Beer posted a Beer Purchaser’s Index (BPI) reading of 54 in February, the first BPI reading above 50 since May 2022, according to the National Beer Wholesalers Association’s (NBWA).
An index reading above 50 indicates expansion, while a reading below 50 indicates contraction.
Beer also posted an at-risk inventory (ARI) reading of 46, marking the first time beer has posted a BPI reading above 50 BPI and an ARI below 50 in 10 months, NBWA chief economist Lester Jones wrote in the latest report.
“The industry recorded six out of 12 months with below-50 BPI index readings and above-50 ARI readings – indicating too much inventory in distributor warehouses,” Jones wrote. “After two disruptive years in 2021 and 2022, [February’s reading] is positive news for the beer industry.”
In February 2022, total beer had a BPI reading of 43 and an ARI reading of 64, at the time “one of the lowest” BPI readings “over the past eight years.” In February 2021, total beer had a BPI of 70 and ARI of 42.
Imports continued to expand in February, with a reading of 62. However, the reading was lower than the segment’s February 2022 reading of 69, suggesting some slowdown.
Below premium was the only other segment to post a reading above 50. Its 53 reading was also significantly above its February 2022 reading of 30.
Premium lights (46) had the third highest reading, mirroring its February 2022 reading, followed by premium regulars (41), which was above its February 2022 reading of 32.
Craft’s 34 reading was “well below” its February 2022 reading of 51, but still shows “some recovery from recent historical low readings,” Jones wrote.
The flavored malt beverage (FMB)/hard seltzer segment, which struggled in 2022, “shows some signs of recovery,” with a reading of 40 versus its February 2022 reading of 34.
Cider posted the lowest reading (30), below its February 2022 reading of 33.
