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U.S. Accelerates Brewing Dregs and Waste Exports to Asia


U.S. Accelerates Brewing Dregs and Waste Exports to Asia

IndexBox has just published a new report: ‘U.S. – Brewing Or Distilling Dregs And Waste – Market Analysis, Forecast, Size, Trends And Insights’. Here is a summary of the report’s key findings.

American brewing dregs and waste exports remain buoyant, growing by +4.5% y-o-y to $2.3B in 2020. A slump in shipments to Mexico, the leading importer of brewing dregs from the U.S., was offset by increased supplies to the Asian countries. Purchases by Mexico, Viet Nam and South Korea constitute 39% of the total volume exported from the U.S. The average export price for brewing dregs and waste increased by +2.9% y-o-y to $212 per tonne in 2020.

American Exports of Brewing Dregs and Waste

Exports of brewing dregs and waste from the U.S. rose modestly to 11M tonnes in 2020, increasing by +1.6% y-o-y. In value terms, exports grew by +4.5% y-o-y to $2.3B (IndexBox estimates) in 2020.

Mexico (1.7M tonnes), Viet Nam (1.3M tonnes) and South Korea (1.3M tonnes) were the leading destinations for brewing dregs and waste supplied from the U.S., together comprising 39% of the total export volume. These countries were followed by Indonesia, Thailand, Turkey, Japan, Canada, Ireland, the Philippines, China, New Zealand and Taiwan (Chinese), which together accounted for a further 44%.

In 2020, American supplies to Viet Nam (+7.0% y-o-y), South Korea (+1.3% y-o-y), Indonesia (+1.3% y-o-y), Thailand (+46.4% y-o-y) and (China (+55.4% y-o-y) increased significantly. By contrast, exports to Mexico dropped by -14.2% y-o-y.

In value terms, Mexico ($383M), Viet Nam ($285M) and South Korea ($272M) appeared to be the largest markets for brewing dregs exported from the U.S. worldwide, together accounting for 40% of total exports. These countries were followed by Indonesia, Thailand, Turkey, Japan, Canada, Ireland, the Philippines, China, New Zealand and Taiwan (Chinese), which together accounted for a further 43%.

The average export price for brewing dregs and waste from the U.S. stood at $212 per tonne in 2020, surging by +2.9% against the previous year. In 2020, the countries with the highest prices were Thailand ($230 per tonne) and Viet Nam ($222 per tonne), while the average prices for exports to Canada ($169 per tonne) and Turkey ($199 per tonne) were amongst the lowest. In 2020, the most notable growth rate in terms of prices was recorded for supplies to Thailand, while the prices for the other significant destinations experienced more modest paces of growth.

Source: IndexBox Platform

yakima chief hops

How WMS Allows Yakima Chief Hops to Increase Customer Satisfaction

As a 100% grower-owned network of family hop farms, Yakima Chief Hops is uniquely positioned to establish strong relationships between the growers who supply their super-premium hops and the innovative brewing customers who utilize their products in their beer. YCH are also committed to being an environmentally and socially responsible company as well as a responsible neighbor and asset to their communities.


YCH’s Supply Chain Needs


YCH comprises 59 users located in 3 campuses, which in turn are located in Sunnyside and Yakima in California, as well as a new one Belgium. Each of these facilities has its own warehouse. These facilities function with multi-channel distribution to supply a variety of clients, from private to commercial brewers, using eCommerce.

YCH’s commitment to safety and complete traceability of their ingredients requires precise inventory visibility,  control, and tracking elements from the field all the way to the transformation process. Inventory accuracy is the key for success and for YCH to reach their data visibility goals.

Generix Group’s WMS as a Solution

YCH decided to implement Solochain WMS to gain the inventory accuracy they needed. With the warehouse management system, YCH collected constant data on the movement of their products in their facilities. Thanks to this visibility, they cut losses from inventory mistakes that the system enabled them to avoid.

The Solochain WMS also integrated with the Sage X3 ERP and Magento eCommerce due to the flexibility of the WMS.

