Who Buys All The Scotch Whisky

[John]

I read this piece in the Sunday Herald and thought it may be of interest.

Who drinks our drams?

With an export market of more than 200 countries, Scotch whisky can truly claim to be the world's most global spirit.

More than 90% of whisky consumers live outside the UK, and overseas sales of Scotch account for more than £3bn annually - almost one quarter of UK food and drink exports.

Given the USA's wealthy population of approximately 300 million people, it is not surprising America leads the world in whisky consumption. More than £371m of Scotch whisky was sold to the US last year, accounting for more than 100 million bottles - though France is fast catching up with the States as the most lucrative export market.

Despite having less than a quarter of the US population, the French actually drank more Scotch over the course of 2008 than their American counterparts. Consumers in France tended to buy cheaper whiskies, meaning that export values were slightly lower, but the gap between the two countries is closing fast as whisky catches on with Gallic drinkers. Figures from the Scotch Whisky Association show that France already buys more Scotch in a month than it does Cognac in a year.

Coming in third in the global exports table is Spain, where whisky is a popular drink with young clubbers. Contrary to the UK market, which tends to be geared towards older connoisseurs, many Mediterranean drinkers favour light blends with ice and mixers.

The remaining places on the global export table are spread around the world, with Singapore, South Korea, Greece, Germany, South Africa, Taiwan and Venezuela all enthusiastic whisky fans.

As leading distilleries look ahead to the future, however, many have their sights set firmly on the emerging markets that are expected to dominate the next century. While India, China, Russia, Mexico and Brazil may not drink huge quantities of whisky at the moment, demand is expected to soar as disposable incomes increase.

Overcoming the popularity of domestic spirits, such as cachaca, rum and tequila, will be one of the toughest challenges ahead for Scotch producers, and local contacts are seen as one of the key advantages provided by international conglomerates.

Scotch producers are united in their optimism for the future. Whisky exports rose steadily from 952 million bottles in 1999 to 1.8 billion last year and as the appeal grows worldwide, so too do whisky firms, Scottish-owned or otherwise ...

John