WEBVTT

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Welcome to the DC Beer Show. I am your host for this

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panel, importing excellence, imported

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beer today and tomorrow. And I've got a star studded

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panel here for wonderful guests. I would say

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from around the world but maybe from North America and England is

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more accurate. TBD. I'll get back to us on that one. So,

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kicking off our panel we have Christian Gregory who started at Shelton

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Brothers in 2009 as the Belgian portfolio manager and

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gradually worked into an overarching supplier manager role until

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their doors closed in 2021. Christian started managing

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the US market for Drei Fonteinen immediately after and in 2023

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partnered with Drei Fonteinen to open their own self importing company,

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WILD Collective. WILD Collective? Wild Collect WILD

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Collective, but personally WILD Collective, Danka.

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They import only Dreyfontein and natural wine.

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I also have John Sten. He started driving the truck and working his way

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into sales with a local brewery. He worked as head of sales at Great Lakes

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Brewing Company for 10 years and has spent the last 20 years as

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a beer importer for Merchant du Vin, specializing in

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world class historic beers. In 2019, he was

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knighted in Brussels and was received into the brewers mash

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staff. John, welcome. Thank you.

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Alright. We also have Justin Hawk who founded Moor Beer Company in

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2007. Named for the Levels and Moors where it was originally

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based, Moor Beer has been credited with revolutionizing British

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Brewing. Winning more than a 100 medals for their top rated beers,

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Justin started the un fine beer movement creating a new vegan

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friendly beer segment as well as being recognized by the campaign for real

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ale better known as camera for brewing the first canned conditioned beers.

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All this earned Moor Beer, a golden award on Camera's 50th anniversary, as

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well as the British Guild of Beer Writers naming Justin as brewer of the

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year in 2017. Originally from California, Justin

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graduated from West Point and was stationed in Germany, finally settling in England to

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found his brewery based on the influences from those great brewing locations.

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More beer are respected globally for both their ale and lager programs. The

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brewery was expanded and moved to Bristol in 2014 and has 2 tap

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rooms, 1 in Bristol and 1 in London which have become hubs and do it

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your of the do it yourself music scene for both local and international

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bands. Finally, we have Ryan Dorosky who's the mid

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Atlantic sales rep for D and V International Celebrating their 25th year in the

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business, D and V International import, Saint Bernardis, Bauhuy Verhey,

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Val Dieu, and a handful of other world class European

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breweries. Ryan has been in the role for the past 2 years, previously working for

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Remarkable Liquids Distribution in New Jersey, where where he discovered the DMV

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portfolio and his love for Belgian beers. Just

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before we get going, I'm gonna butcher every name, not in English, some names

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in English as well as French, German, Dutch,

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Flanders. So just a precursor there. Let's get

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into the meat of our show, which is import

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hurdles. What are some of the biggest hurdles you've experienced

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importing beer from England or Germany or Belgium?

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I guess being the, the brewer, I see see the other side of it.

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So, unfortunately, in the UK, we have something now called Brexit.

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So we separated from the European Union and that's created a huge number

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of problems for us exporting to to different markets,

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obviously, not to the US. But, yeah, the US,

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obviously, the the challenge that we've got here is the disparity between the the

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pound and the dollar, so our beers would be considered relatively expensive

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for beers that are meant to be sessionable and highly drinkable. So

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that's, you know, one of the things to overcome, but quality is worth paying for.

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Well said. Thank you, Justin. Import hurdles.

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Christian, what are some of the biggest hurdles you have to jump over to bring

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Belgian beer into the US? Well, I'll deviate since I know these guys

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both work with a lot of Belgian breweries. When I was at Sheldon Brothers, we

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worked with Japanese and Kiwi breweries, and it was just

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so difficult to get the logistics straight for those because the demand is only so

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high for these niche beers for,

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Japanese hop lager, for example. So you can only take over so

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much, but at the same time, you need to fill a container to make sense

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of your freight costs. So, yeah, I would say

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matching your freight with your demand and making sure you're not yeah.

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It it's like walking a line, I guess, with those. It's it's was always much

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easier for us coming from Europe in terms of the logistics side. So, yeah, that's

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the one that sticks out to me. Well said. John, how about you? What are

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some of the hurdles you have to jump over? Well, it's a good question because,

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you know, the first thing is we don't own our breweries, and they're gonna make

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their own decisions on how they wanna do things. So trying to

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translate what they think is effective for their markets, and we're talking about breweries that

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have been open for 100 and 100 of years who really don't care for

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what we do in America, so their packages aren't the same

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size. We got 20 bottle cases, 24 bottle

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cases, 12 bottle cases, 11.2 ounce bottles, 14.9

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ounce cans. We've got 16.9 ounce bottles, and then

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marketing and different things you have to do. And you guys brought up shipping and

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the cost of shipping as well, and the buying the pound to

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buy a case. All of that though are

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problems that grow to when it hits the shore here in the United States

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and trying to then negotiate with the distributor to keep all

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these breweries in different packages in. And so

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those are the biggest hurdles. All the little ones that they

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create, since we don't own the breweries and we're on their time schedules, then

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trying to talk to somebody over here in America to pay more money for the

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beer before it even gets to retail

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and getting it as fresh as possible. So, you

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know, it's it's not an easy business, but, you know, sowing

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beer is a contact sport. So that's why they only have the best people doing

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it. That's right. And I wanna thank you all for not having extra

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sharp elbows as you gain market share. Ryan,

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tell us a little bit about, Belgian imports and what you do

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at DMV. What are some of the hurdles and how have you overcome them?

