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Author Topic: Buying Hops  (Read 392 times)

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Offline bouquet

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Buying Hops
« on: May 11, 2018, 10:08:04 PM »
Question for the masses. Whilst sitting having a beer at a local craft brewer ( in the vicinity of West Lakes) and shooting the shit with a worker/partner/owner (not sure) but we got onto the topic of brewing at home. During the discussion he looked at me and said "you home brew guys get ripped off for the price you pay for hops". I didn't really know what to say from that comment but looking back I wish I said 'well if we're getting screwed how about you sell me hops at your price + a little".

So is it true, are we home brewers getting ripped off for hops?

And if so would a few of the local craft brew joints around Adelaide sell hops on the side.




Offline punkin

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Re: Buying Hops
« Reply #1 on: May 12, 2018, 03:54:24 AM »
It's about quantity. Look at the difference in price for 2 kilos of base malt or a pallet of base malt in a bulk buy.

Now imagine one guy buying 90 gms of hops a month and a craft brewery buying hundreds of kilos at a time.

I used to buy hops 30kgs at a time for one of my customers and the price i paid per kg was way less than if i'd walked into a HBS and bought 90 gms. I'm assuming the price i paid was far in excess of what a alrge or small brewery would pay per kilo too.

Last week i sent a 200l still to a saffron essence distiller in Tassie. There was a mixup on the freight charges and TNT charged my account instead of their carriers account. We got the charge reversed but what was $911 on my account was $300 on their account, solely because of the amount of freight they push through the account.
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Offline ben_sa

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Re: Buying Hops
« Reply #2 on: May 12, 2018, 07:06:55 AM »
Just buy it by the pound from the US. Yakima etc do pretty good deals. I'm still going on a ppund of centennial I bought 3 years ago and still tastes great... providing it is stored correctly...

Or... you can organize a bulk buy 😁
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Offline DrSmurto

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Re: Buying Hops
« Reply #3 on: May 12, 2018, 08:36:48 AM »
True but I prefer to buy small quantities of fresh hops as I need. That means I don't feel obliged to use up a few kg of 1 variety. It depends on how much you use. Kieran would rival Pirate Life in his hop usage despite the small difference in scale. I brew more hop subtle beers.

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Online Hatchy

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Re: Buying Hops
« Reply #4 on: May 12, 2018, 09:40:48 AM »
I believe Pirate Life use one pellet per month more than Kieren does.
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Offline NigeP62

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Re: Buying Hops
« Reply #5 on: May 12, 2018, 10:36:51 AM »
I really shouldn't get into this discussion but it depends what value you put on the small retailers time, knowledge etc...
His rent costs, his power costs, his equipment costs..... I could go on...
If any of you think they make a bundle of cash you're welcome to look at my books. On top of everything there are homebrewers trying to save every penny with bulk buys and reasonably easy access to wholesale prices.
Then there are the writeoffs of out of date/ old stock that no one will buy. All these are costs that need to be accounted for when setting prices.
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Offline MAH

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Re: Buying Hops
« Reply #6 on: May 12, 2018, 11:40:04 AM »
Like others have said. If you buy a lot of something it costs less per keg/tonne/whatever, if you buy a little of something it costs more.

The reason it costs more is because someone has to buy it in bulk and break it down and you have to pay for their expenses (and there are many more expenses than just the product costs) + a reasonable profit for their time and investment.

You can either A) buy in bulk for yourself or B) buy as you need and pay more.

Personally I buy as I need as I find buying hops in bulk to be a false economy as you can find yourself with loads of hops sitting in the freezer getting older and older. If you used one or two ypes of hops only, maybe it would work out.

To me it's no different to buying meat. If I want a few lamb chops it's way more expensive per kg than if I bought a whole lamb. I don't begrudge the butcher, so I don't begrudge the LHBS.

Offline Mark D Pirate

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Re: Buying Hops
« Reply #7 on: May 12, 2018, 12:35:17 PM »
I grabbed a few kgs from Yakima recently , great prices but I'm sure the ATO or customs want to know if I started bringing commercial quantities into country
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Offline bouquet

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Re: Buying Hops
« Reply #8 on: May 12, 2018, 03:23:36 PM »
Thanks for all the insight and the reason for my question was based around; if you're going to make a statement then back it up and help save the small guy a dollar. No point saying it then charge me $25 for 2 pints. I understand the whole bulk purchase, time, bringing in cost to offset others.

On the other hand with these tax cuts the small craft brewers now receive, I guarantee the price of craft beer doesn't some down.

Online Hatchy

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Re: Buying Hops
« Reply #9 on: May 12, 2018, 03:29:24 PM »
I don't think the tax cuts are going to be worth enough for prices to come down. It will potentially stop them from going up as soon as they otherwise might, but I wouldn't expect prices to come down. Microbreweries pots of gold are about as large as the ones Nige mentioned.
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Offline cronessa

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Re: Buying Hops
« Reply #10 on: May 12, 2018, 05:34:14 PM »
FWIW I think most craft breweries price their beer pretty reasonably. It's on par with the big commercials or a dollar or two more per pint for much more interesting beer.

If there is any meat on the tax cuts I hope the micros use it for innovation, maybe buy a piece of equipment they otherwise wouldn't have.

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Offline Edi Amin

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Re: Buying Hops
« Reply #11 on: May 12, 2018, 09:33:22 PM »
I don't think many micros were putting out beers in <48.5 L kegs before the tax cut, so I don't expect there to be any drop in prices. Might get some fresher beer rotating through smaller kegs.
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Online Hatchy

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Re: Buying Hops
« Reply #12 on: May 13, 2018, 08:53:29 AM »
I don't think many micros were putting out beers in <48.5 L kegs before the tax cut, so I don't expect there to be any drop in prices. Might get some fresher beer rotating through smaller kegs.

I wondered about this too. Maybe micros will start selling cornies to home brewers?
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Offline NigeP62

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Re: Buying Hops
« Reply #13 on: May 13, 2018, 09:32:18 AM »
I don't think many micros were putting out beers in <48.5 L kegs before the tax cut, so I don't expect there to be any drop in prices. Might get some fresher beer rotating through smaller kegs.

I wondered about this too. Maybe micros will start selling cornies to home brewers?
One I know of had previously looked at providing kegerators to local restaurants and selling them beer in cornies.

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Offline raven19

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Re: Buying Hops
« Reply #14 on: May 14, 2018, 02:27:37 PM »
I don't think many micros were putting out beers in <48.5 L kegs before the tax cut, so I don't expect there to be any drop in prices. Might get some fresher beer rotating through smaller kegs.

I wondered about this too. Maybe micros will start selling cornies to home brewers?
One I know of had previously looked at providing kegerators to local restaurants and selling them beer in cornies.

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2.5x as many kegs to clean going down the corny route. More labour! Possible though.

30L disposable (recyclable) kegs will definitely come into play more so now imo, given their one way nature, easier to lift etc.
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Offline FishersFirst

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Re: Buying Hops
« Reply #15 on: May 14, 2018, 08:09:02 PM »
I don't think many micros were putting out beers in <48.5 L kegs before the tax cut, so I don't expect there to be any drop in prices. Might get some fresher beer rotating through smaller kegs.

I wondered about this too. Maybe micros will start selling cornies to home brewers?
One I know of had previously looked at providing kegerators to local restaurants and selling them beer in cornies.

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2.5x as many kegs to clean going down the corny route. More labour! Possible though.

30L disposable (recyclable) kegs will definitely come into play more so now imo, given their one way nature, easier to lift etc.
Business opportunity: produce 48L kegs...