A new report on the drinks industry has found that the value of beer exports declined by 17% in 2020, with exports falling from €305m to €254m.
The Irish Beer Market Report 2020, compiled on behalf of Drinks Ireland|Beer, showed that production levels dropped by almost 14% in the year.
The report noted that the marked drop in exports reflects a lower international demand for Irish beer, as most key markets endured Covid-19 lockdowns.
The most significant fall was in exports to the US, down by 45%.
As well as the big drop in exports, the closure of the hospitality sector here saw a 17.3% fall in total beer sales in 2020 compared to the previous year.
Typically, just over 60% of beer sales take place in pubs, restaurants, and hotels here.
However, in 2020 just below 30% of beer sales took place in the hospitality sector, the report said.
Today's report also shows that the lockdown impacted the type of beer consumers in Ireland chose in 2020.
Usually, stout sales make up around 30% of all beer sales, but this fell to 25.3% in 2020. Ale's beer market share dropped from 6.2% in 2019 to 4.1% in 2020, while lager increased its market share from 63.5% to 69.5%.
Jonathan McDade, Head of Drinks Ireland|Beer, said that as the vaccine roll-out continues, the beer sector hopes to be able to see consumers back in pubs later this year.
But Mr McDade said it is vitally important that it receives additional supports from Government to allow it to endure the extended lockdown, which continues.
"We are calling for financial aid to support the coverage of costs associated with the uplift, disposal, and writing-off of out-of-date beer caused by repeated lockdowns," he said.
"Furthermore, the sector requires a change in the duty system, allowing for excise to be recovered in a similar manner to VAT on bad debts, which would prove invaluable in us continuing to support the provision of credit to the hospitality sector," he added.