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Yeah. Absolutely. So I think John made a great point that, the

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format issue, between the traditions and cultures

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and standard formatting in Europe and Belgium and translating that

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into the US market. That's definitely, a big hurdle we all

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face and trying to, educate the market and

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distributors as a whole as to, what we have

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available. And then on the flip side, logistics and timeline,

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that's one of the biggest hurdles we face. The recent port strike,

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was a big mess and, I know everyone's really affected if you're coming to the

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Port of New York or really anywhere on the East Coast. So trying

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to time things out, keep beers in stock depending on the

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season, and it does take so long for that beer to

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get made on a boat over to the port, and

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keeping keeping the popular skews in stock as long as some of the

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esoteric and and keeping that, liquid in the market, while

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also trying to have that beer come from a foreign country across the pond.

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That's always a bit of a challenge and a hurdle. So trying to look down

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the line, see what we need, and keep the best forecast

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possible. That's that's really a hurdle. Yeah. I I wanted to say thank you

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Ryan for opening the port back up. You solved the strike single

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handedly. You were in Louisiana. You were in Baltimore. Thank you.

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But in all seriousness, we did hear that that's why we are not having some

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Franconian, stitch fast gravity fed, lager

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kegs because, because of the the port strike, which is now resolved.

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So we'll work through that. Hard to look into the the glass ball

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and see. But I'm gonna ask you guys, looking at import beer

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today, do you think import beer is in decline or does it chart a

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growth path? Does it somehow feel steadier than, say, domestic beer

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who just, not that long ago, we heard from the beer institute had a

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7.7% decline. Do you

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see imports taking a 7.7% decline or do you think you

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can carve out a path of growth or at least stability,

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comparatively to domestic beer? Yeah. So that's a that's a really

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interesting question for us. We're seeing growth because we had,

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been out of the US market for a little bit when, when when

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Sheldon folded. But that also timed, if you think about it, with COVID.

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So that's that was really the problem is COVID just

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completely changed everything. All of the markets we operated in,

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no one could import or do anything. Everyone went hyper local, so which

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is great. You wanna support your local brewer, but obviously,

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after a bit of time, you want to have access to things that,

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you know, you used you couldn't get for a while and you wanna

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start to drink again. So it's great to have the variety, definitely support your local

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brewers and, you know, we all benefit from that. But

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there's things that, you know, we as a brewer do that don't get done locally

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here, so the only way to do it is to, you know, come to us.

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Same thing with the the Lambics and and whatnot.

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Thanks, Justin. Christian, what's your take? Are are we gonna nose dive

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imports? The 7.7% the beer institute, told us

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about? Or do you think you can chart stability in these

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times in the future? So I feel like imports started feeling it

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earlier than the rest of the industry. So we I mean, we were having this

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meteoric rise in, say, 2012 and later

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on. And then with the sort of saturation of the US

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market, people's interest in imports sort of tapered a little bit.

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And then just industry wide, and I can say this on the beer and the

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sort of natural wine side. It's just a universal decline for everyone.

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So I don't really it might be a little bit less of a hit just

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because we've already taken that hit in advance, but I think the hit

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is coming from changes in lifestyle and habits and

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spending and so on and so forth. So I we're certainly not immune to it.

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In terms of, like, I can speak to Lambic specifically, and it's

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it's so we're in a weird place because we're sort of not quite what people

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expect of beer, And then wine drinkers don't really know what it is either even

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though the process after the brew day is way more similar to wine making.

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So for our side of things, we've been pivoting more and more towards,

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marketing to wine folks who are into things that are

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made naturally, where that they they care where it came from, they care about the

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story behind it, and so on and so forth. So we've been able to mitigate

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some of the losses by sort of opening up our market to people who just

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maybe they're not interested in an IPA or a stout or whatever, but

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we fit in somehow there. So that's that's been the the strategy,

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I guess, to to even things out a little bit. I can't say

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whether it's gonna succeed in the long term, but that's kind of our best, our

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best bet right now and it's a natural fit. So it's just kind of the

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the organic progression of things for us. Well said. John, what

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do you see with, brewers? You you obviously have producers,

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not necessarily in in Lambic country but, in England,

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you know, the British Isles, in Germany and eyeing.

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What's the report, you know, from from eyeing Germany or

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from other other places around the world? Is is there stability or can they even

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carve out growth or are people prepping for a decline?

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Well, each brewery is different. You know, we have an umbrella at Merchant

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of Inn. We offer brands from England, Scotland, Belgium,

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Germany. For instance, the Germans are doing

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really well and growing and they've been growing for about 10 years straight.

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Their their success has been basically consistency.

