(MENAFN) For the first time, Russia has overtaken Germany in beer production, pushing the European country out of the world’s top five beer-producing nations, according to a report released Tuesday by BarthHaas, a leading global hop trader.

In 2024, Russia’s beer production grew by approximately 9%, reaching nearly 9.1 billion liters, while Germany’s output declined by 1% to 8.4 billion liters, dropping it to sixth place. BarthHaas CEO Thomas Raiser explained to DPA that Russia’s growth is largely due to a sharp decrease in beer imports, which has led to increased domestic brewing. This change stems from the escalation of the conflict in Ukraine over three years ago and subsequent trade sanctions.

Since early 2022, major Western brewers like Carlsberg, Heineken, and AB InBev have left the Russian market. Though the EU has not explicitly banned beer exports to Russia, sanctions and company withdrawals have disrupted supply chains. Moscow responded by imposing high tariffs on alcoholic imports from “unfriendly” nations, making foreign beer less competitive.

Two Russian breweries have now appeared in BarthHaas’ Top 40 Brewers list: Baltika Breweries, previously part of Carlsberg until mid-2023, ranked 12th, and United Breweries (formerly owned by Heineken) at 24th.

Russia’s beer exports have also risen, increasing 25% year-on-year in the first quarter of 2025, with key markets including Belarus, Kazakhstan, China, Abkhazia, Tajikistan, and renewed shipments to some African and South American countries.

Germany, historically a beer powerhouse, faces declining consumption due to an aging population, more competition from alternative drinks, and reduced consumer spending. Rising production costs also impacted the sector, causing the closure of 52 breweries in 2024 alone.

The report cites Germany’s two years of economic contraction and reduced hop production as additional factors.

Globally, the largest beer producers in 2024 remain China, the US, Brazil, and Mexico.

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