Texas craft breweries rebounded in 2021, a promising sign after the pandemic staggered the industry.
The state of beer: Of the state’s 10 largest breweries, seven increased production in 2021 compared with 2020, according to an Axios analysis of data from the Brewers Association.
Just one Texas brewery — Spoetzl Brewery — saw a year-over-year decline in production, but the Shiner-based brewery continues to see the highest sales in the state, with more than 500,000 barrels sold last year.
- The state also saw 12 breweries close and 45 open, the data shows.
The big picture: The craft beer industry grew by 8% in 2021, while the overall market moved up 1%. Texas placed two breweries — Saint Arnold and the brewer of Shiner — among the nation’s 50 largest.
- Yes, but: The rebound could be hampered by supply chain problems and a carbon dioxide shortage caused by contamination at an extinct volcano in Mississippi.
Yes, the CO2 shortage. Hopefully that will get worked out soon. You’d think of all the things on this planet we would not be short on that would be it, but here we are. I’d like to see this same reporting done on a more local level, say a Houston story about how all of the microbreweries in our area are doing now. There could be a lot of variance, based on size or location or business capability or just dumb luck. The growth of small breweries in Texas has been a huge success story, we should know more about how it’s going now this far into the COVID era. But at least at a high level, things are looking up.
Texas really needs to get abolish the distributor-tier stronghold franchise laws. Distributors are now making or breaking area breweries. For the past few years, distributors performed consignment sales, illegal by state and federal standards, yet TABC refuses to investigate because it is all hands on deck for the failed launched of AIMS. TABC’s response is to increase fees on industry members (a whopping 300% for wineries which has the most manufacturers compared to breweries and distilleries), plus ask the Lege for additional funding for increased head count, in contradiction to its Sunset charter.