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The Trappist Monasteries as well are growing but, you know, they don't need to

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grow meteorically. Just nice, considerate,

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simple growth every year is what the monasteries want.

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Lampic breweries like Linenmens and stuff like that from COVID

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spiked really high then fell off when the rubber band snapped

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afterwards. So for each brewery it's a different program.

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What we've tried to do at Merchant of Inn is be as consistent as we

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can on pricing, be as consistent as we can on education.

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Because for the reason why imports were important 30

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years ago and 40 50 years ago, is why they're important today.

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You know, none of these American craft breweries would be here today if it wasn't

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for English breweries. Samuel Smith was the only brewery in the world making

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an oatmeal stout in 1979. And they started sharing

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the recipe with breweries that we're opening in the United States. So

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if you wanna have a bar that has a full menu, then you need to

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have some imports. And on the import side, like

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myself, the guys at DMV, at guys at Duval and stuff,

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we've started working together and doing some marketing programs and stuff

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where we kinda work together at Total Wines and Wegmans and different chains to bring

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more eyes together as a group on brands.

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So we'll all weather the storm that after COVID that we've had,

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and we'll weather the, you know, this craft storm by

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having great products, great stories, and basically, breweries that

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invented the styles of beer that are being brewed here in the United States

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today. So will it be tough times? There always is. Will

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there be good times? Yes. So but consistency is the

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answer, and really being a good partner to your distributors is what's gonna

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bring, you know, the ball across the line. So there you go. Yeah

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well said. Ryan I want to ask you, you're welcome to touch on the last

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question, but I was thinking I would ask you to look into your crystal

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ball. Looking at the future of imported beer, what do you see on the

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horizon? So for the future of imported beer, I

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see, some type of modernization appealing to the

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demographic that are essentially entering their prime drinking age, that

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25 to 35 demographic. Here in the US,

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people generally in that age range, they grew up in the craft beer

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boom. So they've been to all the hype breweries. They've

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had every style of American beer possible and giving them an offering

226
00:14:07.570 --> 00:14:11.225
from an old world brewery that is 3, 4, 5 generations

227
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deep, 100 of years old possibly. We have a new offering to

228
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give you that is world class liquid and it's something new and exciting

229
00:14:19.045 --> 00:14:22.470
to them, because they grew up in that craft beer boom and now they have

230
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an opportunity to explore the old world classics from Belgium,

231
00:14:26.230 --> 00:14:29.589
Germany, anything in Europe essentially. And it's a

232
00:14:29.589 --> 00:14:33.050
fantastic offering of liquid to a very educated

233
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market. Anyone in that demographic has been to

234
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dozens and dozens of brewery in in 21 plus drinking age.

235
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So, having a a really high high end

236
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liquid to give them with a fantastic story behind it, really draws in the

237
00:14:47.715 --> 00:14:51.230
crowd. It's something different, something unique and for imports

238
00:14:51.230 --> 00:14:54.750
especially at D and V that's our main goal, is to attract that younger

239
00:14:54.750 --> 00:14:58.350
younger demographic, whether that's a different

240
00:14:58.350 --> 00:15:01.810
skew that comes out that is geared more towards their drinking palate.

241
00:15:02.110 --> 00:15:05.845
We have some some fruit forward sours or, some fruited

242
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whip beers or collaborations that are coming out and trying to

243
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draw the eye and essentially draw the wallet of of that younger

244
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demographic and and get them involved and and get the liquid to lips

245
00:15:16.885 --> 00:15:20.600
and really expose them to the world of import beers. I

246
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do love it when I meet someone who's a little older than half

247
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my age and says what is Saint Bernardis? I've never heard of it or what's

248
00:15:28.120 --> 00:15:31.480
Dre Fontaine and what is this beer that comes in a champagne bottle? Tell me

249
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about it. I love that. Justin, I'm gonna ask you the same question. Looking into

250
00:15:34.895 --> 00:15:38.655
your crystal ball, I know the last time we had some email correspondence, we

251
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talked about actually bringing the ABV of of some already sessionable

252
00:15:42.335 --> 00:15:46.175
beers down. What do you see on the horizon for more beer? Yeah.

253
00:15:46.175 --> 00:15:49.850
So we have always tried to infuse the three

254
00:15:49.850 --> 00:15:53.470
influences. So coming from California, I tend to pick up the flavor,

255
00:15:54.089 --> 00:15:57.550
with things the German side of things was all about being

256
00:15:57.610 --> 00:16:01.450
natural, kind of more Rhineheitsgebot, which got us onto the the unfined bit,

257
00:16:01.450 --> 00:16:04.865
which at the time was pretty revolutionary in the UK to serve something that was

258
00:16:04.865 --> 00:16:07.925
hazy. Not hazy in the way that we would call it now,

259
00:16:08.464 --> 00:16:12.064
but 17 years ago, it was a it was a different thing. They they

260
00:16:12.064 --> 00:16:15.665
definitely have. And then the British side combining the real ale

261
00:16:15.665 --> 00:16:19.290
secondary fermentation, the natural carbonation that you get. So our