Goals Achieved

Automating: Opting for automation and switching to the WMS allowed YCH to reduce paper usage by shifting from a pen and paper process to scan guns, which also allowed them to store more data while being more efficient. In addition, automation enabled them to trace the hops to their original growers. This also makes recall management easier and the products safer.

Cost Reduction: The new system increased YCH’s precision and decreased losses related to inefficiency. Inventory visibility assured that YCH stopped experiencing the lost inventory cases they had prior to implementation.  Once the Solochain WMS was implemented, the company realized a net gain of 83,861 Cartons that did not have to be transferred prior to shipping out to the customers.

Increase in Customer Satisfaction:  YCH has been able to cut multiple days from their shipping time which has improved the satisfaction of their customers who received their orders much faster. They also achieved a 24-hour turnaround for eCommerce leading to satisfied customers.

Better Environment for Employees: Employees experienced a smooth change from the old system to the new one. The user-friendly Solochain interface helped the adaptation and provided a process that employees could use more comfortably and that allowed them to work more efficiently.

Solochain WMS helped Yakima Chief Hops in their strive for increased visibility, safety, and quality of service. The gained inventory visibility facilitated recalls when necessary, while the increase in warehouse management efficiency allowed YCH to offer a faster and more precise service to their customers.

As a 100% grower-owned network of family hop farms, Yakima Chief Hops is uniquely positioned to establish strong relationships between the growers who supply our quality hops and the brewing customers who utilize our products in their beers.

About Yakima Chief Hops:

“Operating for more than 30 years, we have become more than a hop supplier. We are a resource for brewers, providing solutions-based products and industry-leading research. We are advocates of sustainability and meaningful social causes, working to support the environment and communities around us. Through our commitment to continuous improvement, we aim to be leaders of innovation, quality and customer service.”

Generix Group North America provides a series of solutions within our Supply Chain Hub product suite to create efficiencies across an entire supply chain. From Warehouse Management Systems (WMS) and Transportation Management Systems (TMS) to Manufacturing Execution Systems (MES) and more, software platforms can deliver a wide range of benefits that ultimately flow to the warehouse operator’s bottom line. Our solutions are in use around the world and our experience is second-to-none. We invite you to contact us to learn more.

This article originally appeared here. Republished with permission. 

Hola y Mucho Gusto, America! This Montejo’s for You!

Los Angeles, CA – Anheuser-Busch is importing its first Mexican lager to the US in a concerted campaign to tap the fast-growing Hispanic market.

Anheuser-Busch said that starting next month it will sell Montejo lager in bars, restaurants and grocery stores in California, Texas, Arizona, and New Mexico.

Nearly 55 percent of all imported lagers in the US are imported from Mexico, including such brands as Corona, Modelo, Tecate and Dos Equis, according to market researcher Euromonitor International.

The Mexican import market in $2012 was valued at $1.8 billion with South of the Border brands currently commanding a 60 percent share of the US imported beer market.

“There’s obviously a growing consumer demand and preference for Mexican beers in the US,” Ryan Garcia, Anheuser-Busch’s vice president of regional marketing, said in a press interview.

That’s due to both demographics, but also to price as Mexican beers tend to be cheaper because import costs are lower, said Euromonitor.

With origins in Mexicos’s Merida, Yucatan, Montejo is brewed at Cerveceria Modelo S. de R.L. de C.V. in Oaxaca, Mexico.

Its export to the US market will be the first time the brand is available outside of Mexico. According to InBev, current plans don’t call for Montejo to be made available beyond the southwestern US, where most current sales of Mexican imports occur.

Anheuser-Busch, a subsidiary of Belgium-based Anheuser-Busch InBev, the world’s largest beer maker, will launch Montejo in California, New Mexico, Arizona and Texas with an integrated advertising and marketing campaign that includes Hispanic targeted radio, digital, print, experiential and outdoor advertising.

Consumers in Los Angeles, Houston and San Antonio residents will also catch a glimpse of one of Mexico City’s classic VW Beetle “vocho” taxicabs delivering Montejo samples to various local events and festivals.