Fears of beer shortage as carbon dioxide supplies fizzle out
There could be a shortage of beer and fizzy drinks in the US as supplies of carbon dioxide from ethanol plants run low.
Brewers and soft drink manufacturers use CO2 for carbonation - making drinks fizzy.
Ethanol producers capture CO2 as a byproduct and sell it to the food industry in large quantities.
But ethanol production - which is blended into the nation's fuel supply - has fallen sharply due to the drop in petrol demand as a result of lockdown measures during the coronavirus pandemic.
Petrol demand is down by more than 30% in the US, and the dwindling ethanol output is affecting the food industry as a result.
Renewable Fuels Association chief executive Geoff Cooper said that 34
of the 45 US ethanol plants that sell CO2 have idled or cut production.
And CO2 suppliers have increased prices by around 25% due to reduced supply, according to Brewers Association chief executive Bob Pease.
The trade group represents small and independent US craft brewers, who get about 45% of their CO2 from ethanol producers.
Mr Pease added: "The problem is accelerating. Every day we're hearing from more of our members about this."
He expects brewers will start cutting production in two to three weeks.
In a letter to Vice President Mike Pence on 7 April, the Compressed Gas Association (CGA) said production of CO2 had fallen by about 20%.
It added that it could be down by 50% by mid-April without relief.
Meat producers are also being affected as they use CO2 in processing, packaging, preservation and shipment.
https://news.sky.com/story/coronavirus-how-the-pandemic-could-cause-a-shortage-of-beer-and-fizzy-drinks-11975329
Brewers and soft drink manufacturers use CO2 for carbonation - making drinks fizzy.
Ethanol producers capture CO2 as a byproduct and sell it to the food industry in large quantities.
But ethanol production - which is blended into the nation's fuel supply - has fallen sharply due to the drop in petrol demand as a result of lockdown measures during the coronavirus pandemic.
Petrol demand is down by more than 30% in the US, and the dwindling ethanol output is affecting the food industry as a result.
And CO2 suppliers have increased prices by around 25% due to reduced supply, according to Brewers Association chief executive Bob Pease.
The trade group represents small and independent US craft brewers, who get about 45% of their CO2 from ethanol producers.
Mr Pease added: "The problem is accelerating. Every day we're hearing from more of our members about this."
He expects brewers will start cutting production in two to three weeks.
In a letter to Vice President Mike Pence on 7 April, the Compressed Gas Association (CGA) said production of CO2 had fallen by about 20%.
It added that it could be down by 50% by mid-April without relief.
Meat producers are also being affected as they use CO2 in processing, packaging, preservation and shipment.
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