262
00:16:19.290 --> 00:16:22.510
beers are kind of, they bring those three things together,

263
00:16:23.050 --> 00:16:26.810
in a way that that we and our our fans kind of think

264
00:16:26.810 --> 00:16:30.350
is, is a bit unique and we do it

265
00:16:30.490 --> 00:16:34.185
most of the time in a very sessionable way. So our beers start

266
00:16:34.345 --> 00:16:37.945
I mean, actually, sometimes they're down about 2 a half percent, but our core beers

267
00:16:37.945 --> 00:16:41.625
go from 3.4% up and I'd say the bulk of

268
00:16:41.625 --> 00:16:45.065
it sort of 3.44%, 4.1. Those are like our

269
00:16:45.065 --> 00:16:48.690
bestsellers and we always like to say, you know, we

270
00:16:48.690 --> 00:16:52.370
judge a beer by can you drink 10 pints of it? And I wanna drink

271
00:16:52.370 --> 00:16:56.210
10 pints of a 4.1. I don't always wanna drink 10 pints of

272
00:16:56.210 --> 00:16:59.810
a 9% beer and our pints are 20 ounces, so a lot

273
00:16:59.810 --> 00:17:03.555
bigger. Well said. I I want 10 pints of a 9% beer over

274
00:17:03.555 --> 00:17:07.395
10 to 12 days. That's that's what I want. Christian, I'm gonna

275
00:17:07.395 --> 00:17:11.075
ask you similarly. Reading the crystal ball, reading the tea leaves, you spill the

276
00:17:11.075 --> 00:17:14.099
coffee rinds out, what do you see coming down the pike,

277
00:17:15.039 --> 00:17:18.579
particularly with with, Villed Collective and and the importation?

278
00:17:19.440 --> 00:17:22.000
I guess I just jumped ahead on the last question a little bit because we

279
00:17:22.000 --> 00:17:25.839
are trying to pivot more toward people who just haven't discovered what traditional

280
00:17:25.839 --> 00:17:29.615
Lambic is. I think most people's impression of

281
00:17:29.615 --> 00:17:33.135
Lambic is Linda Mann's, which I think is broadly it has a huge

282
00:17:33.135 --> 00:17:36.274
appeal, across the board and ours is much more, say, niche.

283
00:17:36.654 --> 00:17:40.495
It's, some it's pretty polarizing, I think, on first taste because people

284
00:17:40.495 --> 00:17:43.110
don't know what they're getting into and some people love it, some people don't. So,

285
00:17:43.670 --> 00:17:47.429
yeah. Pivoting toward the the wider market,

286
00:17:47.429 --> 00:17:51.030
whether it's restaurants or or wine folks or whatever, I or cider

287
00:17:51.030 --> 00:17:54.390
drinkers, actually. There there's so many similarities there. So

288
00:17:54.390 --> 00:17:57.610
that's the direction we see ourselves going, I would say.

289
00:17:58.605 --> 00:18:02.125
And then I I would just add to, my wife also works for Lime Ventures

290
00:18:02.125 --> 00:18:05.265
Importing, so I hear what they're doing, you know,

291
00:18:06.525 --> 00:18:10.365
with various Belgian breweries, with Justin's beer, with more beer, etcetera. And I

292
00:18:10.365 --> 00:18:13.780
will say that they've already seen a sort of trend, at least on the West

293
00:18:13.780 --> 00:18:17.540
Coast starting where there is more interest, in sort of

294
00:18:17.540 --> 00:18:20.920
balanced classic nuanced beers as opposed to,

295
00:18:22.340 --> 00:18:26.088
more hops, more alcohol, more whatever. So, yeah, I do

296
00:18:26.115 --> 00:18:29.955
I definitely see it going toward, you know, people's palates getting refined and wanting something

297
00:18:29.955 --> 00:18:33.795
that's less of a, what am I trying

298
00:18:33.795 --> 00:18:37.555
to say without being insulting? But less,

299
00:18:37.715 --> 00:18:41.020
we'll just say gimmickry, I guess, and more about, like, what do you actually want

300
00:18:41.020 --> 00:18:44.860
to sit down and drink with dinner or, like Justin said, have a few glasses

301
00:18:44.860 --> 00:18:47.900
of instead of one that's gonna zonk you out. So,

302
00:18:48.620 --> 00:18:51.840
yeah. I I see people getting more refined, I guess, in that sense.

303
00:18:52.460 --> 00:18:56.184
What what do you think, John? It's a big question. You know, everybody's trying to

304
00:18:56.184 --> 00:18:59.304
look for that magic, you know, that that that magic wand to get the answer.

305
00:18:59.304 --> 00:19:02.665
Lindeman's is gonna be coming out with an 8% of fruit

306
00:19:02.665 --> 00:19:06.184
beer this coming year. You know, breweries like

307
00:19:06.184 --> 00:19:09.840
Iyengar and Sam Smith though are just this is

308
00:19:09.840 --> 00:19:12.559
what we do and this is what we've always done, and that's what it's gonna

309
00:19:12.559 --> 00:19:16.260
be. You know? So everybody's gotta find what works for them.

