Capital Brewing Co has today announced its acquisition of Batlow Cider. The news comes at a time of long-term forecasted decline for Australia’s cider sector, with its current value of $1.8 billion expected to fall to $1.4 billion by 2027.
This downward trend, shown in GlobalData statistics, has already contributed to major industry players devaluing their cider portfolio, including Coca-Cola Europacific Partners’ recent decision to terminate its almost decade-long partnership with Rekorderlig.
According to Capital Brewing Co-Owners Tom Hertel and Laurence Kain, the acquisition was motivated by many years of serving Batlow Cider at venues they have owned.
“We feel so proud to take on custodianship and keep the iconic brand 100% independent and Australian owned and operated,” said Hertel.
“We feel there is a real connection with the Batlow Cider brand, not just because we have loved serving it for over 14 years,” added Kain.
Part of this connection stems from a shared focus on socially and environmentally responsible operation. This includes Capital Brewing becoming the third brewery in Australia to achieve B-Corp certification behind 4 Pines and Stone & Wood. It also became the first certified carbon neutral brewery in Australia under the Federal Government Climate Active accreditation in the same year. This applies to both the organisation and its portfolio.
Laurence Kain said, “we have a strong focus on operating in a socially and environmentally responsible way, and are committed to reducing waste throughout our supply chains, so it’s incredibly important we continue this with the way we operate Batlow Cider.
“One of the things we love about Batlow Cider is that it’s made from imperfect fruit that would not normally make it to supermarket shelves and may otherwise become a waste product.”
The acquisition will see the fruit grown in Batlow NSW transported to Capital’s brewery in Canberra, reducing existing freight and the overall carbon footprint of the cider brand. In doing so, Capital Brewing is hoping to make a notable increase to the cider's total production.
“Now in a more streamlined approach the juiced apples will be coming straight from Batlow to Canberra, where they will be fermented and packaged at our Brewery in Fyshwick,” said Kain.
Tom Hertel added that, “through the boost in sales and marketing resources that we’re able to give the Batlow Cider brand, we will significantly increase the production and sales across the country, creating more jobs for the town of Batlow, as well as here in Canberra.”
Reflecting on the acquisition, Batlow Cider growers Rich and Sam Coombes said “we are absolutely thrilled to see Batlow Cider moving into the Capital Brewing Co’s custodianship. We have long been impressed with the marketing and sales capability of Capital Brewing Co and we look forward to seeing the Batlow brand.”
Capital Brewing has indicated that it plans on retaining existing recipes and production methods following the acquisition.
“Rest assured though, the recipe won’t be changing,” said Hertel.
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