Growth in global spirits market Article Date: 0
Post# of 9964
Posted On: 09/05/2014 2:18:14 PM
Growth in global spirits market
Article Date: 04/07/2014
Eoin Kelly, Business Analyst, Bord Bia-Irish Food Board
The Rabobank spirits report for the second quarter of 2014 points to a rise in sales in the USA and Brazil, with a decline in Asia and Europe. The following shows the regional outlook from the Rabobank report:
Regional Outlooks
• China: Performance for domestic baijiu companies in Q1 2014 points to a continued downturn in both the top and bottom line, with a similar trend being witnessed in the foreign spirits space. Rabobank predicts the premium spirits market will be unlikely to return to growth until late Q1 2015.
• United States : The US spirits market continues to grow, with volumes increasing 3 percent in the first four months of the year, but the rate of growth is showing clear signs of easing. The outlook for the US market remains generally positive. Rabobank expects to see continued support for growth of super-premium spirits brands in the coming months.
• Europe: In 2014, a recovery in spirits sales seems unlikely in the two main eastern European markets of Russia and the Ukraine. In Western Europe, markets seem to be stabilising, but there are still few signs of significant overall growth in the region.
• India: Weakness in the spirits market was largely driven by multiple government instigated excise tax hikes across several states, which impacted sales of brands at the mass end of the market. Premium brands, on the other hand, continue to show impressive growth rates and country liquor saw good traction in the third and fourth quarter of 2013.
• Brazil : The Brazilian economy has been facing challenges that have been weighing on consumption, with the cachaça segment feeling the impact most acutely. In spite of lackluster economic growth and declining consumption generally, imported spirits appear to be bucking the trend. Scotch, vodka and other imported spirits generated double-digit growth in the Brazilian market in 2013 and show no signs of slowing. In 2014, the Brazilian economy will continue to face economic headwinds, but the World Cup games are expected to provide a boost to consumption.
http://www.bordbia.ie/industry/manufacturers/...&wk=26
Article Date: 04/07/2014
Eoin Kelly, Business Analyst, Bord Bia-Irish Food Board
The Rabobank spirits report for the second quarter of 2014 points to a rise in sales in the USA and Brazil, with a decline in Asia and Europe. The following shows the regional outlook from the Rabobank report:
Regional Outlooks
• China: Performance for domestic baijiu companies in Q1 2014 points to a continued downturn in both the top and bottom line, with a similar trend being witnessed in the foreign spirits space. Rabobank predicts the premium spirits market will be unlikely to return to growth until late Q1 2015.
• United States : The US spirits market continues to grow, with volumes increasing 3 percent in the first four months of the year, but the rate of growth is showing clear signs of easing. The outlook for the US market remains generally positive. Rabobank expects to see continued support for growth of super-premium spirits brands in the coming months.
• Europe: In 2014, a recovery in spirits sales seems unlikely in the two main eastern European markets of Russia and the Ukraine. In Western Europe, markets seem to be stabilising, but there are still few signs of significant overall growth in the region.
• India: Weakness in the spirits market was largely driven by multiple government instigated excise tax hikes across several states, which impacted sales of brands at the mass end of the market. Premium brands, on the other hand, continue to show impressive growth rates and country liquor saw good traction in the third and fourth quarter of 2013.
• Brazil : The Brazilian economy has been facing challenges that have been weighing on consumption, with the cachaça segment feeling the impact most acutely. In spite of lackluster economic growth and declining consumption generally, imported spirits appear to be bucking the trend. Scotch, vodka and other imported spirits generated double-digit growth in the Brazilian market in 2013 and show no signs of slowing. In 2014, the Brazilian economy will continue to face economic headwinds, but the World Cup games are expected to provide a boost to consumption.
http://www.bordbia.ie/industry/manufacturers/...&wk=26
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