310
00:19:16.640 --> 00:19:20.100
I do see, though, right or wrong, I do see

311
00:19:20.320 --> 00:19:24.015
less new brands coming to America from Europe. I say

312
00:19:24.015 --> 00:19:26.915
they're gonna stick with core brands, core breweries,

313
00:19:27.695 --> 00:19:31.455
and, you know, ourselves will have to work together and find how to do

314
00:19:31.455 --> 00:19:35.055
that together, you know, in a nice way. Like, you know, for instance, Linenman's has

315
00:19:35.055 --> 00:19:38.675
given Lambeth to 3 Fontanen for years to keep them going.

316
00:19:38.880 --> 00:19:42.480
You know, people rip for Linenans because they say it's Kool Aid and everything but,

317
00:19:42.480 --> 00:19:46.100
you know, the the biggest Lambic brewer in the world. So

318
00:19:46.560 --> 00:19:49.280
but they're the ones brewing all the beer for everybody else. We're gonna have to

319
00:19:49.280 --> 00:19:52.745
start doing things like that over here for people where we're working together.

320
00:19:53.205 --> 00:19:56.405
We're we're bringing people to do a tour of Lineman's and then go to see

321
00:19:56.405 --> 00:20:00.085
Saint Bernard's and then go see 33 Fontanin and then go

322
00:20:00.085 --> 00:20:02.565
over and go see this guy and then go over and see that guy. You

323
00:20:02.565 --> 00:20:06.260
know what I mean? But I do see less you know, when you go

324
00:20:06.260 --> 00:20:09.300
to the 3, the weekend of the beer, you'll see breweries you've never heard of

325
00:20:09.300 --> 00:20:12.340
that are just popping up in Belgium. I don't see them coming to United States

326
00:20:12.340 --> 00:20:15.460
anytime soon because they don't have the pedigree and they don't have the story and

327
00:20:15.460 --> 00:20:18.885
the history behind them. And so you're not gonna see many

328
00:20:18.885 --> 00:20:22.485
retailers willing to give a try to somebody. Yeah.

329
00:20:22.804 --> 00:20:26.005
Yeah. So knock on wood. Things will,

330
00:20:26.325 --> 00:20:29.605
will pan out for us in a couple years and we'll see how it all

331
00:20:29.605 --> 00:20:33.150
works. The biggest thing, we gotta get people drinking beer though. We gotta get

332
00:20:33.150 --> 00:20:36.670
people out of drinking, you know, the soda waters that have alcohol on them, and

333
00:20:36.670 --> 00:20:40.350
we gotta start drinking beer. Yeah. Yeah. Yeah. I think that's a really good point

334
00:20:40.350 --> 00:20:43.790
about the overall pie and market share is how do you lure

335
00:20:43.790 --> 00:20:47.245
the, RTD cocktail drinker, this hard

336
00:20:47.245 --> 00:20:51.085
seltzer drinker in back into beer and it's there. And I

337
00:20:51.085 --> 00:20:54.365
think to your point, it's easier to revive brands that have been in the States

338
00:20:54.365 --> 00:20:58.205
for a little while easier than to get somebody who's just starting out

339
00:20:58.205 --> 00:21:01.940
to to export or import them to the states. And I have

340
00:21:01.940 --> 00:21:05.460
to credit you for for mentioning the collective that the tie in between,

341
00:21:05.700 --> 00:21:09.220
Lindemann's and Dre Fontana. I totally forgotten about that. Shame on

342
00:21:09.220 --> 00:21:12.794
me. But it's also bearing out in US craft

343
00:21:12.794 --> 00:21:16.394
brewing where we're seeing small breweries, if not

344
00:21:16.394 --> 00:21:19.835
merge or acquire come into a partnership with other breweries. We

345
00:21:19.835 --> 00:21:23.674
just saw one in Boston or Massachusetts last week, we've seen it in New

346
00:21:23.674 --> 00:21:26.315
Jersey, kinda all up and down at least the East Coast and a little bit

347
00:21:26.315 --> 00:21:29.410
into the South as well. But I digress.

348
00:21:30.430 --> 00:21:34.110
My next question is is a bit of a wild I'm gonna put you on

349
00:21:34.110 --> 00:21:37.790
the spot and ask you what's the hardest country to export out

350
00:21:37.790 --> 00:21:41.435
of, to import into? I'll I'll give the

351
00:21:41.435 --> 00:21:44.175
backdrop that, I know a brewer in Moldova

352
00:21:45.515 --> 00:21:49.195
and he loves to bring new beer to market. So

353
00:21:49.195 --> 00:21:52.795
he's more sort of the, the blue jacket cushoire or other

354
00:21:52.795 --> 00:21:56.429
half locally And he goes to the state technical

355
00:21:56.730 --> 00:22:00.250
office and he gives, the Babichka's there, the

356
00:22:00.250 --> 00:22:03.770
grandmothers that work in the state office, a pale ale. And they

357
00:22:03.770 --> 00:22:07.610
say, Sergei, this pale ale is full of oranges, but you have no

358
00:22:07.610 --> 00:22:11.345
oranges on the label. What the hell is this? And he just says, oh, well,

