Page 8 - Craft Beer and Independent Microbreweries in Ireland 2018
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Executive Summary

      Executive Summary

      This report was prepared on behalf of Bord Bia and the Independent Craft
      Brewers of Ireland (ICBI).  It is the fifth such study commissioned by the ICBI,
      following publication of an initial study in 2014 and update studies in 2015, 2016
      and 2017.

      The focus of the report is on the independent microbrewing sector in the
      Republic of Ireland. In essence, an independent microbrewery is one which is
      not under the legal or economic control of any other brewery and has a total
      output of beer not exceeding 40,000 hectolitres.

      The report is largely based on an electronic survey of microbreweries, carried
      out during the period July to September 2018. The response rate to the survey
      was high, with 57 or 79% of microbreweries that were surveyed responding.

      It is estimated that there are some 125 microbrewing companies operating in
      the Republic of Ireland, of which 75 are independent production microbreweries
      and at least 50 are brand owners that source all of their product from
      production microbreweries.

      The number of production microbreweries has increased from 15 in 2012
      to 75 in 2018, a fivefold increase. However, there were only five additional
      microbreweries operating in 2018, as compared with 2017. This is the lowest
      increase since 2012, when consistent data began to be compiled.

      Ten new microbreweries entered the market in the year to mid-2018. However,
      new entrants were partly offset by failures: it is estimated that over the last
      two years, seven production microbreweries have gone out of business, with
      five failures in the year to mid-2018 alone.  The emergence of a significant
      failure rate is a new departure and reflects changed market circumstances for
      independent production microbreweries.

      The output of craft beer by independent production microbreweries amounted
      to some 157,000 hectolitres (hl) in 2017.  This represents a 10.7% increase on
      the 2016 figure of 142,000 hl.  In absolute terms, output rose by 15,000hl.

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