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U.S. brewery count tops 3,000, industry shifting to localization

July 14, 2014Keith Gribbins

brewery-brew-house-vessels
3,040 to be precise.

The American brewing industry reached another milestone at the end of June, with more than 3,000 breweries operating for all or part of the month (3,040 to be precise), according to a recent report by the Brewers Association (BA). Although precise numbers from the 19th century are difficult to confirm, this is likely the first time the United States has crossed the 3,000 brewery barrier since the 1870s. Apparently, the Internal Revenue Department counted 2,830 “ale and lager breweries in operation” in 1880, down from a high point of 4,131 in 1873, according to the BA.

Bart Watson, chief economist for the Brewers Association, had this to say on the association website:

What does 3,000 breweries mean? For one, it represents a return to the localization of beer production, with almost 99 percent of the 3,040 breweries being small and independent. The majority of Americans live within 10 miles of a local brewery, and with almost 2,000 planning breweries in the BA database, that percentage is only going to climb in the coming years.

Secondly, it means that competition continues to increase, and that brewers will need to further differentiate and focus on quality if they are going to succeed in a crowded marketplace. While a national brewery number is fairly irrelevant without understanding local marketplaces, 3,040 breweries could not happen without increased competition in many localities.

What it does not mean is that we’ve reached a saturation point. Most of the new entrants continue to be small and local, operating in neighborhoods or towns. What it means to be a brewery is shifting, back toward an era when breweries were largely local, and operated as a neighborhood bar or restaurant. How many neighborhoods in the country could still stand to gain from a high-quality brewpub or micro taproom? While a return to the per capita ratio of 1873 seems unlikely (that would mean more than 30,000 breweries), the resurgence of American brewing is far from over.

Bart Watson, Chief Economist for the Brewers Association, is a stats geek and beer lover. He holds a PhD from the University of California, Berkeley, where in addition to his dissertation, he completed a comprehensive survey of Bay Area brewpubs one pint at a time.

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Reader Interactions

Comments

  1. WeberPackaging says

    July 19, 2014 at 11:06 am

    U.S. brewery count tops 3,000, industry shifting to localization http://t.co/MEq63buYZC #craftbeer #DrinkLocal http://t.co/d0CS5ZzeI7

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  2. BrewersLaw says

    July 17, 2014 at 8:10 pm

    3k #USbreweries means localization not saturation.#USbeer #localbeer #goodbeer http://t.co/4QiQBQAuna

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  3. PrahaBeerGarden says

    July 17, 2014 at 9:02 am

    RT @CzBeer: So there are more than 3 000 US breweries 🙂 http://t.co/5iu0aF0ias

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  4. CzBeer says

    July 17, 2014 at 8:44 am

    Tak za Velkou louzi ve Spojenych statech maji uz pres 3 000 pivovaru 🙂 http://t.co/5iu0aF0ias

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  5. CzBeer says

    July 17, 2014 at 8:43 am

    So there are more than 3 000 US breweries 🙂 http://t.co/5iu0aF0ias

    Log in to Reply
  6. mrbrewreview says

    July 17, 2014 at 1:00 am

    U.S. brewery count tops 3,000, industry shifting to localization http://t.co/eG8OTfLC3u via @craftbrewingbiz

    Log in to Reply
  7. FPBranders says

    July 16, 2014 at 4:18 pm

    U.S. brewery count tops 3,000, industry shifting to localization http://t.co/etuzh7RfrF via @craftbrewingbiz

    Log in to Reply
  8. domadorayleon says

    July 16, 2014 at 7:03 am

    USA una vez más en la vanguardia¡¡ Esta vez a la vanguardia de la #BeerRevolution: #Calidad y #Respeto en la… http://t.co/JPHCO1HdLP

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  9. PaulSchlake says

    July 16, 2014 at 12:31 am

    RT @MarkCalabria: U.S. brewery count tops 3,000, industry shifting to localization http://t.co/frZNUKMSeD

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  10. brianruddock says

    July 15, 2014 at 7:24 pm

    RT @MarkCalabria: U.S. brewery count tops 3,000, industry shifting to localization http://t.co/frZNUKMSeD

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  11. joshuadking says

    July 15, 2014 at 6:50 pm

    RT @MarkCalabria: U.S. brewery count tops 3,000, industry shifting to localization http://t.co/frZNUKMSeD

    Log in to Reply
  12. Steve_Lafleur says

    July 15, 2014 at 6:43 pm

    RT @MarkCalabria: U.S. brewery count tops 3,000, industry shifting to localization http://t.co/frZNUKMSeD

    Log in to Reply
  13. WilliamFreeland says

    July 15, 2014 at 6:39 pm

    RT @MarkCalabria: U.S. brewery count tops 3,000, industry shifting to localization http://t.co/frZNUKMSeD

    Log in to Reply
  14. MarkCalabria says

    July 15, 2014 at 6:29 pm

    U.S. brewery count tops 3,000, industry shifting to localization http://t.co/frZNUKMSeD

    Log in to Reply
  15. BrewandCovered says

    July 15, 2014 at 1:27 pm

    This is likely the first time the United States has crossed the 3,000 brewery barrier since the 1870s. http://t.co/yaVZigbGsE

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  16. Robert Evans says

    July 15, 2014 at 6:22 am

    Robert Evans liked this on Facebook.

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  17. MarcBarbiere says

    July 14, 2014 at 9:10 pm

    RT @OldBustHead: The majority of Americans now live within 10 miles of a local brewery http://t.co/0JFu8Y3RdQ #craftbeer

    Log in to Reply
  18. InCervesio says

    July 14, 2014 at 6:04 pm

    nuestros hermanos del pais del norte ya alcanzaron oficialmente las 3000 cervecerías operando ¿cuantas tendremos… http://t.co/uUWwrdBSf6

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  19. H3Hops says

    July 14, 2014 at 2:33 pm

    RT @OldBustHead: The majority of Americans now live within 10 miles of a local brewery http://t.co/0JFu8Y3RdQ #craftbeer

    Log in to Reply
  20. POHOH3 says

    July 14, 2014 at 2:29 pm

    RT @OldBustHead: The majority of Americans now live within 10 miles of a local brewery http://t.co/0JFu8Y3RdQ #craftbeer

    Log in to Reply
  21. OldBustHead says

    July 14, 2014 at 2:23 pm

    The majority of Americans now live within 10 miles of a local brewery http://t.co/0JFu8Y3RdQ #craftbeer

    Log in to Reply
  22. Don Gregory says

    July 14, 2014 at 1:37 pm

    Don Gregory liked this on Facebook.

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  23. LABeerCoop says

    July 14, 2014 at 1:12 pm

    RT @CraftBrewingBiz: U.S. brewery count tops 3,000, industry shifting to localization. Amazing insight @BrewersAssoc http://t.co/Xwpzc7ssoR

    Log in to Reply
  24. ManbqueColumbus says

    July 14, 2014 at 12:35 pm

    RT @crsimp01: U.S. brewery count tops 3,000, industry shifting to localization http://t.co/3zgcgXD1sD via @craftbrewingbiz

    Log in to Reply
  25. crsimp01 says

    July 14, 2014 at 12:34 pm

    U.S. brewery count tops 3,000, industry shifting to localization http://t.co/3zgcgXD1sD via @craftbrewingbiz

    Log in to Reply
  26. MidwestIRC says

    July 14, 2014 at 12:31 pm

    RT @CraftBrewingBiz: U.S. brewery count tops 3,000, industry shifting to localization. Amazing insight @BrewersAssoc http://t.co/Xwpzc7ssoR

    Log in to Reply

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