359
00:22:11.345 --> 00:22:15.105
it's it's cascade and citra hops and they give flavor to this. So every

360
00:22:15.105 --> 00:22:18.304
time Sergei wants to release a new beer, he's gotta go sweet talk their grandmothers

361
00:22:18.304 --> 00:22:21.825
at the state run laboratory. So I just thought I would share that little

362
00:22:21.825 --> 00:22:25.500
tidbit. But I'm curious from you, have have you had some real

363
00:22:25.500 --> 00:22:29.100
difficulty getting beer out of a country or getting beer into a country? If so,

364
00:22:29.100 --> 00:22:32.800
where were they or or what was that about? I'll probably

365
00:22:33.020 --> 00:22:36.540
leave this one to you guys to answer more, more late because

366
00:22:36.700 --> 00:22:40.355
yeah. We have exported to, I'd say,

367
00:22:40.355 --> 00:22:44.135
over 30 different countries around the globe at different times, but that's definitely

368
00:22:44.195 --> 00:22:47.795
post COVID and post Brexit has contracted quite a bit to the

369
00:22:47.795 --> 00:22:51.570
markets where, yeah, we're we're respected and I have

370
00:22:51.570 --> 00:22:55.090
heritage as a brand. I always built more because I wanted it to be one

371
00:22:55.090 --> 00:22:58.450
of those classic brands that will be here in a 100 years' time that people

372
00:22:58.450 --> 00:23:01.905
use as a reference and, you know, for me as a drinker, I still go

373
00:23:01.905 --> 00:23:05.425
back to the classic Belgian beers. I still go into Samuel Smith pubs back

374
00:23:05.425 --> 00:23:09.025
home, Fuller's, even though they got bought out by Asahi. You know, I

375
00:23:09.025 --> 00:23:12.625
still respect those traditional brands and I think if you look at the

376
00:23:12.625 --> 00:23:16.470
life cycle and the maturity that people have when they're drinking, it's really

377
00:23:16.470 --> 00:23:20.070
easy to start and find your way in via you like

378
00:23:20.070 --> 00:23:23.750
really hoppy flavorful things or you want a pastry stout, whatever your

379
00:23:23.750 --> 00:23:27.450
gateway is, eventually, you'll probably wind back up drinking

380
00:23:27.670 --> 00:23:31.225
a fantastic lager, fantastic bitter, fantastic stout, the

381
00:23:31.225 --> 00:23:33.965
classics, because they've been there for 100 of years for a reason.

382
00:23:35.065 --> 00:23:38.585
It's kinda my take on it. Oh, exactly. This is

383
00:23:38.585 --> 00:23:42.345
Christian from, I guess I'll tackle the export first because we did a

384
00:23:42.345 --> 00:23:46.170
fair amount of exporting when I was at Sheldon Brothers, and I still hear

385
00:23:46.170 --> 00:23:49.470
bits and pieces from my colleagues, Andrea Fontana, about our challenges there.

386
00:23:50.090 --> 00:23:53.450
I would say there are different challenges in different places. Obviously,

387
00:23:53.450 --> 00:23:57.130
the exporting from the US to the EU is actually incredibly easy.

388
00:23:57.130 --> 00:24:00.165
There's very little that goes into it in terms of paperwork and so on and

389
00:24:00.165 --> 00:24:03.065
so forth. It's it's about as straightforward as it could get.

390
00:24:04.325 --> 00:24:08.085
Exporting to somewhere like Brazil is incredibly difficult because you need to fill

391
00:24:08.085 --> 00:24:11.605
in pages and pages of paperwork for each individual beer. You need to have

392
00:24:11.605 --> 00:24:13.535
laboratory testing that not just includes alcohol, but all sorts of other elements as to

393
00:24:13.535 --> 00:24:16.490
what goes into it. Special labels that US brewers elements as to what goes into

394
00:24:16.790 --> 00:24:20.470
it. Special labels that US brewers don't want to end up applying

395
00:24:20.470 --> 00:24:24.170
for sending 20 cases over. So you have, like,

396
00:24:25.110 --> 00:24:28.925
we'll say compliance challenges in some places, and then you have other areas.

397
00:24:28.925 --> 00:24:32.685
So Scandinavia, for example, all the Scandinavian countries

398
00:24:32.685 --> 00:24:36.385
or I should even say Nordic countries, have state run monopolies.

