Craft beer sector turnover forecast to rise almost 50% to €59m

The number of microbreweries in Ireland has more than quadrupled since 2012, according to a new study that estimates turnover in the sector will rise by close to 50 per cent this year.

The report, which was commissioned on behalf of Bord Bia to coincide with the sixth annual Irish Craft Beer Festival taking place at the RDS in Dublin later this week, shows there are currently 90 microbreweries operating in Ireland. Of these, 62 are producing beer on their own premises, with the remainder marketing and selling products produced on their behalf by other breweries.

Total turnover of craft beer producers was estimated at €23 million two years ago. Revenue of €40 million was recorded for 2015, with a projected turnover of €59 million for 2016.

Capacity expansion

Between 2011 and 2015, the output of production microbreweries rose by more than 415 per cent to reach 134,000 hectolitres (hl) last year. This marks a 56 per cent increase versus 2014’s figure of 86,000hl.

Capacity expansion continues apace, and that coupled with the influx of new breweries, is expected to lead to output in the region of 197,000hl, according to the report.

Of the total microbrewery production in 2015, an estimated 24,000 hl was exported. This is equivalent to 18 per cent of all craft beer produced. While this is 7 per cent lower than in 2014, it is based on a larger production volume.

Overall, craft beer represented 2.5 per cent of total beer consumption in Ireland last year and this is projected to rise to 3.4 per cent in 2016.

The study estimates that 479 people are employed in microbreweries with 167 direct jobs coming on stream in the last year alone.