• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • Advertise
  • About Craft Brewing Business

Craft Brewing Business

Professional Insight, Unfiltered

Craft Brewing Business Craft Brewing Business
  • News
  • Business & Marketing
  • Packaging & Distribution
  • Equipment & Systems
  • Ingredients & Supplies
  • Webinars & White Papers
  • News
  • Business & Marketing
  • Ingredients & Supplies
  • Packaging & Distribution
  • Equipment
  • Webinars & White Papers
  • COVID-19

Craft Maltsters Guild survey shows on average a 34% reduction in malt purchases, but indie maltsters aim to persist amid pandemic

June 2, 2020Pretty Much a Press Release

Craft maltsters continue to be impacted by the COVID-19 pandemic, according to results of a second industry survey conducted by the Craft Maltsters Guild (CMG). The non-profit trade organization represents the interests of small-batch, independent maltsters across North America and beyond. The results of the first survey are available here.

A total of 40 craft maltsters responded to the survey sent out in early May. The results showed sales are down for craft maltsters across the board with malthouses on average experiencing a 34 percent reduction in malt purchases.

“Many of our customers stopped or dramatically reduced production and that passed through to us,” said Joel Alex, founder and maltster of Blue Ox Malthouse in Lisbon Falls, Maine. “We’ve seen production picking up again as brewers adjust to off-site sales and plan for a phased reopen.”

Alex noted strong customer relationships and his clientele’s strong commitment to keeping their supply chain local are a large part of his business’s ability to continue amid the public health crisis.

The decrease in malt demand has led some maltsters to cut back on production and make staffing changes in the forms of layoffs or furloughs. The craft maltsters who responded to our survey stated they employed a collective 151 workers before COVID-19, with 106 full-time and 45 part-time workers. At the time of the survey, maltsters had laid off approximately 17 percent of full-time and 40 percnet of part-time employees.

Recent government support has helped some U.S. craft maltsters with nearly 72 percent of respondents stating they have already or plan to apply for federal or state small business relief programs. About a third of craft malthouses anticipate re-hiring some or all of their workers. Approximately half of maltsters replied they hadn’t lain off any employees.

Looking ahead, 80 percent of malthouses believe they can sustain their business for three months or longer if social distancing and stay-at-home policies continue. Over half of the group project their business anticipates continuing for six months or longer and 35 percent of craft maltsters said they can continue operating their business for a year or longer.

“We believe we have a plan to outlast this as a company,” said Brian Estes, head of partnerships at LINC Malt, a craft maltster in Spokane Valley, Wash., positioned to ride out the COVID-19 for the long haul. “We are fortunate we’ve focused on using ‘patient’ capital in financing our enterprise and that our overall team has been willing to take on challenging staff realities.”

The goal of the survey was to gauge the continued effect the virus outbreak is having on the craft malt industry. CMG will use the responses received to develop relevant resources and information to assist craft maltsters through the pandemic. A third survey is planned to be sent to CMG Member Malthouses again later this summer.

root-shoot-malting-award
Here are your 2020 Craft Malt Cup award winners
Diversity matters: Craft Maltsters Guild awards six scholarships to women for the 2023 Craft Malt Conference
Check out Briess’ new website, then enjoy this Journey of Malt video series, showing how barley goes from seed to malt
Male hand closes hatch of brewery tank
How to keep your brewery sanitized with limited resources

Reader Interactions

Leave a Reply Cancel reply

You must be logged in to post a comment.

Primary Sidebar

Latest News

  • 12 Orlando breweries to gamify their ale trail via Hot Hopz program
  • BeerBoard and Encompass team up, offer a powerful technology platform to manage alcohol programs
  • Cartsyde, PourMyBeer launch mobile self-pour tap system and walk-in cooler
  • Ferment Brewing to digitally print new year-round can lineup

Sign up for our newsletter

unsubscribe from list

Most Popular Today

Recent Features

  • Constellation sells Funky Buddha and Four Corners back to original owners, says see ya to craft sector
    May 31, 2023
  • liquid-riot-teamCheers to 10 Years: Liquid Riot freshens up look for next decade
    May 30, 2023
  • People news: Colorado’s Dry Dock names new head brewer + moves from Wiseacre, Crooked Hammock and more
    May 30, 2023
  • Distribution update: Athletic Brewing brings NA beer to JetBlue + big acquisitions from Markstein and Hensley Beverage
    May 25, 2023
  • Who is ready to order alcohol direct from Diddy?
    May 25, 2023
  • taproom foodTaproom guests want food. How can you best provide it?
    May 24, 2023

Footer

  • Email Newsletter Sign Up
  • About Craft Brewing Business
  • Contact Us
  • Advertise on Craft Brewing Business
  • Media Kit Download
  • Privacy and Terms

© 2023 · CBB Media LLC