Traditional breweries in Germany: a dramatic decline!

Little reason to joy in the beer industry in Germany: In the past five years, the number of breweries has dropped by 93 to only 1,459, as the German Brewer Association (DBB) announced. This alarming development means a clear downturn for many traditional brewers who are increasingly fighting against the serious challenges of the market. According to the DBB President Christian Weber, the main causes are the Corona pandemic, the energy price crisis and the general consumption restraint, which in particular put a heavy burden on smaller companies.

Bavaria is particularly affected, which records the deepest decline with a minus of 50 brewing sites, while it still has most breweries in the country. North Rhine-Westphalia and Hesse follow with declines of 24 and 14 companies, whereby the percentage losses in these federal states are even more serious. However, Weber also gives hope: Despite the nationwide trend, some federal states such as Saxony, where the number of breweries rose by seven to 84, have set a positive sign. The most populous federal state even doubled compared to 1995, according to the data of the Statistical Federal Office, which in reports from OE24.at and sueddeutsche.de

breweries with great challenges

Another problem is the impending climate transformation: Many breweries are faced with the challenge of becoming climate -neutral by 2045. According to Weber, around 80 percent of the systems have to be completely rebuilt when converting gas to electricity operation- and the corresponding technologies are often still under development. These uncertainties regarding the expected energy costs, which make up to 15 percent of the manufacturing costs in large breweries, are crucial for the future of many companies. The DBB appeals to future political decision -makers to ensure affordable energy and planning security in order to support structural change and to promote new start -ups.