Packaging

Packaging which takes a look at the many different aspects of packaging beverages including packaging equipment, proper service and maintenance, sanitation considerations, types of packaging systems and more.

Competing Self-Distribution Bills Introduced in Nebraska Legislature

posted Feb 9th, 2022 by Tom McCormick

Two competing bills have been introduced by the same Senator in the Nebraska Legislature, pitting the state’s beer wholesalers with craft brewers.

LB1235, supported by beer wholesalers would allow a small brewery to apply for a special wholesale liquor license to self-distribute up to 500 barrels of beer annually. Brewers could only sell their beer in markets where they do not have a distributor, and could only continue selling their beer through the end of the calendar year before they would be required to relinquish their wholesale license.

The second bill, LB1236 is being supported by brewers. This bill would allow breweries to self-distribute an undesignated amount of beer — brewers have indicated they were comfortable with the cap being set at 1,000 barrels — to retail locations across the state while also maintaining relationships with their existing distributors.

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Making the Most of Waxed Bottles with Matt Morris of The Bruery

posted Feb 8th, 2022 by John Holl

After putting in the time, talent, and passion to create a special beer, brewers will often turn to special packaging for their creation. Be it an anniversary beer, a collaboration, or one that is designed to age or be shared at a special occasion, the presentation matters.

Most often these special beers will be bottled, casting aside the ubiquitous aluminum can to denote a bit of pomp. To go that extra mile, many will choose to wax the tops to add to the experience.

A thoughtful approach to waxing bottles is critical. It is expensive and time consuming, labor intensive, and needs to be done properly to achieve desired results.
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Mobile Canning – Tips on How to Prepare and Get it Right With Roger Kissling of Iron Heart Canning

posted Feb 3rd, 2022 by John Holl

The ever-evolving beer industry means that breweries of all size need to be asking the hard questions on how to best compete for customer dollars. When the COVID-19 pandemic upended draft beer sales more breweries than ever before switched to packaged beer and chose to work with a mobile canner.

It is a good option as taprooms remain closed or operating at limited capacity but there are things to consider before making the call to choose a mobile canner, and benchmarks to meet before that first filling day.
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The Importance and Maintenance of Clean Draft Lines

posted Feb 1st, 2022 by John Holl

As draft beer continues to rebound following the devastating effects of the pandemic, it is critical to keep cleanliness top of mind, and to institute best practices for pulling a perfect pint. Neil Witte, a long-time brewer and draft quality ambassador, is the owner of Craft Quality Solutions, a consulting company, and TapStar, a draught line certification program. He spoke to Beer Edge editor John Holl about standard and best practices every bar and brewery should be thinking about.
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Keg Logistics Acquires HopGistics

posted Jan 7th, 2022 by Tom McCormick

Denver, Colorado based Keg Logistics has announced the acquisition of HopGistics, which is based in Atlanta Georgia.

“We are proud to become part of the Keg Logistics team and look forward to accelerating our growth and strengthening our support for our current customer base,” said Todd Balsley, a partner of Hopgistics and now a member of the Keg Logistics management team.

Keg Logistics was founded in 2011 by Chris Sapyta, the founder of MicroStar Keg Management. Keg Logistics is a provider of keg and equipment financing to breweries and wineries, with over 1.3 million kegs in place globally.

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Ball Corp. Postpones Minimum Order Requirement

posted Jan 7th, 2022 by Tom McCormick

In a dramatic turn of events, Ball Corporation has said that they will temporarily postpone the minimum order requirements that they had implemented on craft breweries last late last year.

Last November, Ball Corporation notified their customers that the minimum order would be moved to five truckloads per SKU for printed cans for non-contracted customers. In addition, Ball said that they would no longer warehouse inventory on behalf of customers.

The Brewers Association issued a statement notifying their members and the industry that “Ball will postpone until March 1, 2022 the implementation of their minimum order requirements for customers that do not have supply contracts with the company, with the caveat that they will not be able to provide those customers with delivery date assurances. Ball also stated that they are open to further engaging with brewers on the distributor supply option to offer additional sources of aluminum beverage packaging.”

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American Canning to Expand Can Manufacturing Capabilities

posted Dec 8th, 2021 by Tom McCormick

American Canning will be expanding operations with the addition of an aluminum can manufacturing plant and second shrink-sleeve line.

The new 155,000 square foot facility will dedicate 3,500 square feet to a second shrink-sleeve line focused on specialty can sizes that will increase production to more than 1.5 million cans per week. The sleeved line will be running by spring while the can plant itself is expected to be operational this August. Initially, 12oz aluminum cans will be manufactured, with plans to add 16oz cans quickly thereafter, moving towards 300 million cans per year.

