Budweiser Brewing Company APAC has announced a groundbreaking expansion of indoor hop cultivation, in partnership with Jiangsu Nongken Group. This initiative marks a significant leap forward in localized beer production in the world’s largest beer market by sales. The collaboration, revealed during Budweiser China’s fourth annual Growers Day in Sheyang county, Jiangsu province, utilizes innovative agricultural technology to grow hops in areas previously unsuitable for cultivation.
Traditionally, hops are only grown in specific climates worldwide. However, Budweiser China has been piloting indoor hop cultivation since 2021, starting in Shanghai. The initiative has now scaled to include a 2,200-square-meter modern indoor hop cultivation facility in Lianyungang, Jiangsu province. This facility uses advanced agricultural techniques such as air-source heat pumps and integrated irrigation systems to optimize growing conditions.
“This is new additional business, which benefits everyone – the quality of our beer, the farmers, and our sustainability goals,” said Jan Clysner, Vice President of Sustainability and Procurement at Budweiser Brewing Company APAC. “It’s an exciting innovation that allows us to grow hops in areas where it wasn’t possible before.”
The indoor cultivation technology not only enables hop production in non-traditional regions but also emphasizes environmental sustainability. By reducing the reliance on traditional hop-growing areas, the initiative minimizes the environmental impact of transportation and land use.
Budweiser China’s broader sustainability initiatives include introducing biodegradable fertilizers through its partnership with Kangfen Ecolution. This effort aims to reduce the carbon emissions associated with farming by replacing chemical fertilizers with eco-friendly alternatives.
"Lowering carbon emissions is not just about brewery operations. It's about collaborating with suppliers to innovate and bring technology into agriculture," Clysner emphasized.
Since 2016, Budweiser China has worked with Jiangsu Nongken Group to improve barley yields through cross-breeding with local strains. This partnership has increased average barley yields in Jiangsu from 500 kilograms to 550 kilograms per mu (667 square meters). Over the past five years, Budweiser China has purchased about 180,000 tons of barley from the region, reinforcing its commitment to supporting local agriculture.
The expansion of indoor hop cultivation in Jiangsu, coupled with ongoing efforts to enhance barley production, reflects Budweiser China’s focus on combining technological innovation with sustainability. The collaboration positions the company at the forefront of agricultural advancements in brewing, ensuring high-quality beer production while supporting local farmers and reducing environmental impact.
By bringing hops to regions where they have never been grown and pioneering sustainable agricultural practices, Budweiser China is not only redefining the beer production landscape but also setting an example for the global brewing industry. As Clysner noted, “Innovation in agriculture has the potential to transform our industry, ensuring we meet consumer needs while protecting the planet.”