399
00:24:36.445 --> 00:24:40.125
I'm sure Justin has dealt with this. Yeah. Systembolaget and, Vin

400
00:24:40.125 --> 00:24:43.920
Manopolett, excuse my pronunciations. So for those, it's in a way,

401
00:24:43.920 --> 00:24:47.360
it's incredibly easy because what they're they tell you what they're looking for, they put

402
00:24:47.360 --> 00:24:51.200
out a tender, and if you tick all the boxes and they

403
00:24:51.200 --> 00:24:54.640
accept it, then they'll take a container of beer which for us is a huge

404
00:24:54.640 --> 00:24:58.345
amount of our production. So that's always nice when you land one of those,

405
00:24:58.345 --> 00:25:01.945
but it's also difficult to just be the one that does get

406
00:25:01.945 --> 00:25:05.165
selected. Even the same with, like, the SAQ in Quebec,

407
00:25:05.705 --> 00:25:08.985
they also do tenders like that. It they have a well, whatever. It's not worth

408
00:25:08.985 --> 00:25:12.720
getting into. So that's a separate set of challenges. And then

409
00:25:12.720 --> 00:25:16.560
you also have, like, I remember we were trying to take some imperial stuff from

410
00:25:16.560 --> 00:25:19.940
Russia. This is and and we don't have to get it. This is pre

411
00:25:20.400 --> 00:25:23.620
the Ukraine war. This is, like, 2016, I think.

412
00:25:25.105 --> 00:25:27.745
It was such a pain in the ass to get the beer. 1st, you have

413
00:25:27.745 --> 00:25:31.425
to send it to the EU and then from the EU to the US, but

414
00:25:31.425 --> 00:25:35.184
then the Russian Duma, like, the legislative body changed laws while we were mid

415
00:25:35.184 --> 00:25:38.950
order, and we ended up we couldn't take the beer in the

416
00:25:38.950 --> 00:25:41.770
end. So then you just have, like, total curve balls like that.

417
00:25:42.790 --> 00:25:46.630
Sorry. That was, like, a an import side question. And then, yeah, I had touched

418
00:25:46.630 --> 00:25:50.150
on this earlier just in terms of imports. Sometimes logistics just don't make sense,

419
00:25:50.150 --> 00:25:53.965
period. As much as you might want a beer, as, lovely

420
00:25:53.965 --> 00:25:56.125
as the people might be, and as high quality as the beer might be, you

421
00:25:56.125 --> 00:25:59.265
just can't make sense of bringing it over. So yeah.

422
00:25:59.885 --> 00:26:03.645
Any curve balls mid, shipment or has you as you watch

423
00:26:03.645 --> 00:26:07.140
the boat leave the port, some some local, body change their

424
00:26:07.140 --> 00:26:10.580
laws. You know, it's just amazing to me that, you know, you've got 4 major

425
00:26:10.580 --> 00:26:14.420
shipping companies and miraculously, their prices are all the same. I

426
00:26:14.420 --> 00:26:17.780
don't know how that happens. It it's a it's a it's a miracle to me

427
00:26:17.780 --> 00:26:21.585
and, you know, it's a mystery. But your question's about, you know, do you see

428
00:26:22.145 --> 00:26:25.985
is a tough exporting, is a tough purchasing? You know, first,

429
00:26:25.985 --> 00:26:29.664
you gotta get a brand that fits your portfolio, then the brewery's gotta be

430
00:26:29.664 --> 00:26:33.445
quality, then the pricing's gotta work,

431
00:26:34.130 --> 00:26:37.970
the consistency's gotta be there, and then you gotta really temper their

432
00:26:37.970 --> 00:26:41.730
expectations on how much beer they're gonna sell. And if you can get all

433
00:26:41.730 --> 00:26:45.570
that stuff, and we've introduced 2 new Trappist Monasteries, our first two

434
00:26:45.570 --> 00:26:47.750
new breweries we've had in many years,

435
00:26:49.215 --> 00:26:52.815
and it's not easy to grow a brand today. And

436
00:26:52.815 --> 00:26:56.175
we're we're talking only maybe 2, 3000 cases a

437
00:26:56.175 --> 00:26:59.935
year for these breweries these new Trappist monasteries. One from the Netherlands

438
00:26:59.935 --> 00:27:03.700
called Zunder, and another one then from England, the only Trappist monastery in

439
00:27:03.700 --> 00:27:07.060
England called Tint Meadow. Nothing is easy

440
00:27:07.060 --> 00:27:10.760
anymore. Nothing is easy. Shipping's not easy. Pricing's

441
00:27:10.820 --> 00:27:13.845
not easy. And so everything is a fist fight.

442
00:27:14.485 --> 00:27:18.005
So that's their curve balls, they're out there. You know, the

443
00:27:18.005 --> 00:27:21.765
brands that you'd wanna have, there's not as many as there used to

444
00:27:21.765 --> 00:27:24.825
be. So, yeah, it's it's a tough jam. No doubt about it.

445
00:27:25.525 --> 00:27:29.289
Ryan, any curve balls that you you knocked out of the park or

446
00:27:29.289 --> 00:27:33.049
just slipped right by you at home play? Well, fortunately for myself, I

447
00:27:33.049 --> 00:27:36.110
don't deal, as much with the multinational

448
00:27:36.570 --> 00:27:40.330
export. Probably a few rungs above my pay grade as we get into

449
00:27:40.330 --> 00:27:43.715
the brewery level, but I can speak on the the

450
00:27:43.715 --> 00:27:47.335
domestic importing, into the US. I can really only

451
00:27:47.395 --> 00:27:50.934
compare the state level distribution and the bureaucratic

452
00:27:51.395 --> 00:27:55.154
logistics that are involved with that. It's extremely complex just at the US