David Racino, co-founder and CEO of American Canning, says, “Large can makers do what they do very well—scale and efficiency. That requires their customers to have long-term forecasts, substantial production runs, and sophisticated supply chain operations. That is simply not something all small and upstart beverage companies have. We want to build a more modern ecosystem that allows those brands and organizations to thrive.”

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Can Supply May Become More Difficult as Ball Announces New Purchasing Requirements

posted Nov 18th, 2021 by Tom McCormick

Brewers who have been buying cans from the Ball Corporation are being notified that the minimum order has moved to five truckloads per SKU for printed cans for non-contracted customers. In addition, Ball will no longer warehouse inventory on behalf of customers. Non-contract customers with quantities less than five truckloads will now have to order and purchase through a broker. The new policies were brought to light today by the Brewers Association in a BA Industry Update to its members.

Overall aluminum can shortages appear likely to continue well into 2022 and perhaps further, and these new purchasing standards imposed by Ball represent a shift to serving high-volume customers at the expense of smaller craft brewers. Small brewers are likely to see prices increases, additional labelling costs, increased transportation cost and an increase in lead times by having to work through brokers.

Full story here.

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The Can Topper Recycling Dilemma – Not Always Recyclable

posted Nov 1st, 2021 by Tom McCormick

Do you know where your plastic can toppers end up?

It is estimated that the brewing industry uses over a billion plastic can toppers a year. And although they are listed as “100% recyclable,” in many cases they are not, according to an article from WBRU News.

The problem lies in the sorting of recyclable materials. Toppers are flat, so in many recycling facilities they get sorted out with paper products. Because of this, they not only skip the process of being recycled along with other plastics, but they contaminate the purity of paper products for recycling.

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Beverage Packaging Shortage May Not Improve Until 2023

posted Oct 8th, 2021 by Tom McCormick

When will the current shortage in packaging materials, including cans and bottles, improve? The general consensus from those in the supply chain is not until sometime in 2023.

“We are starting to hear some talk about the grip loosening up in late 2022 -2023,” Dan Kobiske, VP of supply chain for the distributor Mexcor International told Beverage Dynamics. “Our current situation will take some time to get out of. I don’t think it will ever return to what it was pre-pandemic, but we will settle in with a new normal.”

Carlton Fowler, co-founder of Goat Rodeo Capital, a venture capital firm that invests in early-stage beverage alcohol brands echoed that same assessment. “When I talk to my co-packers, they don’t think the shortage will end until 2023, it not further out,” he said.

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Crown to Open New Aluminum Can Manufacturing Plant in Nevada

posted Sep 27th, 2021 by Tom McCormick

Beverage can producer Crown Holdings will be expanding its production capacity with a new aluminum beverage can manufacturing facility in Mesquite, Nevada.

Announcement of the new production plant comes two weeks after Vobev, a Utah-based can manufacturing company announced details about its new can manufacturing facility that is due to open by the end of this year in Salt Lake City. There has been an ongoing shortage of beverage cans since well before the pandemic. Last fall Ball Corp., the world’s largest manufacturer of cans, said that the company was short 10 billion cans in 2020. Last year, domestic beer in cans grew 11.4% to 12.7 million barrels, according to Beer Marketer’s Insights and now make up 74% of total volume share, up from 58 share 10 years ago.

The two-line plant will produce both standard and specialty beverage cans for customers across a wide variety of categories, including carbonated soft drinks, sparkling water, energy drinks, hard seltzers, beer and ready-to-drink cocktails.

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New Vobev Can Manufacturing Plant to Open by End of Year.

posted Sep 14th, 2021 by Tom McCormick

Vobev, a Utah-based can manufacturing company established in 2019, has announced details about its new 1.2 million sq. ft. facility that is due to open by the end of this year in Salt Lake City, Utah. The new production plant is expected to help provide some relief for the ongoing can shortage that has impacted the beverage industry.

The new operation will have variety pack options, research and development capabilities, graphics and more and is designed as a one-stop shop for beverage brands with simplified production choices that includes everything from recipe creation and packaging design, to filling, packaging, storing, and shipping beverages.

The facility will produce, fill, and package cans, supporting a variety of beverages including waters, carbonated soft drinks, energy drinks, wine, spirits, seltzers and more.

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Can Shortage Continues

posted Aug 1st, 2021 by Tom McCormick

Demand for cans was unprecedented in 2020 — and it hasn’t slowed in 2021.

The shortage has impacted brewers both small and large. Even Anheuser-Busch InBev referenced the can shortage in its second quarter earnings call last week. “We had to import a lot of cans from several different markets, cans from Mexico, cans from China, cans from Europe and India in order to serve the high demand,” chief executive Michel Doukeris told Reuters in a telephone interview, referring to the U.S. market.

In the meantime, some brewers have turned to bottles. Others are slapping new labels on empty cans stamped with beer varieties they no longer sell.

