Aug.2022 08
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Ongoing Can Shortage, Aluminum Cans Pricing Leave Breweries In a Pinch
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Supply chain issues have been making things difficult for businesses selling in aluminum cans. Across the country, it's hard to find canned food, which is a problem because the demand for canned food has been on the rise.

Several breweries said they continue to feel the effects of a persistent shortage of cans, which has exacerbated the difficulties they have faced amid recent inflation.

The Los Angeles Times reports on additional challenges posed by declining aluminum can recycling rates in California. Recycling plays an important role in the aluminum can supply chain. As the Aluminum Association points out, the average U.S. aluminum beverage can is made from approximately 73 percent recycled materials.

"Canned beer is what people buy on the shelf," notes the general manager and co-founder of Berkeley Brewing Company. He believes the recyclability of aluminum cans adds to their appeal.

During the pandemic, his company's demand for aluminum cans has skyrocketed, he said. Sales now make up about 30% of their business, from their distribution and their studios.

Researchandmarkets.com predicts that the North American aluminum can market will only continue to grow as demand from the food and beverage industry increases.

In May, the Aluminum Association also reported that domestic demand for aluminum continued to grow, rising 5% in the first quarter of 2022. Many brewers can't get enough cans.

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