453
00:27:55.154 --> 00:27:58.279
state level, so expanding that to international,

454
00:27:59.220 --> 00:28:02.900
importing and distribution must be an absolute nightmare at some

455
00:28:02.900 --> 00:28:06.740
points. I give anyone who has their hand in that or

456
00:28:06.740 --> 00:28:10.425
is directly involved in that a ton of credit. The the paperwork

457
00:28:10.425 --> 00:28:14.105
involved in getting a single item or a single brewery into a

458
00:28:14.105 --> 00:28:17.785
country must be extremely complex. I I would say

459
00:28:17.785 --> 00:28:21.325
that curveballs is essentially forecasting

460
00:28:21.545 --> 00:28:25.360
what a country, or a specific territory would be looking

461
00:28:25.360 --> 00:28:28.820
for. That might be the biggest hurdle. For example,

462
00:28:28.880 --> 00:28:32.720
Duchess de Bourgogne is massive in South Korea and Russia as

463
00:28:32.720 --> 00:28:36.480
well, and and not not as big in other countries and then

464
00:28:36.480 --> 00:28:39.674
similar with Saint Bernardes, or or Val Dieu even.

465
00:28:40.215 --> 00:28:44.054
Predicting what each country's demand is going to be, what

466
00:28:44.054 --> 00:28:47.575
style or what beer is going to best fit that market is a huge

467
00:28:47.575 --> 00:28:51.115
hurdle. So, for the breweries above me that that I essentially

468
00:28:51.254 --> 00:28:53.195
import, and and work for,

469
00:28:55.260 --> 00:28:59.039
All the applause to them for for figuring that out, that

470
00:28:59.340 --> 00:29:02.860
that's a massive hurdle and and yeah. Great job

471
00:29:02.860 --> 00:29:06.700
essentially forecasting that. You know, one curve ball, I was just, you know, hit me

472
00:29:06.700 --> 00:29:09.995
when you were sitting I don't know whatever you said hit me in the head.

473
00:29:09.995 --> 00:29:13.755
Just getting empty kegs back to the breweries. You

474
00:29:13.755 --> 00:29:17.434
might as well cut your arm off. Need those kegs back, man. You so we're

475
00:29:17.434 --> 00:29:21.280
going to one way kegs from Polykeg for a lot of breweries because imagine

476
00:29:21.280 --> 00:29:24.960
trying to get beer over consistently. Yeah. You know, we can't even we've

477
00:29:24.960 --> 00:29:28.480
got warehouses full from kegspediter and you name it

478
00:29:28.480 --> 00:29:31.540
company who you know, getting kegs back to the breweries.

479
00:29:32.720 --> 00:29:36.515
It's not worth it, You know? So we're changing to a lot of one way

480
00:29:36.515 --> 00:29:40.195
kegs now. Yeah. It's gonna be better for the environment because they're recyclable, and

481
00:29:40.195 --> 00:29:43.795
you're not using caustic to clean them. So there are some pluses. But that's

482
00:29:43.795 --> 00:29:47.475
something, you know, literally, when I got in this business 30 some years

483
00:29:47.475 --> 00:29:51.020
ago, didn't exist. And now I'm the biggest

484
00:29:51.020 --> 00:29:54.320
proponent for them. So, yeah, there are curve balls out there. No doubt about it.

485
00:29:54.700 --> 00:29:57.580
Yeah. To that point, I would say I I remember at a certain point at

486
00:29:57.580 --> 00:30:01.420
Shelton Brothers, we had something like €50,000 worth of kegs from

487
00:30:01.420 --> 00:30:05.095
Kulmbacher Brewery in stock, empties. So they're just

488
00:30:05.095 --> 00:30:08.695
tying up cash. Exactly. You're a small company and all your cash tied up in

489
00:30:08.695 --> 00:30:12.055
empty kegs in there. Yeah. And the Germans are angry because you've got all their

490
00:30:12.055 --> 00:30:15.889
kegs and they want them back. So it's like yeah. I I am so as

491
00:30:15.889 --> 00:30:19.250
as resistant as I was to poly kegs or key kegs in the first place,

492
00:30:19.250 --> 00:30:23.090
and they had their hiccups, they are sort of a game changer for those of

493
00:30:23.090 --> 00:30:26.769
us in the importing side. So Mein Gott, ze kegs in

494
00:30:26.769 --> 00:30:30.554
Kulmbach. Alright. With that absolutely

495
00:30:30.615 --> 00:30:34.375
corny note, I'm gonna take us out. I just wanna say thank you, Ryan. Thank

496
00:30:34.375 --> 00:30:38.155
you, John. Thank you, Christian. Thank you, Justin. Stick around.

497
00:30:38.215 --> 00:30:41.490
Brandy Holder, our co owner of DC beer, is up next

498
00:30:41.809 --> 00:30:45.650
with Vibes. It's an incredible panel. You don't wanna miss it. Thanks,

499
00:30:45.650 --> 00:30:49.090
DC Beer listeners. You could have been anywhere in the world. You chose to rock

500
00:30:49.090 --> 00:30:51.110
here with us, and for that, we are grateful.