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Challenges to the Beer Industry The health of the food supply after a heavy biofuels mandate

Challenges to the Beer Industry The health of the food supply after a heavy biofuels mandate. By: Michael Hotz & Rob Sladek. Renewable Fuels Impacts. Crops for biofuels get subsidized to the equivalent rate of $24.60 per acre Barley production down 5.5% just in 2007, likely to continue.

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Challenges to the Beer Industry The health of the food supply after a heavy biofuels mandate

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  1. Challenges to the Beer IndustryThe health of the food supply after a heavy biofuels mandate By: Michael Hotz & Rob Sladek

  2. Renewable Fuels Impacts • Crops for biofuels get subsidized to the equivalent rate of $24.60 per acre • Barley production down 5.5% just in 2007, likely to continue

  3. Climate • Bad Weather • Yield 1.6 million tons  1.2 million tons • 270 Euros/ton  385 Euros/ton • Poor Quality • Early Germination • Off Taste • Reduced performance • Unable to Switch to Rice or Corn

  4. Beer Law 1516 Germany can only use four ingredients in their beer making process • Malted Grain • Hops • Yeast • Water First used to stop buying competition from bread and beer • Neuzeller Kloster Brewery (Black Beer Controversy)

  5. Beer Pricing Increase One liter = $10.70 This is a 5.5% increase from the previous Octoberfest

  6. Inflation • Electricity  +12.4% • Dairy Products  +23.0% • Oil Food Products  +42.7% • Rice and Cereals  +26.9%

  7. Types of German Beer • Altbier (old beer) • Berliner Weisse (Berlin wheat beer) • Bock (strong lager) • Dortmunder Export • Dunkel (dark beers) • Gose (a distinctive Leipzig style) • Hefeweizen (Bavarian wheat beer) • Kristallweizen (filtered Bavarian wheat beer) • Kölsch (Koelsch) (a very pale ale from Cologne/Köln) • Märzen (Bavarian "March Beer" — the original Oktoberfest beer) • Münchner Helles (Munich light lager) • Pils (AKA Pilsner or Pilsener) • Sticke (strong altbier) • Rauchbier (smoke beer)

  8. German Beer Process

  9. German Drinking Culture • Can’t be alcoholics because they drink beer • 42,000 deaths due to alcohol per year • 1.7 million Germans “dependent on alcohol” • Potential law change limiting teenage drinking

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