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Cans Capture 74% of All Beer Sold in 2020

posted Apr 26th, 2021 by Tom McCormick

Domestic beer in cans grew 11.4% to 12.7 million barrels in 2020, according to Beer Marketer’s Insights. Cans now make up 74% of total volume share, up from 58 share 10 years ago. Not surprisingly in the pandemic year, draft fell by 7.9 million barrels and bottles dropped almost 3.6 million barrels.

The enormous uptick in beer packaged in cans was driven not just by the massive pivot from draft to cans and bottles due to the pandemic, but also due to the huge popularity of hard seltzers in which cans is the prevalent package.

More here.

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For Earth Day – The World’s First Spirit in a Paper Bottle

posted Apr 22nd, 2021 by Tom McCormick

Silent Pool Distillers, a UK-based distiller has introduced the first worlds first spirit in a paper bottle.

The cardboard bottle is manufactured by Frugalpac, a British company that develops sustainable packaging products that are made from at least 90% recycled paper.

The bottles are five times lighter than their glass counterparts, use 77% less plastic than other plastic offerings and have a carbon footprint six times lower than glass or PET plastic bottles.

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Merger of the Kegs: MicroStar Buys KegStar

posted Feb 12th, 2021 by Tom McCormick

MicroStar Logistics, the largest independent owner of beer kegs in the world, announced that it has acquired the keg rental company Kegstar. The acquisition will grow Denver-based MicroStar’s international business by taking on Kegstar’s clients which include breweries in Australia, the Netherlands, the United Kingdom and the U.S.

“We have watched Kegstar closely and admired the way they have helped their customers grow by simplifying brewers’ keg supply chains,” said MicroStar’s President and CEO, Michael Hranicka. “Our cultures, geographies and capabilities are highly complementary allowing us to add strength to strength and open up significant growth opportunities in existing and future markets.”

Full press release here.

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Cans Make Up Nearly Half of All Craft Beer Package Sales in 2020

posted Jan 13th, 2021 by Tom McCormick

Cans now make up 44% of all packaged craft beer sales according to an annual packaging study done by Bart Watson, economist at the Brewers Association. The study compared the sales of cans versus bottles in different pack configurations, including 4-pack, 6-pack, 12-pack and loose.

See the full study here.

Outbound Freight – shipping out full beer

posted Feb 17th, 2015 (updated Jan 7th, 2022) by Stan Hieronymus

The following article was posted on Feb. 18, 2015. It has been reviewed and updated as necessary by the ProBrewer editorial staff.

Cases – Typically a full stack of beer (approx. 60 – 72+ cases in either cans or glass) – will weigh anywhere from 1900 to 2200 pounds per pallet stack.

Kegs – Full kegs can be stacked two pallets high. Each pallets load will be anywhere from 1200 to 1400 pounds (Full 1/6 barrel (20/pallet) – 1/2 barrel Sankey kegs (8/pallet). (Remember you are essentially doubling the weight load on the bottom pallet when you stack them two high, so make sure you have a pallet down there that can handle that load.)

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Selling your beer – the basics of self-distribution and brewery sales

posted Oct 17th, 2014 (updated Feb 8th, 2022) by Stan Hieronymus

The following article was posted on Feb. 18, 2015. It has been reviewed and updated as necessary by the ProBrewer editorial staff.

So far, all of the considerations we have discussed have centered on the expense side of the ledger. But there is good news: Good beer is worth money. And, once you have navigated all the red tape to get licensed, scavenged the money to build a brewery and actually brewed some beer, there are people out there willing to pay you for your efforts.

But there are still many choices you have to make. The biggest is who is going to be your customer – the consumer across the bar at your own taproom or the retailer at a pub, bottle shop or growler station.

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Self-distribution versus using a distributor – off-site draft sales for breweries

posted May 14th, 2014 (updated Jan 18th, 2022) by Tom McCormick

The following article was posted on Feb. 18, 2015. It has been reviewed and updated as necessary by the ProBrewer editorial staff. Footnotes have been included where updated content has been added.

As brewpubs continue to proliferate across the country, many are opting to sell their products through retail accounts to utilize excess capacity and increase revenue. Off-site sales can also increase your walk-in business by creating exposure and interest in your brewpub. As attractive as this may seem, off-site sales entail a great deal of time, resources and effort to successfully achieve these objectives. And in some states, brewpubs are not allowed to sell their products outside the confines of the licensed premise.

Where allowed by state law, the practice of off-site distribution has been employed successfully along a full spectrum of implementation. Some brewpubs have grown into full size production plants with the majority of their sales sold off-site through a far-reaching distribution network. This, however, is the exception rather than the rule. Most brewpubs sell their products in draft only to a handful of local accounts. Whatever the applicable scale, it is important to understand the basics of off-site distribution.

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