Roman Gushchin, co-owner of Rewort Brewery near Moscow, noted that domestic craft beer prices have already risen by about a quarter on average.
All the materials used in their brews have climbed by 25-30 percent. Yeast, malt, hops, fruit purées, and juices have become more expensive. Water is the only constant, he observed.
Craft beer production now mixes both Russian and imported malt. For some Russian producers, the cost of domestic components has doubled. If barley can be sourced locally, the sharp price hikes still occurred due to imported equipment needs and looming renovations, the brewer explained.
He cited a concrete example: the price of Polish-imported malt rose from 0.79 to 0.98 euros per kilogram.
“Moreover, the ruble has fallen by about one third against the euro, which makes imported malt costly,” Gushchin added.
The malt component accounts for roughly 60% of boutique beer costs, while in lighter, classic beers it is around 20%, according to the brewer.
Hops pose a major challenge for brewers
Hops, another essential craft ingredient, present serious difficulties. “Domestic hops are of lower quality and in short supply. Growth is not profitable, and state subsidies are lacking,” Gushchin noted.
Traditionally, Russian brewers acquire hops from the United States, Europe, South Africa, and New Zealand. Hop prices rose by about 10% in March versus February, and when the ruble-dollar movement is considered, overall increases reach 25-30%.
In addition, prices for various fruit purées, juices, and other additives used in craft beer have climbed in recent weeks.
Alexander Savitsky, the author of the Telegram channel “Prosto Pro Beer,” observed that craft brewers cannot do without the ingredients they already have in their stock. A sharp price surge has affected the sector, he said.
Craft beer is often described as more than a commercial product. It embodies creativity in flavor and technique. Yet questions persist about its future in organoleptic terms and whether it can maintain distinctiveness in a mass market, according to Savitsky.
Craft beer is defined by small-batch production and non-standard recipes. It often includes spices, syrups (like maple), cocoa, vegetables, herbs, and other ingredients that set it apart from mass-market brews.
Savitsky recalled times when brewers experimented with exotic materials like candy and confectionery products. He also noted the emergence of sour and salty varieties. Some Russian craft brewers now produce a Gose based on tomato juice as a case in point.
Like the old days, with three liters
To maintain customer loyalty, some bars still run marketing promotions, such as two liters with one liter free. “But the days of orders for 20 liters to wash through the country are behind us. People started to cut back after February, and sales both grew and declined by 10-15% in March,” said Adams, proprietor of the Popeye pub and cafe in Svetlana, Moscow Region, Sergiev Posad. He noted that price stability for craft beer is now a challenge.
Valentin Khed, manager of the Beergeek bar near Nevsky Prospekt in St. Petersburg, pointed to a reduced craft beer lineup as a consequence of higher costs and distribution issues that push prices up on store shelves. The bar currently offers up to 350 domestic and foreign craft beers.
He observed that Kraft brews are becoming pricier than classic beers at large breweries. “After the price jumps, I hardly order imported craft anymore. It’s too expensive for even well-off customers. Some brands have raised prices by as much as 35 percent,” he said.
Prices for a 0.33-liter bottle of Czech or Belgian beer have climbed to about 350 rubles. Bottles that cost 450 rubles earlier in the year now retail for 650-700 rubles.
“The situation is worse now than in 2014,” head of the Beergeek bar commented.
The lower the pipe, the thinner the smoke
Logistics costs also pose problems. Contractors are often reluctant to work without upfront payments, while small brewery owners typically operate with borrowed capital. Savitsky listed possible survival strategies: revise the product range, raise prices, or reprofile. One thing is clear: operating as before will not be possible. Complex varieties, especially those heavy with hops and fruit additives, will make way for simpler options.
At the same time, HoReCa can become a growth engine for craft brewers. Restaurants, bars, and hotels are losing their usual imported brands and may turn to local craft beers as substitutes. There is potential for domestic brewers to meet what public venues seek, a sector insider noted.
Another question remains: will consumers pay for Russian-made “Irish” or “Belgian” beer? Savitsky asked.
Market participants also consider an alternate path. Craft producers might shift toward non-alcoholic beverages like lemonade, kvass, or low-alcohol mineral water. These options require less investment in imported equipment and can be produced more economically.