, cola, fruit juice or other non-alcoholic additives accounts for around 4.8 percent of total beer sales. There was also a decline in sales of these drinks in 2023. At 9.2 percent, it was significantly higher than for the classic types of beer.

The restrictions caused by the corona pandemic are no longer applicable; Restaurants and bars have long since reopened. There are also more festivals being celebrated again and large outdoor events taking place where alcohol consumption plays a role. But the still high inflation in the country is leaving deep marks. Food in particular has become significantly more expensive in recent months.

Hard times lie ahead

Consumers react. You save on groceries and drinks. The trend towards a more health-conscious attitude to life with less alcohol consumption also plays a role, as does demographic development. The population is getting older and older. The group between 20 and 40 who enjoy going out and drinking is shrinking. Since 1993, beer sales in Germany have fallen by more than a quarter.

Many breweries have already had difficult years. Financial reserves have been used up. Continuing operations involves high investment costs, especially for some companies. The owners are faced with the decision of whether continuing the business would still be worthwhile from a financial perspective.

According to the German Brewers’ Association, it will be years before breweries can hope for a recovery in view of cost pressure and economic developments.

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