According to the newly released BarthHaas Report 2025/2026, the global hop market remains in a state of structural oversupply in 2026. Global hop acreage has been reduced by approximately 1,300 hectares, a decrease of around 3% compared to last year (inside.beer, 11.6.2026), leaving the total cultivated area at roughly 51,350 hectares. However, production volumes still surpass the actual demands of the brewing industry. The report calculates an alpha acid surplus of approximately 1,200 metric tons from the 2025 crop, which translates to a structural overcapacity of about 5,100 hectares. A similar surplus of around 1,000 metric tons of alpha acid is anticipated for the current supply balance from the 2025 harvest and the 2026 brewing year.
BarthHaas, a leading global hop merchant, notes that the brewing sector experienced a 0.7% decline in global beer production in 2025, falling to 1.895 billion hectoliters (inside.beer (inside.beer, 21.7.2026). The demand for hops declined even more sharply, dropping by nearly 3%. This discrepancy is driven not only by lower overall beer volumes but also by reduced hopping rates and shifting preferences in the global beer style mix. Managing Directors Thomas Raiser and Oliver Bergner point out that excess capacity is intensifying downward pressure on prices, creating significant financial challenges for both growers and marketers.
In Germany, the total hop cultivation area decreased by exactly 1,101 hectares, representing a 5.8% drop, bringing the national total down to 17,861 hectares. Within this total, 7,688 hectares are dedicated to aroma varieties and 10,173 hectares to bitter varieties. Despite the clear reduction in acreage, the lack of economically viable forward contracts is severely impacting farmers. The Association of German Hop Growers provided the official domestic acreage data, while the German Hop Industry Association supplied complementary market analyses.
The oversupply situation is directly affecting hop pricing. Rising inventories combined with weak demand have created immense price pressure across the spot market. At the same time, the costs associated with hop farming and processing continue to climb. Many growers in Germany are struggling to secure new forward contracts at economically sustainable rates, while uncontracted hops on the spot market are fetching very low prices. For example, uncontracted Aurora hops were sold for as little as EUR 1.00 per kilogram.
Although the global hop acreage has been reduced by roughly 11,000 hectares over the past five years, this contraction has not been sufficient to restore market equilibrium. While the United States saw its Pacific Northwest acreage stabilize at around 16,853 hectares in 2026, the global trend indicates further necessary corrections. The structural adjustment process is expected to continue as the industry navigates changing consumer behaviors, such as the rising popularity of non-alcoholic beers, and the overarching need for improved sustainability and production efficiency.
